Critical Elements Corporation

Lepidico Exercised Lemare Option

MONTREAL, QUEBEC--(Marketwired - May 6, 2016) - Critical Elements Corporation ("Critical Elements" or the "Company") (TSX VENTURE:CRE)(OTCQX:CRECF)(FRANKFURT:F12) is pleased to announce that Platypus Minerals Ltd (ASX:PLP) ("Platypus") completed its due diligence over the Lemare lithium project in Quebec, Canada, and has directed Lepidico Ltd ("Lepidico") to proceed with exercise of the Lemare Option.

The Lemare lithium project is located in the James Bay region of Quebec, Canada and is prospective for pegmatite-hosted lithium mineralisation (Figure 1). The project is secured by an option agreement ("Lemare Option") entered into the Company and Lepidico on February 11, 2016 (see press release dated February 11, 2016).

Platypus and Lepidico have signed a Share Sale Agreement ("SSA") under which Platypus is to acquire 100% of the issued shares in Lepidico. The transaction is to be voted on by Platypus shareholders in general meeting to be held on May 30, 2016. Under the terms of the SSA, Platypus was to undertake due diligence on Lemare by May 11, 2016 and, if satisfactory, could direct Lepidico to exercise the Lemare Option. Consequent on that direction, Lepidico has accordingly advised Critical Elements.

To view Figure 1. Location of known lithium deposits and occurrences in the James Bay area of Quebec (according to Quebec Ministry of Natural Resources and Fauna, 2011): http://media3.marketwire.com/docs/1053713_Figure%201.pdf

The Lemare project covers approximately 70 km² of tenure in a proven lithium district that hosts several advanced lithium deposits in the vicinity of Lemare (Figure 2). The project contains an undrilled spodumene pegmatite discovered in 2012 (initially labelled as the "Graab Showing") at least 200 m long and grading up to 12 m @ 1.96% Li2O, including 6 m @ 2.68% Li2O, as defined by surface channel sampling. No subsequent work has been conducted at this prospect.

To view Figure 2. Advanced lithium deposits and location of the Lemare project claims (deep pink) in the James Bay area, Quebec, Canada: http://media3.marketwire.com/docs/1053713_Figure%202.pdf

While a site visit was precluded by unseasonable snow, investigations by Platypus and discussions with independent geological consultants in Montreal have supported the prospectivity of the Lemare property for lithium mineralisation. The Lemare pegmatite (or, Graab showing) was fortuitously discovered in 2012 during the course of nickel-gold exploration within a metamorphosed greenstone sequence. The identification of a lithium-bearing pegmatite in a district known to host other lithium deposits defined by multiple pegmatite occurrences suggests that there is good reason to expect additional pegmatites to be present in the Lemare area.