REG - 80 Mile PLC - Completion of White Flame Energy Acquisition

80 MileAnnouncement

19/11/2024 07:00

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RNS Number : 6926M  80 Mile PLC  19 November 2024

 

 AIM: 80M

 FSE: S5WA

 

19 November 2024

80 Mile PLC / Ticker: 80M / Market: AIM / Sector: Mining

Completion of White Flame Energy Acquisition and Extension of Key Exploration
and Production Licenses in East Greenland

80 Mile plc ('80 Mile' or the 'Company'), the AIM, FSE listed and Pink-Market
traded exploration and development company with projects in Greenland and
Finland, is pleased to announce key developments following the approval of its
acquisition offer for White Flame Energy Limited ("WFE") by shareholders at
the General Meeting held on July 10, 2024.

Key Highlights:

·     Shareholder and Regulatory Approvals: The acquisition offer for
WFE, approved by 80 Mile shareholders at the General Meeting on July 10, 2024,
has now received necessary regulatory approvals from the Greenland Government.

 

·    As part of this process, WFE has been granted a four year extension
to the first licensing sub-period.

·     Full Ownership Secured: With regulatory and shareholder approvals
in place, 80 Mile is exercising its option to acquire 100% of WFE,
transitioning to complete control of the company. Following completion, 80
Mile will hold 95% of the issued capital in WFE and will move to compulsorily
acquire the remaining 5%.

 

·     Each WFE shareholder will receive 4.74 shares in 80 Mile as part of
this acquisition resulting in the issue of an initial 834,444,325 new ordinary
shares ("Consideration Shares") on completion for 95% of WFE.

 

·     The total acquisition cost for 100% of WFE is £2.75 million to be
satisfied via the issue of 879,490,831 using the value of the Company's
Ordinary Shares calculated on the basis of the volume weighted average price
of the Ordinary Shares for a 60 trading day period prior to the date of the
announcement made on 20 June 2024 being £0.003127 per Ordinary Share.

 

·     Preparations for Exploratory Drilling: With ownership finalised
and licensing extended, 80 Mile will now commence essential work programmes
required for exploratory drilling in licensing sub-period #2. These
initiatives are aimed at gathering data to guide future drilling and
exploration in line with Greenlandic regulatory standards.

Additional Project and Transactional Information

·     Highly prospective for helium, white hydrogen as well as all
industrial gases & natural gas and liquids.

 

·     Three granted exploration and exploitation licences adjacent to
Pulsar Helium's Tunu project covering 8,429 km².

 

·   Jameson Land (the "Project") has been subjected to more than five
decades of study with total expenditure estimated at approximately US$125
million ("m") by ARCO as well as the Danish & Greenland Governments and
White Flame. Work includes ±1800 linear kilometres ("km") of seismic surveys,
airborne surveys, permeability & porosity studies, construction of the
Constable Point airport as well as advanced production feasibility studies.

 

·   Basin has anomalous helium and white hydrogen occurrences, as well as
working liquid-rich hydrocarbon reservoirs with potential resources estimated
by management to contain in excess of +2.4 to 8.1 billion barrels of liquid
hydrocarbon equivalents in place (not to a recognised standard).

 

·    The Project is the west mid Atlantic post rifted, onshore, eastern
half of the gas and hydrocarbon bearing North Sea basin located in East
Greenland.

80 Mile's move to take full ownership and control of WFE along with the
extension of its Greenland licenses provide a robust platform to advance
exploration in one of the world's last remaining untapped gas &
liquid-rich basins. The Jameson Land region, encompassing 8,429 square
kilometres ("km²"), has long been recognized for its potential to host
significant quantities of industrial gases, including helium and hydrogen as
well possible hydrocarbon byproducts. This area, one of the few underexplored
onshore basins globally, holds substantial potential to support the increasing
global demand for clean energy resources.

With the recent four year extension to its licenses, 80 Mile is strategically
positioned to conduct comprehensive and sustained exploration activities in
East Greenland. The Company is committed to initiating targeted work
programmes that include environmental studies, detailed geological
assessments, and additional data acquisition to guide future exploration.
These work programmes are essential to de-risk forward looking activities and
ensure regulatory compliance as the Company progresses into exploratory
drilling. By adhering to Greenlandic regulatory standards and engaging with
local stakeholders, 80 Mile aims to foster a responsible, transparent approach
to in country resource development.

