StrategX Elements Corp. announced the signing of a Mineral Exploration Agreement with Nunavut Tunngavik Inc. for a 20-year mining lease on a 2,665-hectare property (Project Nagvaak), located approximately 20 km west of the Company's Mel property on the Melville Peninsula, Nunavut, Canada. This property is an excellent addition to the Company's portfolio as it is a targeted area not previously recognized for hosting energy transition metals specifically, nickel, vanadium, cobalt, molybdenum, copper, and platinum group elements.

The polymetallic target is hosted in an underexplored regional-scale early Proterozoic sedimentary basin (Penryhn Group). Surface results to date confirm an extensive mineralized system over 7 kilometres long by 500 metres wide. A total of 144 rock grab samples were collected from sulphidic graphite schist and quartzite in float, sub-crop boulders and outcrop.

The area has less than 5% outcrop in this part of the Melville Peninsula region. Anomalous samples are considered significant when they represent 10x's the average crustal abundance for an element typically in the two-to-three-digit ppm value range (10-100+ ppm) (Interpreting Multielement Geochemistry data, Scott Halley 2016). Sampling at Project Nagvaak returned anomalous metal values in the four to five-digit range (1,000 to 10,000's ppm).

The nickel concentration levels are in the range for many of the samples from 1,000 ppm to greater than 5,000 ppm Ni or 0.5%. A calculation in nickel equivalence by grouping the elements was deemed appropriate based on the nature of the observed mineralization and for comparative economic evaluation purposes. The Nagvaak project area was previously explored for zinc by Aquitaine during the early 1970's and by BHP during the 1990's and was never approached as a polymetallic sedimentary-hosted deposit type.

Initial exploration by StrategX was focused on identifying extensive mineralized areas hosted in the Penrhyn Group metasedimentary rift basin on the Melville Peninsula. Two major surface anomalies have been interpreted based on previous grid till geochemistry completed by BHP and correlate with rock samples collected in these areas by the Company. StrategX plans to advance the targets in the next field season and is applying for the necessary permits and licenses to also complete a drill program.

The next phase of exploration will include more prospecting, sampling, mapping, and advanced geophysics to prioritize the drill targets.