Critical Elements initiates drilling on new Helico Sud discovery

MONTREAL, QUEBEC--(Marketwired - Nov. 2, 2016) - Critical Elements Corporation (the "Corporation" or "Critical Elements") (TSX VENTURE:CRE) (OTCQX:CRECF) (FRANKFURT:F12) is pleased to announce that a drill rig will be mobilized in the next few days to initiate the exploration drilling program on the new Helico Sud discovery, 100% owned by Critical Elements. Samples collected on this discovery identified high-grade lithium zones within the Helico Sud pegmatite. A total of nine chip samples were collected on the showings in areas of outcropping spodumene pegmatites (Photos 1 and 2). The results confirm high levels of lithium, with grades of up to 3.04% Li₂O and 248 ppm Ta₂O_5, (See press release dated August 8, 2016, and the location map below (Figure 1))

Critical Elements plans to start with an initial program of exploration drilling on the Helico Sud, Pivert and JR area, followed by condemnation drilling to test for possible resources at the planned site of the various Rose lithium-tantalum project installations, geotechnical drilling and a hydrogeological survey on the Rose lithium-tantalum deposit. The hydrogeological survey consists of ''Packer tests" in historical holes and pumping test in two new six-inch wells to be drilled in the next few weeks.

"We are really excited about the possibility of delineating additional near-surface high-grade lithium resources on the Rose lithium-tantalum project, which could increase the project resource and extend the mine life," said Jean-Sébastien Lavallée, President and Chief Executive Officer of Critical Elements Corporation. "We are also pleased with the progress on the feasibility study, with the completion of the environmental baseline and the beginning of a drilling program that includes condemnation drilling, geotechnical and hydrogeological work. These phases of work are the final steps required to complete final engineering and design for the mining, tailings and infrastructure portions of the feasibility study."

Table 1. Chip Sample Results from the Helico Sud¹ Showings, July 2016

Year	Area	Sample No.	Location		Li20	Ta2O5
			Easting	Northing	(%)	ppm (g/t)
2016	Helico Sud	669454	422545	5765693	0.22	72
2016	Helico Sud	669455	422563	5765684	2.45	92
2016	Helico Sud	669456	422759	5765748	1.46	118
2016	Helico Sud	669457	422809	5765715	3.04	173
2016	Helico Sud	669458	422870	5765700	2.14	150
2016	Helico Sud	669459	423211	5765656	0.33	248

¹ Chip samples are selective by nature, and cannot be considered representative of the mineralization.