The acquisition of WFE and the planned work programmes are a vital part of 80
Mile's broader strategy to diversify and strengthen its portfolio in
industrial gases and energy resources, positioning the Company to be a key
player in the energy transition. This initiative not only secures the
Company's foothold in a highly prospective region but also aligns with its
long-term commitment to creating sustainable value for shareholders through
disciplined exploration and development.

The Company is also currently evaluating downstream opportunities in the
sector and will advise as and if opportunities arise.

Eric Sondergaard, Managing Director of 80 Mile, commented:

"The completion of the White Flame acquisition, along with the extension and
transfer of our key licenses in Jameson Land, marks a significant milestone in
our growth strategy. This acquisition not only enhances our strategic
portfolio but positions 80 Mile at the forefront of exploration for critical
industrial gases, such as helium and white hydrogen, in one of the world's
most promising yet underexplored regions. The investment made in this region
historically underscores its potential, and with these licenses now secured,
we are well-placed to build on past work and maximise shareholder value. Our
focus remains on responsible and sustainable exploration, leveraging our
experience to unlock the potential of these assets and contribute meaningfully
to the global energy landscape."

INFORMATION ON THE JAMESON LAND BASIN PROJECT AND FUTURE STRATEGY

Overview

White Flame was established more than ten years ago and is the 100% owner of
three large scale exploration and exploitation licences that cover 8,429 km(2)
of the Jameson Peninsular, east Greenland. White Flame won an international
open tender process for two licences and subsequently applied for and was
awarded the third in 2014 and 2018 respectively. Since this time, it has
maintained the licences in good standing. The licence lifespans are divided
into three sub periods (three years, three years & four years for a
combined total of ten years before moving into exploitation). White Flame
recently received notification of a three year extension to the first sub
period from the Greenlandic regulators.

The licences are also exploitation licences meaning that if certain
preconditions are met and a discovery is made then White Flame has the right
to move into production. The licences have approximately ten years until
expiry allowing White Flame to undertake sustained, systematic and detailed
work in the entire area. In total White Flame has spent approximately £4m to
date on technical work and resource estimates. However, over its history the
Project area has had investment in excess of US$125 million all the way to
full feasibility studies (in 1989 dollars, meaning far more in today's dollar
terms).

Several directors and shareholders are common between White Flame and 80 Mile
making the transaction far simpler to complete. Post White Flame Acquisition,
the team will be broadly the same and be comprised of highly experienced
arctic logistics experts, corporate and financial professionals including
geological and geotechnical experts all able to provide the necessary skills
to monetise one of the last remaining untested onshore industrial gases and
liquid hydrocarbon plays in the world with potential for large-scale,
world-class discoveries.

Greenland's position on industrial & natural gases and liquid hydrocarbon
exploration and licencing

On 24 June 2021 the Greenland Government announced it would cease issuing
additional hydrocarbon exploration licences. White Flame was informed the same
time that because its licences were valid and in full effect at the time of
this policy change, that this would not affect White Flame, its activities or
its licence terms and that White Flame was free to continue to develop the
Jameson Land Project peninsular as per the conditions in their existing
exploration & exploitation licences.

Introduction

The Jameson Land Basin is one of, if not the last, highly prospective, yet
completely undrilled basins globally, but with a clear genetic link to the
North Sea as well as a scale similar to many of the world's major producing
regions. This claim is not without foundation, 80 Mile will leverage its
acquisition off a comprehensive body of work conducted by US Atlantic
Richfield Company (ARCO) between 1970 and 1990 when more than US$100m was
invested (in 1989 US dollars) in detailed exploration and evaluation
activities. ARCO's work identified multiple, very large gas and liquid
targets.

ARCO's data reverted to the Geological Survey of Denmark and Greenland (GEUS)
upon the US major's withdrawal from Greenland in 1990 with the Danish
Government continuing work on the Project area until 2014 when White Flame was
awarded the licences. ARCO and GEUS concluded that the Jameson Land Basin
contains all the essential source, reservoir, seal and trap elements to host
multiple very-large-scale natural & industrial gas reservoirs in addition
to liquid-rich hydrocarbons, particularly in the central and southern central
regions of the basin. This data, in addition to many subsequently commissioned
independent detailed assessments and reports, indicate there are multiple
multi-billion-barrel-equivalent targets within the basin.

