Giyani Metals Corp. - Completion of Solar Plant Study for the K.Hill Manganese Project & Grant of Options - Seite 2

The Solar Plant study concluded that despite each option delivering operating cost savings to K.Hill, compared to using 100% grid power, it is recommended to initially implement Scenario 1, with the view to upgrading to either Scenario 2 or 3 as a second phase once regulatory approval is granted. The Solar Plant study will now proceed to a feasibility study on that basis.

Table 1. Solar Plant Study Summary

	No Export	Net Zero	Transition to IPP
Scenario	1	2	3
Power rating (MW)	14	60	48
Solar array size (km2)	0.3	1.4	1.1
Net savings (US$/yr)	$2.8m	$11.1m	$9.7m
Capex (US$m)	$10.5m	$44.9m	$34.9m
CO2 saving (Mt/yr)	63,000	247,273	214,375
Payback period (yrs)	~3	~3	~3

Robin Birchall, CEO of the Company, commented:

"A Solar Plant generates many advantages for the K.Hill project. It creates operating cost savings, it improves our carbon footprint, and because of this we expect it to improve the marketability of our high purity manganese. Therefore, we expect this initiative to not only further improve our K.Hill project NPV, but also to provide a positive impact for the environment.

We believe that there are several attributes that are unique to K.Hill, one of which is access to an abundant source of renewable energy that we can harness to our advantage. As announced on October 2, 2020 the Company appointed Minviro to conduct an ISO compliant life cycle assessment. The Solar Plant will be included in this analysis. It is our focus to become one of the lowest carbon footprint producers of high purity manganese, which in turn we expect should attract a premium price for our product.”

Grant of Options

Giyani has granted an aggregate of 750,000 stock options (each an "Option") to certain consultants of the Company in accordance with the Company's current stock option plan. Each Option is exercisable into one common share (a "Share") of the Company at a price of $0.465 per Share for a period of five years from the date of grant, being today, with the Options vesting as to 250,000 today, and a further 250,000 on each of the first and second anniversaries of the grant date.