Bolt Metals Signs Cooperation Agreement with Chinese Metals Supplier, Hunan Jinxin New Material Co., Ltd.

• Now in discussions with two potential off-take partners
   
• Indonesia determined to become leading market for all stages of the EV battery supply chain

VANCOUVER, British Columbia, March 05, 2020 (GLOBE NEWSWIRE) -- Bolt Metals Corp. (CSE: BOLT) (FRANKFURT: NXFE) (OTCQB: PCRCF) (the “Company” or “Bolt Metals”) is pleased to announce that it has signed a non-binding Cooperation Agreement ("Agreement") with Hunan Shijiyintian New Material Co., Ltd, an 100% wholly owned subsidiary of Hunan Jinxin New Material Co., Ltd. ("Hunan Jinxin"). The Company and Hunan Jinxin will immediately commence negotiations with the intention of entering into one or more definitive binding agreements (“Definitive Agreement”) subject to further due diligence to be completed between the parties.

It is anticipated that there will be two primary components of a Definitive Agreement with Hunan Jinxin; 1) preliminary offtake and 2) investment:

1. Subject to successful negotiations, the preliminary offtake section of the Definitive Agreement will grant Hunan Jinxin the right to purchase nickel sulphate and cobalt sulphate from the Cyclops Nickel-Cobalt Project (“Cyclops Project”) or other projects owned or represented by Bolt Metals. Bolt Metals will not be restricted from entering into subsequent offtake related agreements with third parties in respect of output which has not been committed to Hunan Jinxin.
    
2. Subject to successful negotiations, the investment section of the Definitive Agreement will grant Hunan Jinxin the option to purchase equity in Bolt Metals or to make a strategic investment in the Cyclops Project, with the form and structure of the proposed investment to be finalised in the Definitive Agreement.

Ranjeet Sundher, President and CEO of Bolt Metals announced that “While recent market developments have generated significant interest in Bolt Metals and its Cyclops Project from downstream EV battery manufacturers within Indonesia, the Company remains committed to an international outlook and a comprehensive strategy in order to maximise shareholder value and fast-track the development of its assets. I am excited to begin negotiations with a company of Hunan Jinxin’s calibre.”