Heads of Terms with Cornish Lithium

22 February 2022

IGas Energy plc (AIM: IGAS)

("IGas" or "the Company")

Heads of Terms with Cornish Lithium

IGas has agreed a Heads of Terms with Cornish Lithium, the innovative mineral exploration and development company based in Cornwall, to work together to evaluate suitable sites where geothermal heat can be developed on a commercial basis.

Cornish Lithium has secured extensive land and mineral rights agreements in the South West of England, and has developed 3D models of the sub-surface geology and mineral potential of the region utilising historic records combined with data from modern sources such as satellite imagery, geophysical data and drone mapping.

Cornish Lithium will work with IGas to develop projects in Cornwall that can supply renewable heat to end users and will also evaluate the potential to extract lithium from the geothermal waters. IGas will bring its experience of well design, drilling and operational management to the projects.

A technical and commercial evaluation of a number of potential project locations is underway, which should result in an initial project location being identified. IGas and Cornish Lithium will then jointly develop the initial project location as a pilot scheme.

Stephen Bowler, IGas Chief Executive, commented:

"This collaboration with Cornish Lithium is another important step in our drive to diversify and leverage our operational expertise. 

This complements the ongoing work on hydrogen production and carbon storage and further augments our geothermal business."

Jeremy Wrathall, Founder and CEO of Cornish Lithium added:

"We are excited to be working with the team at IGas. The combination of our understanding of Cornwall's geology and IGas's understanding of geothermal heat projects will be mutually beneficial to both companies. This represents a significant opportunity to accelerate the development of geothermal heat projects in Cornwall that can decarbonise local businesses."

For further information please contact:

IGas Energy plc Tel: +44 (0)20 7993 9899

Stephen Bowler, Chief Executive Officer

Ann-marie Wilkinson, Director of Corporate Affairs

Investec Bank plc (NOMAD and Joint Corporate Broker) Tel: +44 (0)20 7597 5970

Sara Hale / Virginia Bull / Jeremy Ellis

Canaccord Genuity (Joint Corporate Broker) Tel: +44 (0)20 7523 8000

Henry Fitzgerald-O'Connor / James Asensio

Vigo Consulting Tel: +44 (0)20 7390 0230

Patrick d'Ancona / Chris McMahon / Kendall Hill

About Cornish Lithium

Cornish Lithium is a highly innovative mineral exploration and development company focused on the environmentally-sustainable extraction of lithium from geothermal waters and hard rock in the historic mining district of Cornwall. The Company has secured agreements with the owners of mineral rights over a large area of the County and is using modern technology to re-evaluate the region for its potential to produce lithium and other vital technology metals in a low carbon and low impact manner. A secure domestic supply of such metals is considered vital to the industrial strategy of the UK as it moves towards Net Zero 2050 and the production of electric vehicles.

For more information about Cornish Lithium, visit www.cornishlithium.com