Pan American Energy Announces Positive Assay Results from Winter 2024 Drilling at Big Mack Lithium Project

Pan American Energy Corp. (CSE: PNRG) (OTC PINK: PAANF) (FRA: SS6) is pleased to report assay results from its Winter 2024 diamond drilling program at the Big Mack Lithium Project, located approximately 80 km north of Kenora, Ontario. The program consisted of 1,745 meters across nine NQ diamond drill holes targeting known and interpreted lithium-bearing pegmatites at the Big Mack and Sprinkler showings. Highlights of the drill program include:

• Hole BM24-067 intersected 1.13% Li₂O over 39.40 meters, including 2.09% Li₂O over 2.80 meters and 1.67% Li₂O over 3.00 meters, validating historic mineralization at the Big Mack pegmatite.
• Drilling at BM24-060 to BM24-064 confirmed consistent lithium mineralization across the Sprinkler pegmatite, with highlights including 2.18% Li₂O over 3.40 meters (BM24-060) and 0.77% Li₂O over 1.55 meters (BM24-064).
• The Company intends to update the 3D geological model using new drill data to support improved targeting and interpretation.

Table 1 presents a summary of the notable lithium assay results. Intervals are reported as core lengths and represent the most significant intercepts returned from the nine-hole program, highlighting both newly discovered and confirmed mineralization across the Big Mack and Sprinkler pegmatites. True widths are not yet known and will be evaluated through ongoing modeling.

Table 1. Drill hole assay highlights.

* Not true widths.

Table 2 presents a summary of the diamond drill hole data, and Figure 1 presents the location of recent and historical drill holes. Key targets included step-out drilling to extend pegmatite-hosted lithium mineralization, infill drilling to assess continuity, and exploratory drilling across magnetic low anomalies associated with lithium-bearing pegmatites.

Table 2. Attributes for drill holes BM24-060 to BM24-068.

* Coordinate System EPSG 3159 (UTM Zone 15N)

A continued extension of the Sprinkler pegmatite to the east (near previously drilled hole BM24-045) was tested by drill holes BM24-060 to BM24-063. Drill hole BM24-060 was designed to test the eastern extension of Sprinkler within a magnetic low and reached a total depth of 128 meters. It intersected multiple lithium-bearing intervals, including 2.18% Li₂O over 3.40 meters from 78.40 to 81.80 meters. BM24-061 continued testing along the same magnetic low trend and returned 0.55% Li₂O over 6.76 meters from 62.04 to 68.80 meters, including a subinterval of 1.64% Li₂O over 0.90 meters. BM24-062, collared 50 meters northeast of BM24-061, confirmed additional mineralization within the Sprinkler system, returning 0.40% Li₂O over 3.86 meters from 163.64 to 167.50 meters. BM24-063 further extended the trend and intersected narrow intervals of lithium enrichment, including 0.77% Li₂O over 1.55 meters from 156.70 to 158.20 meters. BM24-064 was drilled as an infill hole within the Sprinkler pegmatite and returned 0.25% Li₂O over 1.85 meters from 116.90 to 118.75 meters, confirming continuity of mineralization.

BM24-065 and BM24-066 were drilled to evaluate the area between the Big Mack and Sprinkler showings, targeting two magnetic low anomalies. Both holes intersected multiple pegmatites of varying textures and mineralogy; however, neither returned any notable lithium mineralization. The results from these holes help constrain the eastern boundary of the Big Mack system and suggest zonation or structural compartmentalization within the broader pegmatite swarm.

Figure 1. Location of current and past drill holes on the Big Mack project.

BM24-067 was drilled to validate historic results from the Big Mack pegmatite, near previously reported hole BM24-003. The hole confirmed a broad and continuous lithium-bearing zone, returning 1.13% Li₂O over 39.40 meters from 0.60 to 40.00 meters, including high-grade subintervals of 2.09% Li₂O over 2.80 meters and 1.67% Li₂O over 3.00 meters. This result represents the highest-grade and thickest intercept from the current program. BM24-068, also drilled to validate historic work at Big Mack, intersected several pegmatitic zones but did not return any significant lithium mineralization. The geological logging from BM24-068 will aid in refining the structural and mineralogical model of the system.

With the completion of this drilling phase and receipt of assay results, Pan American Energy will commence updating its 3D geological model for the Project. The updated model will integrate all new lithium-bearing intervals and structural interpretations from the 2024 winter program.

General Statements

Visual core logging indicates that the predominant host mineral for the Big Mack pegmatites is petalite. The true width of these pegmatites reported in this release has not yet been determined.

Sample Quality Assurance / Quality Control

A thorough chain-of-custody and QA/QC program was carried out for the drill program. Samples were taken across all pegmatite intervals with shoulder samples into the host rock on either side of the dykes. Sample lengths ranged from 0.3 m to 1.5 m, dependant on internal zoning of the dykes, mineralization, and lithology contacts. Core to be sampled was cut in half on-site, with one half sent for analysis and the other half retained in the box for future reference and re-sampling, if needed.

A malfunction of downhole location survey equipment could cause inaccurate dip and azimuth tracking due to drillhole deviation, which would affect the planned drillhole spacing and required density for the resource estimation. To ensure accuracy, downhole surveys were performed every 30 meters of drilling, with survey tests repeated in the event of results that are outside planned drillhole drift.

The Company’s QA/QC procedure included the insertion of certified standard control samples, ¼ cut duplicates, and blanks. This was used to test for natural variability and sampling bias, testing the lab for homogeneity during sample preparation processes within the lab, as well as testing the precision and any possible contamination from the lab and ensure proper calibration of lab equipment.

Sample analyses were conducted by ALS Canada LTD (“ALS”), an independent lab. Samples were shipped to the Winnipeg, Manitoba preparation lab, and then shipped by ALS to the geochemistry analysis lab in North Vancouver, British Columbia. Drill core samples were subjected to sodium peroxide fusion analyses using ICP-MS for Trace element values on total digestion and ICP-AES on samples with values greater than 25,000 ppm Li. ALS followed the quality management and operational guidelines set out in the international standards ISO/IEC 17025 “General Requirement for the Competence of Testing and Calibration Laboratories” and ISO 9001 “Quality Management Systems”.

Qualified Person

The technical content of this news release has been reviewed and approved by Jared Suchan, Ph.D., P.Geo., who is a “Qualified Person” as defined by NI 43-101, and a consultant to the Company. Dr. Suchan verified the data disclosed (or underlying the information disclosed) in this news release by reviewing imported and sorted assay data; checking the performance of blank samples and certified reference materials; reviewing the variance in field duplicate results; and reviewing grade calculation formulas.

For a further discussion of the Company’s QA/QC and data verification processes and procedures, please see its most recently-filed technical report, which may be accessed under the Company’s profile at www.sedarplus.ca.

About Pan American Energy Corp.

Pan American Energy Corp. is an exploration stage company engaged principally in the acquisition, exploration, and development of mineral properties containing battery and critical metals in North America.

The Company has executed an option agreement in Canada with Magabra Resources pursuant to which it has acquired a 75% interest in the Big Mack Lithium Project, 80 km north of Kenora, Ontario, with the right to earn an additional 15% for a total 90% interest. Pan American has also entered into an option agreement with Northern Critical Minerals Corp. to acquire up to a 100% interest in the Tharsis REE Project, located in the Northwest Territories. The project hosts the Squalus Lake Alkaline Complex, a Proterozoic-age carbonatite-bearing intrusion prospective for rare earth and high field strength elements.