Fortune Minerals provides Nico project technical report update

6 June 2019

Fortune Minerals Limited is pleased to provide a progress report on the study nearing completion by Hatch Ltd., P&E Mining Consultants Inc. and Micon International Limited updating the 2014 National Instrument 43-101 Technical Report on the NICO Project Feasibility Study. The updated Technical Report is assessing the economics of four different development scenarios for the Company's 100% owned NICO Cobalt-Gold-Bismuth-Copper Project ("NICO Project"), including a vertically integrated project with a refinery in southern Canada as originally contemplated as well as lower capital cost options that involve selling gold and concentrates from the mine site in the Northwest Territories. The study will be based on current capital and operating costs and currency exchange rates at a 30% expanded throughput rate of 6,000 tonnes of ore processed in the mill per day and longer term commodity prices reflecting metal market dynamics. Hatch has also completed value improvement studies for a number of unit operations that are being engineered for inclusion in the updated Technical Report. In particular, changes to the cobalt and bismuth downstream process, together with the higher throughput rate, will help mitigate increases in capital costs from escalation and reduce commissioning and operational risks. They will also result in the production of a superior cobalt sulphate product to the one produced in Fortune's earlier pilot plants.