Vulcan Minerals Inc. – Atlas Salt Releases Robust PEA Results on the Great Atlantic Salt Deposit

ST. JOHN'S, Newfoundland and Labrador, Jan. 31, 2023 -- Vulcan Minerals Inc. ("the Company" - "Vulcan" TSX-V: VUL), is pleased to announce that Atlas Salt Inc. (TSXV: SALT), a related company, has released the results from a Preliminary Economic Assessment (PEA) of its Great Atlantic salt deposit in Western Newfoundland completed by SLR Consulting (Canada) Ltd. The complete copy of the Atlas Salt news release can be found here https://atlassalt.com/news providing full context for the highlights below.

Highlights:

• Robust economic valuation based on a pre-tax net present value (NPV) of $909 million at an 8% discount rate as per a 30 year cash flow model at a production rate of 2.5 million tonnes per year (Mtpa) yielding an Internal Rate of Return of 22%
  
  
• Low cost production - utilizing a Q4 cost basis of $23.81 per tonne FOB
  
  
• Mining infrastructure designed to increase production up to 4 Mtpa plus recognition that mineral resources are available for a much longer mine life
  
  
• Indicated Mineral Resource of 187 million tonnes (Mt) at 96.4 % NaCl, plus Inferred Mineral Resource of 999 Mt at 95.6 % NaCl
  
  
• Project designed to utilize electricity as the environmentally friendly energy source
  
  
• Access to the underground deposit through dual declines allowing for production scalability and economic efficiencies
  

Economic Summary:

Table 1:Summary of Economic Outcomes - Initial 30 Year Production Plan at 2.5 Mtpa

Vulcan retains a 3% net production royalty on the mineral licences it transferred to Atlas Salt (formerly Red Moon Resources Inc.) upon spinout of Atlas Salt from the company in 2012, which includes the Great Atlantic Salt project. Vulcan also owns 28,891,000 shares (31.2% of the outstanding shares) in Atlas Salt Inc.

Patrick Laracy, President commented "The PEA evaluation is very impressive. It is gratifying to have this independent PEA confirm the project's compelling commercial merits. When considering production rates greater than 2.5 Mtpa and a mine life beyond 30 years, significant additional valuation upside is present. I look forward to the finalization of the feasibility study and the development of this project. Projects of this nature have the potential to be in production in excess of 50 years based on comparable salt mines in North America with all the attendant economic benefits."

About Vulcan

Vulcan Minerals is a precious and base metals exploration company based in St. John's NL, with strategic land positions in multiple active Newfoundland gold exploration and development belts. The Company has leveraged its exploration exposure in most of this land position through equity ownership of other explorers obtained by way of option and royalty agreements. It also holds 31.2% of the outstanding shares in Atlas Salt. Atlas Salt is carrying out a feasibility analysis on its Great Atlantic salt deposit in western Newfoundland strategically located in the robust road de-icing market of eastern North America.

Patrick J. Laracy, P. Geo. President, is the qualified person responsible for the technical contents of this news release as defined in National Instrument 43-101.

We seek safe harbour.

For information please contact:
Patrick J. Laracy, P.Geo.
President
(709) 754-3186
info@vulcanminerals.ca
www.vulcanminerals.ca

Neither the TSX Venture Exchange nor its Regulation Services Provider, (as the term is defined in the Policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. This press release includes certain "forward-looking information" and "forward-looking statements" (collectively "forward-looking statements") within the meaning of applicable Canadian securities legislation. All statements, other than statements of historical fact, included herein, without limitation, statements relating to the future operating or financial performance of the Company, are forward-looking statements. Forward-looking statements are frequently, but not always, identified by words such as "expects", "anticipates", "believes", "intends", "estimates", "potential", "possible", and similar expressions, or statements that events, conditions, or results "will", "may", "could", or "should" occur or be achieved. Forward-looking statements in this press release relate to, among other things: completion, delivery and timing of the referenced assessments and analysis and assumptions related thereto including access to existing infrastructure. Actual future results may differ materially. There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements. Forward-looking statements reflect the beliefs, opinions and projections on the date the statements are made and are based upon a number of assumptions and estimates that, while considered reasonable by the respective parties, are inherently subject to significant business, technical, economic, and competitive uncertainties and contingencies. Many factors, both known and unknown, could cause actual results, performance or achievements to be materially different from the results, performance or achievements that are or may be expressed or implied by such forward-looking statements and the parties have made assumptions and estimates based on or related to many of these factors. Such factors include, without limitation: the timing, completion and delivery of the referenced assessments and analysis. Readers should not place undue reliance on the forward-looking statements and information contained in this news release concerning these times. Except as required by law, the Company does not assume any obligation to update the forward-looking statements of beliefs, opinions, projections, or other factors, should they change, except as required by law.