ARCO's liquid hydrocarbon resource estimates

ARCO estimated that the Upper Permian source rocks in the Jameson Land Basin
generated over 40 billion barrels of liquids and the Upper Jurassic source
rocks generated a further 46 billion barrels. Assuming a conservative range of
10%-25% for entrapment efficiency, ARCO calculated that there could be
potentially 4.0 - 10 billion barrels of liquids in place within the Permian
aged reservoir rocks and 4.6 - 11.5 billion accumulated within the Jurassic
along with associated industrial and natural gases.

The entrapment efficiencies are based on empirical estimates of 20-30% for the
East Shetland Basin and approximately 30% for the UK North Sea as estimated by
BP in 1984.These estimates have been since supported by Danish governmental
work on Jameson post ARCO as well as confirmation by independent specialist
consultants and internal white flame management estimates.

To date though, no deep drilling has been undertaken on the Project. One
diamond drill hole called "Blokelv" (see Figure 4) was drilled by the Danish
state survey to determine porosity of surface sediments when it was terminated
after an oil filled belemnite was identified in core logging at 104 metres
therefore there are modern independent resource or reserve figures for the
Project apart from the above internal numbers from ARCO.

The Licences

White Flame owns 100% of the Project via a Greenlandic subsidiary, White Flame
Energy A/S which in turn holds three exploration and exploitation licences
covering 8,429 km² the entire basin on the Jameson Peninsular of East
Greenland. The licences are exploration and production licences, are in good
standing with the Greenland regulators and very recently had notification of
extension of the first sub period for an additional three years. After the
expiry of this new three year extension the licences will still have an
additional seven years before they automatically become exploitation licences,
subject to completion of an EIA, SIA as well as a discovery being made.

The Company can confirm it is fully permitted, with documented confirmation
that licences are in good standing and that the Company may continue to
develop the large-scale gas and liquid rich projects in accordance with the
terms and conditions as set out in their existing licences.

History

The Jameson Land Basin, encompassing Blocks 2015/13, 2015/14, and 2018/40,
(see figure 1) has a rich history of exploration. ARCO and ENI held licenses
for the area until 1990, conducting comprehensive field mapping, sampling
programmes, and acquiring ±1,800 line-km of 2D seismic data. ARCO's
fieldwork, and subsequent studies by the GEUS have continually confirmed the
substantial gas and liquid-rich hydrocarbon potential of the basin.

Jameson Land was subject to more than US$100m worth of detailed exploration
expenditure between the 1970s and 1990's by ARCO and others which included the
construction of what is now the Constable Point Airfield, East Greenland. 80
Mile will leverage off this historical expenditure and infrastructure to fast
track the exploration of these various critical gases, including helium, all
noble gases and white hydrogen, as well as by-products of other hydrocarbon
elements.

ARCO exited all global exploration activities including Greenland as global
commodity prices halved between 1984 and 1986. ARCO laid off over 14,000
employees during the late 1980s recession. This culminated in the
relinquishment of all its exploration assets including Jameson Land. White
Flame did not fully recover from this diminution and was subsequently acquired
by BP in 2000 with the Jameson project being relinquished.

Work programme completed prior to withdrawal

ARCO conducted ±1,800 kilometres of 2D seismic over multiple campaigns in
Jameson Land. In addition, the company invested heavily in infrastructure
including an airport, warehousing and accommodation units. At the time, the
structure of the Jameson Concession licences was ARCO 33%, AGIP 33% with the
balance free carried by both the Danish and Greenlandic governments.

The data set that ARCO generated from its 2D seismic work reverted to GEUS
upon ARCO's withdrawal from Greenland in 1990 and in 2009, White Flame
purchased this data, representing over 30 years of high-quality hydrocarbon
exploration. Recent legislative changes to the Greenland Mineral Resources Act
in September 2014 further facilitated White Flame's 'first mover' opportunity
over Jameson Land.

Helium Prospectivity

Helium is a rare and valuable gas with a variety of unique properties, such as
being light, having a very low boiling point, and being chemically inert.
These characteristics make helium indispensable in numerous high-tech and
scientific applications. It is crucial for a modern civilisation from cooling
superconducting magnets in MRI machines and particle accelerators to
manufacturing semiconductors. As a non-renewable resource predominantly
extracted from natural gas reserves, the scarcity and rising demand for helium
highlight its economic and strategic importance.

Figure 1 Location and White Flame licence coverage as well as other industrial
gas players in the region.

