First Phosphate Completes Strategic Land Acquisition; Announces Positive Assay Results at Lamarche

Saguenay, Canada - Newsfile Corp. - September 14, 2022 - First Phosphate Corp. ("First Phosphate" or the "Company") is pleased to announce that it has completed its primary phosphate land acquisition strategy in the Saguenay Region of Quebec having fully purchased all existing claims that it had under option from third parties.

First Phosphate now owns a total of 2,693 mineral land claims under full title, representing 1,505 sq. km of land in the Saguenay Region of Quebec. All claims are free and clear of any Net Smelter Royalties ("NSRs") and all other forms of royalty. The majority of the claims are found near heavy haul roads within 80 - 150 km driving distance of the deep sea Port of Saguenay, with unimpeded large vessel access to the world.

"Completing our strategic land acquisition in mining-friendly Saguenay, Quebec is an important step for First Phosphate. We can now focus on developing our capability to extract and refine advanced phosphate material for the LFP Battery industry right here in Quebec, Canada," said Chief Executive Officer, John Passalacqua.

First Phosphate has also staked additional mineral claims in 10 specific areas of rich phosphate occurrence in and around the area of its existing claims. The claim areas are classified as Alex, Antoine, Brochet, Catherine, Flagship Extension South, Fleury, GM2232, Gouin, Lamarche, MR3111, Perron, Sault and Yves. These phosphate showings are located within oxide cumulates in anorthosite rock and range from 3.0% to 16.3% P2O5 ("phosphorus pentoxide"). A geologist consultant for the Company has been engaged to gather samples at primary locations for laboratory analysis. Results will be conveyed over the coming months.

Additional claims were recently acquired from local prospectors in the Brochet, Flagship Extension South and Perron areas for cumulative cash consideration of $24,000 and 188,000 shares in the capital of First Phosphate. Shares issued are subject to a 12-month hold period.

Lamarche Property Assay Results

First Phosphate has also received promising assay results for its Lamarche Property, confirming the presence of high-grade phosphate.

The main feature of the Lamarche Property is a 7 km long airborne magnetic linear anomaly that runs in a southwesterly direction. Two historical grab samples initially taken and assayed by prospectors returned results of 10.5% and 12.0% P₂O₅ in an oxide cumulate, with excess of 90% oxides (magnetite and ilmenite rich in iron and titanium) and apatite (P₂O₅). As part of the Company's initial investigations, First Phosphate assayed results for 15 grab samples over 4 claims on 0.6 sq. km of the Lamarche Property.

The following results confirmed the presence of high grade P₂O₅ as follows. Significant iron and titanium were also present:

Sample #	EASTING	NORTHING	%P2O5	%Fe2O3	%TiO2
E5365609	326032	5402189	16.21	33.73	5.80
E5365606	326101	5402465	14.99	37.14	5.22
E5365602	326932	5402985	14.65	44.99	12.31
E5365601	326894	5403052	12.92	39.25	5.61
E5365608	326041	5402525	12.10	40.25	5.29
E5365610	326032	5402189	10.61	46.71	10.65
E5365604	326442	5402995	9.81	38.26	8.02
E5365613	325698	5402033	9.80	43.55	5.24
E5365612	325717	5402087	9.76	37.67	6.38
E5365605	326187	5402546	9.50	25.95	5.24
E5365615	325087	5402085	7.32	28.30	4.80
E5365614	325231	5402010	0.88	8.79	1.64
E5365611	325936	5402166	0.61	22.96	5.99
E5365607	326101	5402465	0.50	8.03	0.18
E5365603	327594	5402453	0.41	44.75	8.83

Table 1: First Phosphate Recent Sample Program at Lamarche. Analytical Results of High-Grade Phosphorus Pentoxide, Ferric Oxide, Titanium Oxide.

The samples were collected over a length of 1.5 km. The width of the mineralized zone is at least 230 m. A strong magnetic linear anomaly occurs directly over the mineralized area. Samples E5365601 and E5365602 are located at the northern tip of the mineralized zone and 500 m to the east indicating a potential extension or a significant increase in width of the phosphate-bearing rocks. Sample E5365615 is located 680 m west of the southern tip of the sampled area but outside of the main magnetic anomaly.

Another important finding was the analysis of 43 trace elements (including arsenic, cadmium, thorium, uranium and other REEs) indicated a very low concentration of any such potentially deleterious elements, which represents the purity level necessary for phosphate usage in the Lithium Iron Phosphate (LFP) Battery industry.

"We are excited by these results, and for the future of these properties and their surrounding communities as we continue to develop a clean, high-grade, and consistent source of phosphate for the LFP Battery industry in North America," added Mr. Passalacqua.

First Phosphate Property Locations



Figure 2: First Phosphate Location Map Displaying the Company's Flagship Lac Orignal Property and Additional Bluesky Properties that the Company holds in the Saguenay Region of Quebec.

To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/8917/137089_4c4b3c53a4de7b1b_001full.jpg

Stock Options Update

The Company also announces today that it has approved the grant of 2,600,000 stock options to purchase common shares of the Company (the "Options") to certain eligible persons of the Company, at an exercise price of $0.25 per share, with an expiry date of three years from the date on which the Company's shares commence trading on a stock exchange in Canada (the "Listing"). The Options are subject to time-based vesting such that 25% vests immediately upon the Listing, with increments of 25% vesting every 6 months thereafter. The terms of the Options granted are in accordance with the Company's stock option plan approved by shareholders of the Company on August 25, 2022. All securities issued are subject to a statutory hold period of four months plus one day from the date of issuance, in accordance with applicable securities legislation.