Alchemist Announces Execution of Letter of Intent with Iron Forge Holdings Ltd.

VANCOUVER, BC / ACCESSWIRE / January 25, 2022 / Alchemist Mining Incorporated (the "Company") (CSE:AMS) is pleased to announce that it has entered into a non-binding letter of intent (the "LOI") with Iron Forge Holdings (I) Ltd. ("Iron Forge"), dated January 24, 2022, pursuant to which the Company would acquire all of the outstanding securities of Iron Forge from the securityholders of Iron Forge (the "Transaction").

Iron Forge

Iron Forge, a company incorporated in British Columbia, holds an exploration property comprised of 46 placer leases, covering a total area of 947 acres (383 hectares) called the Rhodes Marsh property. The leases are located in portions of Sections 11 and 23 of Township 5 North - Range 35 East, Mount Diablo Meridian, Mineral County, west-central Nevada. The project area is located approximately 65 kilometers by road south of Hawthorne, Nevada and approximately 350 kilometers northwest of Las Vegas, Nevada. Surrounding the Rhodes Marsh property are the Pilot Mountains to the east and the Excelsior Mountains to the west. Historically the Rhodes Marsh area was a source of salt and boron production in the late 1800s.

Iron Forge intends to explore the Rhodes Marsh property searching for a lithium brine resource.

Summary of Transaction

The LOI is a non-binding agreement which sets out the principal terms on which the parties have agreed to complete the Transaction. Subject to satisfactory due diligence and successful additional negotiations, the parties intend to enter into a definitive agreement with respect to the Transaction (the "Definitive Agreement") on or before February 28, 2022.

On completion of the Transaction (the "Closing"), the Company has agreed to issue 7,500,000 common shares in the capital of the Company (the "Consideration Shares"), at a deemed price of $0.145 per common share, and 3,750,000 share purchase warrants (the "Consideration Warrants") in consideration for the acquisition of all of the securities of Iron Forge. The Consideration Warrants are exerciseable for a period of two years at an exercise price of $0.20 per common share. There will be no change of control of the Company. The Company is not assuming any long term debt as part of the Transaction and no finders fees are being paid.