 

Figure 2 Helium and industrial gas anomalous readings along sedimentary
boundaries and basin margin

 

Figure 3: Cross section showing structural and stratigraphic traps, as well as
helium & hydrogen generating crystalline basement

 

Helium is usually found in association with natural gas accumulations. The
Jameson Land Basin's extensive sedimentary layers are thermally mature and
rich in organic material and the presence of ancient volcanic activity
contributing to the potential for helium generation and entrapment this basin
has the potential to be one of the largest producers globally. Although helium
is typically used as a carrier in gas chromatography, anomalous helium results
have been encountered around the basin margin and along sedimentary
boundaries. In addition to this, the known geology and structure of the basin
are conducive to the generation of helium rich gas deposits deeper in the
basin. Compared to other helium, white hydrogen-producing regions, the
potential reserves in the Jameson Land Basin could position Greenland as a
significant player alongside the United States, Qatar, Algeria, and Russia.

The geological characteristics of the basin suggest significant reserves of
gas could occur in large previously identified reservoirs, all of which is
supported by large amounts of historical data as well as geochemical profiles
from previous exploration campaigns.

Several highly anomalous helium results have been collected throughout the
entire area and broader region over the last 50 years, without a systematic
evaluation until now.

The entire area is seen as incredibly prospective for industrial gas
accumulations and the Company is optimistic that a significant discovery can
be made on Jameson. Initially the Company will integrate and re-examine all
historical work for industrial gasses with a site visit set for later Q3 2024
to examine these sampling sites and to take fresh samples.

White Hydrogen Prospectivity

White hydrogen, naturally occurring in certain geological formations, is
highly prized for its minimal environmental impact and cost-effectiveness
compared to green and blue hydrogen. Unlike green hydrogen, which is produced
using renewable energy through water electrolysis and is often
energy-intensive and costly, white hydrogen can be extracted with minimal
environmental disruption and far lower production costs.

In contrast to blue hydrogen, which is derived from natural gas with carbon
capture and storage, white hydrogen has a negligible carbon footprint without
the need for additional carbon management infrastructure. Hydrogen is used
across various sectors, including transportation (fuel cells for vehicles),
industry (refining petroleum and producing ammonia for fertilisers), and
energy storage (balancing intermittent renewable energy sources). This makes
white hydrogen a more economically viable and sustainable option, offering a
cleaner alternative to fossil fuels and industrial hydrogen production methods
while utilising existing infrastructure and serving as a bridge in the
transition to fully renewable energy sources.

·    Geological Processes: White hydrogen (natural hydrogen) can be
generated through water-rock interactions.

·    Faults and Fractures: The extensive network of faults and fractures
within the basin facilitates the migration of hydrogen from the basement to
the sedimentary layers. These pathways are crucial for the accumulation of
hydrogen in traps.

·    Unlike fossil fuels, which take millions of years to form, natural or
'white' hydrogen is continuously replenished.

Results obtained by previous operators identified regional sampling in and
around the basin of six shallow samples indicating concentrations of Hydrogen
of between 3-9% and two samples taken from deeper sources of between 3-7%
Hydrogen.

Similar sized global analogies to the Jameson gas field are;

1.    Maracaibo Basin (Venezuela)

·    Approximate area: 8,500 km² (for the primary producing region)

·    One of the world's richest liquids and gas-producing areas.

2.    Prudhoe Bay Oil Field, (North Slope of Alaska),

·    One of the largest liquids and gas fields in North America.

·    Oil field is approximately 860 km² (332 square miles)

3.    Anadarko Basin (Oklahoma, USA)

·    Approximate area: 8,300 km²

·    Produces liquids as well as industrial and natural gas.

4.            Neuquén Basin (Argentina)

·    Approximate area: 8,000 km² (for the core producing area)

·    Produces liquids and natural gas.

5.      Cooper Basin (Australia)

·    Approximate area: 7,800 km² (for the core producing area)

·    Known for industrial & natural gas, liquids as well as white
hydrogen occurrences.

6.    Songliao Basin (China)

·    Approximate area: 8,500 km² (for the main producing region)

·    Produces liquids, natural and industrial gas.

7.    Piceance Basin (Colorado, USA)

·    Approximate area: 7,800 km²

·    Known for natural and industrial gas production.

