TechGen Metals Limited announced that it has exercised the option and completed the acquisition of a 100% interest in the Cyclops Ni-Cu-PGE Project. The Cyclops Ni-Cu-PGE Project is located in the world-class mineral province of the Pilbara Craton in Western Australia. The project is located 75km southeast of Marble Bar on granted Exploration Licence E45/5967 covering an area of 38km2.

The Cyclops Project comes with three high-priority untested airborne EM targets located in an area where previous rock chip sampling and drilling has confirmed the presence of ultramafic rock types. The Cyclops Project is highly complementary to the Company's existing base and precious metal project portfolio. The Company considers the project prospective for mafic-ultramafic hosted Ni-Cu-PGE mineralisation.

Plate modelling of the available airborne EM data has refined the three targets ready for drill testing. Four reverse circulation holes were drilled in the Cyclops Project area in 1972 by Carpentaria Exploration Company Pty Ltd. These 4 drill holes targeted magnetic highs and induced polarisation targets and all intersected thick sequences of logged ultramafic rock types which are a common host to magmatic intrusive style nickel - copper - PGE deposits. Hole PH5 returned an intersection of 111m @ 0.2% nickel from surface to end of hole confirming the presence of ultramafic rocks.

The maximum drill hole depth was 134m at a dip of -60 degrees. The VTEM plates remain untested by previous explorers to date. An airborne EM (VTEM) survey was flown over a large portion of the current Cyclops Project area by Gondwana Resources Limited in 2011.

This survey identified 7 EM targets (conductors) considered by Gondwana of possible interest. Some of the identified EM targets are associated with magnetic highs and some with magnetic lows. Platypus Minerals Ltd. collected a rock chip sample (P702234) of ultramafic material in 2015 approximately 150 metres from the Cyclops 2 Prospect which assayed 1,000ppm Ni and 2,000ppm Cr confirming the presence of desired ultramafic rocks close to the Cyclops high-priority EM targets.

Following processing of the previous airborne EM data, TechGen considers 3 of the EM targets to be of high priority. The 3 EM targets sit close to geological contacts between the Archean-aged Dalton Suite (intrusive mafic & ultramafic units), Mount Roe Basalt (basalt and sedimentary units) and Hardey Formation (sedimentary & felsic volcanic units) and are considered prospective locations for the occurrence of mafic-ultramafic hosted Ni-Cu-PGE mineralisation. The Company has signed a Tenement Sale Agreement with Mining Equities Pty Ltd. (ACN 627 501 491) (Mining Equities) pursuant to which TechGen was granted an exclusive option to acquire a 100% legal and beneficial interest in Exploration Licence E45/5967 and associated mining information (Assets) upon payment of an option fee (Agreement).

The key terms of the Agreement are summarised below: TechGen paid a non-refundable cash option fee of AUD 10,000 (Option Fee) to Mining Equities within 5 days of the parties signing the Agreement, for TechGen to have the exclusive right, during a 90 calendar day exclusivity period (commencing on the execution of the Agreement) (Exclusivity Period), to purchase 100% legal and beneficial interest in the Assets free from encumbrances. During the Exclusivity Period, TechGen undertook legal and technical due diligence in relation to the Assets. TechGen has given notice of exercise to Mining Equities pursuant to the Agreement.

TechGen has agreed to provide the following consideration to Mining Equities (and/or its nominees) for the acquisition of the Assets: On Completion, TechGen will issue that number of shares equating to $25,000 in total in the capital of TechGen, issued at a price equal to the 5 day VWAP before the Completion Date (Consideration Shares). In the event that TechGen conducts drilling on the Tenement and intersects a minimum of 5m (continuous) at 1% Ni equivalent within 5 years of Completion, TechGen will issue to Mining Equities that number of shares equating to $50,000 in total in the capital of TechGen (issued at a price equal to the 5 day VWAP before an announcement of completion of the drilling). In the event that TechGen delineates a JORC 2012 compliant Indicated Mineral Resource of a minimum of 5 million tons at 1% Ni equivalence within 5 years of Completion, TechGen will issue to Mining Equities that number of shares equating to $150,000 in total in the capital of TechGen, issued at a price equal to the 5 day VWAP before an announcement of an Indicated JORC Mineral Resource.

TechGen must also pay Mining Equities a 1% net smelter return royalty on the sale of any minerals mined from the area the subject of the Tenement by or on behalf of TechGen.