Athabasca Minerals Announces Sand Supply Agreement and Strategic Transload Agreement

Calgary, April 5, 2023 - Athabasca Minerals Inc. (TSXV: AMI) ("AMI" or the "Corporation") announces its subsidiary AMI Silica LLC ("AMIS" or the "Company") has signed a multi-year transload agreement (the "Transload Agreement") for the delivery of its silica sand into the Grande Prairie, Alberta region. In addition, AMIS has signed an eighteen-month Sand Supply Agreement (the "Sand Agreement") with a commitment to provide various product specifications to a leading North American oilfield services firm.

The Sand Agreement provides a minimum commitment of 20,000 U.S. tons per month of 40/70 frac sand with the option for the customer to purchase additional volumes. The total minimum commitment for the Sand Agreement is 360,000 tons, subject to pricing adjustments. This agreement increases the Company's offtake capacity for frac sand in Western Canada and protects the Company from medium-term market fluctuations.

The Transload Agreement gives AMI Silica LLC the capability to build on its strategic logistics network by adding additional supply into the growing Canadian oil and gas market. The Grande Prairie transload gives AMIS the ability to transport and sell a minimum of 30,000 Metric Tonnes of product per month into the Montney, Eastern Duvernay, and Deep Basin regions. This agreement has a two-year term with the option to extend, by mutual agreement, for up to two additional terms of twelve months.

Chief Executive Officer Dana Archibald states, "Combined with our multi-year transload agreement previously announced on November 24, 2022, we continue to add to our network in Western Canada. These transload partnerships provide AMI Silica LLC with the ability to adjust our business model from selling at our mine gate to selling directly to our customers, in-basin. This new business model increases our revenue per ton, insulates the Company from increased supply pressures in Wisconsin, allows us to better serve our customers, and to build the AMI Silica LLC brand in key markets served by our transloads. Our team continues to focus on producing a high-quality sand, increasing our production capacity and solidifying long-term sales of our products."

The Corporation owns a 50% interest in AMI Silica LLC with its partner JMAC Energy Services LLC ("JMAC") owning the other 50% interest. JMAC is controlled by Jon McCreary, a director of Athabasca Minerals Inc.

ABOUT ATHABASCA MINERALS INC.
Athabasca Minerals is an integrated industrial minerals company focused on the production and delivery of frac sand to Canada and the United States. Athabasca also operates aggregate operations in Western Canada and maintains the largest platform for buying, selling and transporting of aggregates through its 100% owned technology platform, AMI RockChain.

For further information, please contact:

• Cheryl Grue, Director, Corporate Affairs
  Tel: 587-392-5862 / Email: cheryl.grue@athabascaminerals.com
  W: www.athabascaminerals.com

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

FORWARD-LOOKING STATEMENTS
This news release contains certain statements or disclosures relating to Athabasca that are based on the expectations of its management as well as assumptions made by and information currently available to Athabasca which may constitute forward-looking statements or information ("forward-looking statements") under applicable securities laws. All such statements and disclosures, other than those of historical fact, which address activities, events, outcomes, results or developments that Athabasca anticipates or expects may, or will occur in the future (in whole or in part) should be considered forward-looking statements. In some cases, forward-looking statements can be identified by the use of the words "would", "will", "anticipates", believes", "explores" and similar expressions. Athabasca believes the material factors, expectations and assumptions reflected in the forward-looking statements are reasonable at this time but no assurance can be given that these factors, expectations and assumptions will prove to be correct. Such forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking statements.

Readers are cautioned not to place undue reliance on these forward-looking statements. Furthermore, the forward-looking statements contained in this news release are made as at the date of this news release and the Corporation does not undertake any obligation to update or revise any of the forward-looking statements, except as may be required by applicable securities laws.

Additional information on these and other factors that could affect the Corporation's operations and financial results are included in this news release and may be accessed under Athabasca's profile on SEDAR at www.sedar.com.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/161309