 

Industrial Gas Potential

The Jameson Land Basin's geological characteristics directly influence its
potential for helium, white hydrogen, noble gases (xenon, argon, krypton), and
hydrocarbons. In the Jameson Land Basin and the Liverpool Land areas of
central East Greenland, helium seeps have been identified and are thought to
be related to exist in large concentrations as a byproduct of the deep-seated
radiogenic decay of granitic basement rocks. The land adjacent to Jameson has
been licensed by Canadian listed Pulsar Helium, who also applied for an
industrial gas license over Jameson Land but were refused due to the
pre-existence of White Flame licenses.

Noble Gases Prospectivity (Xenon, Argon, Krypton)

Industrial gases like xenon, argon, and krypton are essential across a wide
range of important economic applications. Xenon is used in high-intensity
lighting, medical imaging, and as a propellant in ion thrusters for
spacecraft, owing to its high atomic weight and inertness. Argon, being
chemically inert, provides a protective atmosphere in welding and is used in
the production of high-purity silicon and metals, as well as in incandescent
and fluorescent lighting. Krypton is used in energy-efficient lighting, such
as fluorescent lamps and some types of photographic flashes.

Collectively these gases are crucial for manufacturing in an advanced economy.
Specifically, technology, healthcare, and space industries with their unique
properties making them irreplaceable. Ensuring a reliable supply of these
noble gases is vital for ongoing technological and industrial development.

·    Radiogenic Origin: Noble gases like xenon, argon, and krypton are
produced through the decay of radioactive elements within the crystalline
basement.

·    Migration Pathways: Like helium, noble gases migrate through faults
and fractures. Their accumulation in the basin's sedimentary traps is
facilitated by the impermeable shales acting as seals.

·    Trapping Mechanisms: The structural features such as anticlines and
synclines create traps where these gases can accumulate, often in association
with hydrocarbon reservoirs.

Figure 4 Hydrocarbon biomarking demonstrating common ancestry between
geological regions.

 

SUMMARY FINDINGS:

In its core findings, ARCO ranked various formations within the Jameson Land
Basin as having the highest potential for all gas types as well as liquid-rich
hydrocarbon accumulations in the entire East Greenland and that Jameson
represents approximately 50% the highly productive original area currently
known as the Haltenbanken field in the North Sea but is expresses as an
uplifted and onshore part of the basin. All historical assessments concluded
that the entire area is extremely prospective, with all the necessary
characteristics for the accumulation of gas and liquids and that large-scale
system present throughout the Jurassic and Triassic sedimentary pile with
excellent source and seal and permeability characteristics of global scale
with walk up drill targets.

Following early success of the North Sea, in the 1970's ARCO undertook early
field studies into the western Atlantic margin (east Greenland) and concluded
that the Jameson Land basin was highly prospective and was historically part
of the oil rich North Sea basin. In the early 1980's a group comprising ARCO
and ENI acquired ±1,800km of 2D seismic and conducted several further seasons
of fieldwork, all of which pointed to the strong likelihood of a working gas
and liquid system. Unfortunately for ARCO, later that same decade market
conditions forced them to exit frontier exploration, including Jameson and
they never recovered. They were subsequently taken over by BP in 1990.

The Geological survey of Greenland and Denmark also concluded that Jameson
contains all the essential elements: source, reservoir, seal and trap, for a
successful and potentially commercial reservoir of gases and liquids. In
particular, the work conducted to date would imply that there is major source
rock and reservoir potential within the basin and several drillable targets
within a total stratigraphic thickness of 17,000 metres of the basin.

The basin remains undrilled despite direct field observation of source rocks
and reservoir systems and the presence of multiple hydrocarbon seeps and a
clear genetic linkage to the north sea Haltenbanken oil field. Consequently,
this venture provides a unique and very exciting opportunity to explore and
drill one of the few remaining frontier basins on the Atlantic margin.

GEUS, with the participation of approximately 20 companies in the region
compiled all the pre-existing information into a comprehensive 'Geological
Information System' (GIS) and importantly, collected huge volumes of
additional data through fieldwork and core drilling. Over a prolonged
exploration period, GEUS focused on the whole East Greenland Rift Basin,
including Jameson to the south of the study area.

Greenland and Denmark Geological Survey (GEUS) continued detailed study over
the area until in 2014 White Flame was awarded the licences and in 2015
commissioned the first non-government re-assessment of Jameson since the
1990's incorporating all historical information from ARCO, GEUS and others as
well as the reprocessing of all 2D seismic using the latest technology.
Results confirmed expectations, significant resource potential was identified.

