Enova Mining Ltd. announced that it has entered into a binding option agreement to acquire 100% of the POCOS, JUQUIA, RESPLENDOR, CARAI, SANTO ANTONIO & SALINAS EAST Prospects located in Brazil with a dominant strategic land holding of 67,579 Ha or 675.79km2. The majority of the tenements are strategically situated in Brazil's prolific Pocos de Caldas /Caldeira Rare Earth Complex and Lithium Valley in the mining friendly state of Minas Gerais. The tenements are in proximity to several world class deposits, being Sigma Lithium's Grota do Cirilo Resource (77Mt @ 1.43% Li2O + 8.5Mt @1.43% Li2O Inf) and Latin Resources Salinas Project (45.2Mt @1.32% Li2O), along with other major explorers such as Lithium Ionic and Atlas Lithium.

Discussions have begun with drilling contractors to conduct a 'first pass' drilling program on the rare earth tenements as soon as feasible. Enova, subject to completion of Due Diligence, obtaining Shareholder Approval and the results of an initial report on mineral exploration as set out below, plans on an aggressive exploration campaign with a ready to mobilize on-ground team. The tenements are located nearby to well-established highways, infrastructure, water access, hydroelectric power and proximity to commercial ports.OUR OPPORTUNITY.

Enova also has the right to buy-back half of the NSR for AUD 500,000; in the event Enova reports a 10m or greater continuous intercept at 1% Li20 (Spodumene) on the Permits within 5 years, Enova will make a payment of AUD 1,000,000 to RTB; and in the event Enova reported a JORC Compliant Inferred Resource (or greater) of 10 million tonnes @ over 1,000 ppm TREO, in the Pocos and/or Juquia Prospects, Enova shall issue RTB 15,000,000 shares, subject to shareholder approval if the Company does not have the available placement capacity at the relevant time. RTB will facilitate the completion of a partial or final exploration report covering the Permits to the Brazilian National Mining Agency ("Exploration Report") (g) The parties have agreed to, on request by either of the parties, negotiate and enter into a formal agreement to fully document the terms of the Option Agreement and otherwise contain terms and conditions considered standard for an agreement of its nature. If the Company does not start commercial production after two the date of the Exploration Report, the Company will pay RTB, per each Permit: (i) $50,000 every twelve months for the first two years of default; and (ii) $100,000 every twelve months from the third year of default until the beginning of commercial production on at least one of the Permits.

GBA Capital has provided support for the Placement of $1.5M, as announced on 22nd August 2023. Subject to exercising the Option during the Due Diligence Period, Enova will only commit to initial expenditure of AUD 100,000 to fund preliminary work on the Permits. Any decision on further expenditure on the Permits will be subject to Enova conducting due diligence during the Due Diligence period and beyond, should Enova choose to exercise the Option to acquire the Permits.

Enova also confirms that it's previously committed expenditure at Charley Creek will remain unchanged as a result of Enova executing the Option Agreement. During the Due Diligence period, the tenements will be assessed by a team of expert geologists, specialising in lithium and rare earth associated geology, competent persons (AusIMM qualified) in this field of expertise. Given the magnitude of areas on offer, geological field reconnaissance will focus on recognised/identified targets for investigation.

The local team have decades of experience, information, and local contacts to guide their way. In addition, a thorough review of the tenements will be undertaken to ensure tenure is secure. The Board of Directors will review findings from the Due Diligence team and seek further advice.

The Board of Directors will reviewed findings from the Due Diligences team and seek further advice.