Battery Mineral Resources Corp. completed a detailed ground magnetics survey of 620 line-km over the Cinabrio concessions at the Punitaqui Mine Complex. These concessions host the historic Cinabrio mine, the San Andres resource, and the Cinabrio Norte resource.

The principal goal of the survey was to characterize the magnetic signature of the formerly producing Cinabrio mine, and the San Andres and Cinabrio Norte resources. Intends to use this magnetic signature information to explore the greater property area to attempt to discover potential new mineralization. The magnetic survey clearly delineated a magnetic signature for the known deposits and significantly enhanced the understanding of several prospective targets onBMR claims. Details of Program: Argali Geofisica Chile E.I.R.L completed the field work in two phases, the eastern grid in June 2022 (301.7 line-km) followed by the adjacent western block in February 2023 (317.8 line-km).

Both survey grids consisted of east-west lines and some north-south tie-lines with a spacing of 50m. Magnetic data was acquired as a continuous profile once every second that yielded a station spacing of approximately 0.5m to 1.5m. Survey control was maintained with an internal high-quality GPS system.

Complete UTM coordinates and elevation data were simultaneously acquired with each magnetic reading. A GEM- 19 magnetometer was used as a base station and a second unit as the mobile survey unit. During data processing all of the magnetic responses identified during the field survey attributable to physical features such as mine infrastructure, power lines, fences, houses and pipelines were deleted.

The following magnetic products were generated from the data: Total Field Map (TMI); Pole-Reduced (RTP) Map (Upward continued 10, 50, and 100 m); Analytic Signal of Vertical Integration of TMI; Analytic Signal of TMI; Vertical Derivative of TMI; Elevation (Shaded and contours). Data Analysis: Analysis of the data indicates that remanent magnetism is likely present in some areas. Consequently, the data were modelled with both the UBC MAG3D and the Magnetic Vector Inversion (MVI).

The MVI inversions were provided by Ellis Geophysical Consulting of Reno Nevada. Both inversions generated a 3D model of the magnetic susceptibility that fit the observed total field magnetic data. The magnetic susceptibility is directly related to the magnetite content of most rocks, so the 3D susceptibility model provides a strong model of the subsurface magnetite distribution.

At the Cinabrio mine, a moderately strong magnetic response was identified on the west side of the main deposit that correlates with mapped east dipping magnetic sedimentary horizons which host the copper mineralization. The 3D inversions also confirm the strongest observed magnetic anomalies are at surface and weaken to the east due to the steep dip of the magnetic zones. Similar magnetic signatures were identified at the San Andres and Cinabrio Norte resources.

The San Andres magnetic signature is shallow with limited depth extent around 200m that correlates well with the geological interpretation that San Andres is the off-faulted upper portion of the Cinabrio deposit. Several magnetic anomalies appear similar in size and amplitude to the Cinabrio Mine magnetic signature. These magnetic anomalies correlate with local historic copper oxide mine workings and with exploration targets that had been identified by earlier surface geological mapping, prospecting, and rock sampling by BMR prior to the magnetic survey.

Much of the mapped and prospected areas had not previously been explored by previous operators on the Cinabrio concessions. Battery technical staff identified several surface anomalies including La Higuera, Salguera, St. Elvira and Campo Velado.

The La Higuera target, located east of Cinabrio, hosts the largest and strongest magnetic anomalies that consist of a larger response in the center flanked by anomalies to the west and east. Each magnetic target is composed of multiple smaller anomalies indicting both widespread and concentrated magnetite distribution. Additional ground follow-up is being planned by BMR geologists.

North of La Higuera, is the Salguera target where NW to NNW trending magnetic anomalies correlate well with mapped sedimentary stratigraphy, particularly the northern part of Salguera which had been previously identified by BMR as an exploration target. The stronger anomalies detected south of the road have not been previously identified as exploration targets. These strong, east dipping magnetic lineaments are interpreted to be associated with the same magnetic sedimentary unit.

Further detailed field investigations are planned. In the northern part of the survey grid, the Campo Velado target is associated with relatively narrow magnetic anomalies with limited depth extent. These magnetic responses are weaker and less well-defined but there is an interesting NNE trending structural target that BMR geologists believe warrants further investigation.

The St Elvira target situated in the southwest part of the grid hosts multiple strong anomalies typically striking from NW to NS. The character of this anomaly is somewhat different from the Cinabrio area, indicating that the magnetic source and bedrock lithology may be different. This magnetic target coincides with a number of historic oxide copper workings.

The regional NW trending fault, locally known as the Inferillo Fault, coincides with a strong magnetic linear feature. Another magnetically anomalous zone, Inferillo, is observed to the NW of the fault. Some of the linear anomalies in this area resemble the anomalies near Cinabrio, so it is possible that the favourable sedimentary sequence is present.

Shallow colluvium covers many of the anomalous areas. Summary: The magnetic survey has clearly delineated a magnetic signature for the known deposits (Cinabrio, San Andres and Cinabrio Norte) and significantly enhanced the prospectivity of the La Higuera, Salguera, Campo Velado and St Elvira Inferillo targets.