In 2017 White Flame completed an airborne Full Tensor Gravimetric (FTG) and
LiDAR survey over the entire licence area. Subsequent assessment of this data
continued to reinforce the prospectivity of the licence area and resulted in
the company successfully applying for further acreage to the north of the
existing licences (2018/40) and thereby securing the entire onshore part of
the Jameson basin. White Flame completed several years of multidisciplinary
G&G work, integrating all available datasets, and building what became a
comprehensive picture of the structural and sedimentary components of the
Jameson Land Basin. This has been used to identify drillable structures and
assign levels of geological risk.

Figure 5 Examples of reservoirs and geological characteristics of the Jameson
Basin

This work was undertaken to fully reassess the basin and reduce the dependence
on the analogue data from onshore Greenland and Norway as outlined in a
subsequent section of this report and to mitigate the existing limited seismic
data base to an extent. In addition, GEUS wanted to eliminate much of the
geological uncertainty with regards to both liquid and gases in traps, in
particularly potential post-migration loss during the Cenozoic era of uplift.

Consequently, GEUS compiled a substantial Geological Information System (GIS)
including several key elements:

·    Reprocessed existing seismic data

·    Detailed maps and terrain models

·    18,000 data and chemical samples

·    Boreholes, core samples and sedimentological logs

·    Stratigraphic cross sections

·    Photographs

The first highly detailed version of the GIS was compiled in 2009 and updated
in 2011. White Flame purchased this information in 2014 when it won the open
tender round for all three Jameson Land Project blocks.

Liquid Hydrocarbon and Natural Gas Prospectivity

·    Source Rocks: The organic-rich shales from the Upper Permian
Ravnefjeld Formation and Lower Jurassic formations are key source rocks.
Thermal maturation of these shales generates hydrocarbons.

·    Reservoir Rocks: The Triassic and Jurassic sandstones provide
excellent reservoir rocks due to their porosity and permeability, allowing
hydrocarbons to accumulate.

·    Seal Rocks: Marine shales and other impermeable layers act as seals,
trapping hydrocarbons in the underlying reservoir rocks.

·    Structural Traps: Anticlines, synclines, and fault traps within the
basin create structural traps where hydrocarbons can accumulate.

 

Figure 6 Comparison between Jameson Basin and Prudhoe Bay Integrated
Geological Features for All Resources

·    Crystalline Basement: Provides a source for helium and noble gases
through radioactive decay. It also plays a role in generating white hydrogen
through geological processes.

·    Sedimentary Sequences: Serve as reservoirs for liquids and traps for
migrating gases like helium and noble gases. The presence of organic-rich
shales and porous sandstones is crucial.

·    Faults and Fractures: Essential for the migration of gases and
hydrocarbons from the basement and within sedimentary layers.

·    Trapping Mechanisms: Structural traps such as anticlines and
synclines, along with impermeable seal rocks, are critical for the
accumulation of all these resources.

In summary, the Jameson Land Basin's complex geological structure, including
its crystalline basement, sedimentary layers, and extensive fault network,
creates highly favorable conditions for the generation, migration, and
trapping of helium, white hydrogen, noble gases, and hydrocarbons.

Proposed Work Programme and Strategic Outlook

The Company plans to further explore and develop the identified prospects,
leveraging the historical data and new geophysical studies to optimize
drilling targets. 80 Mile remains committed to sustainable cost management
while focusing on high-value assets, including significant industrial gas
prospects within the Jameson Land Basin.

 

Figure 7 Examples of identified accumulations of gas and liquids on one
section.

Conclusion

The acquisition of White Flame by 80 Mile marks a strategic and transformative
milestone, significantly enhancing 80 Mile's portfolio with licences that are
highly prospective for onshore helium & white hydrogen industrial gas
along with potential for liquid hydrocarbon and natural gas in East Greenland
where White Flame have identified multiple drillable targets.

This move not only diversifies 80 Mile's resource base but also positions the
Company at the forefront of sustainable energy development. By integrating
White Flame's assets, 80 Mile can leverage the region's rich geological
potential to meet growing global demands for both conventional and renewable
energy sources, ensuring long-term growth and value creation for shareholders
while contributing to the global transition towards a cleaner energy
future.

White Flame Corporate Information

White Flame Energy Limited is incorporated in England & Wales and is the
holder of three exclusive Exploration and Exploitation licenses. White Flame
was established in September 2013 and made a loss of £52,268 for the year
ended to 31 December 2022. As at 31 December 2022, it had gross assets of
£119,087. As at 31 December 2022, White Flame's total investment in the
wholly owned subsidiary and holder of the Jameson Land Project, White Flame
Energy A/S, totalled £3,795,187.

Defined terms used in this announcement carry the same meanings as those
ascribed to them in the Company's Circular convening the General Meeting,
unless the context requires otherwise.

The interests of Michael Hutchinson, Roderick McIllree and Eric Sondergaard
following completion of the acquisition will be as follows:

                     Exising interest in shares of 80 Mile plc  New Consideration Shares  Total interest in 80 Mile plc post completion  % interest in enlarged total issued share capital of 80 Mile plc

 Director
 Michael Hutchinson  13,785,714                                 13,398,112                27,183,826                                     0.93
 Roderick McIllree   126,165,935                                322,796,581               448,962,516                                    15.36
 Eric Sondergaard    14,166,666                                 26,592,857                40,759,523                                     1.39

 

Market Abuse Regulation (MAR) Disclosure

The information contained within this announcement is deemed by the Company to
constitute inside information as stipulated under the Market Abuse Regulations
(EU) No. 596/2014 ('MAR') which has been incorporated into UK law by the
European Union (Withdrawal) Act 2018.

For further information please visit http://www.80mile.com
(http://www.80mile.com)  or contact:

 Eric Sondergaard           80 Mile plc                      enquiry@80mile.com
 Ewan Leggat / Adam Cowl    SP Angel Corporate Finance LLP   +44 (0) 20 3470 0470

(Nominated Adviser and Broker)
 Megan Ray / Said Izagaren  BlytheRay                        +44 (0) 20 7138 3205

(Media Contact)

 

About 80 Mile Plc:

80 Mile Plc, listed on the London AIM market, Frankfurt Stock Exchange, and
the U.S. Pink Market, is an exploration and development company focused on
high-grade critical metals in Tier 1 jurisdictions. With a diversified
portfolio in Greenland and Finland, 80 Mile's strategy is centred on
advancing key projects while creating value through partnerships and strategic
acquisitions.

The Disko-Nuussuaq nickel-copper-cobalt-PGE project in Greenland is a
primary focus for 80 Mile, developed in partnership with KoBold Metals. 80
Mile, through its wholly owned subsidiary Disko Exploration Ltd., has a
definitive Joint Venture Agreement with KoBold Metals to guide and fund
exploration efforts. The JV has completed intensive analysis and
interpretation of the extensive geochemical, geophysical, and geological data
collected during the previous exploration campaigns. Leveraging KoBold's
proprietary artificial intelligence and machine learning platforms, this
comprehensive analysis has resulted in the identification of seven initial
priority targets within the project area. These seven priority targets exhibit
spatial characteristics indicative of potential deposits on a scale comparable
to renowned mining operations such as Norilsk, Voisey's Bay, and Jinchuan. The
JV is now planning a focused ground-loop electromagnetic survey to refine and
prioritize each locality appropriately.

In Finland, 80 Mile currently holds three large scale multi-metal projects
through its wholly owned subsidiary FinnAust Mining Finland Oy. 80
Mile's Finland portfolio includes the Outokumpu project, where occurences of
industrial gases like helium and hydrogen adds significant economic potential
to the already prospective copper-nickel-cobalt-zinc-gold-silver targets. 80
Mile is conducting further exploration to fully assess these resources.

80 Mile's recent acquisition of White Flame Energy expands its portfolio into
the energy sector, adding large-scale licenses for industrial gas, natural
gas, and liquids in East Greenland. Approved by shareholders in July 2024,
this acquisition diversifies the Company's assets and aligns with its strategy
to contribute to sustainable energy solutions, while also exploring
conventional energy resources.

The Dundas Ilmenite Project, 80 Mile's most advanced asset in
northwest Greenland, is fully permitted and progressing towards near-term
production. With a JORC-compliant Mineral Resource of 117 Mt at 6.1%
ilmenite and an offshore Exploration Target of up to 530 Mt, Dundas is poised
to become a major supplier of high-quality ilmenite. Recent discoveries of
hard rock titanium mineralization, with bedrock samples showing nearly double
the ilmenite content of previous estimates, further enhance the project's
world-class potential. 80 Mile owns 100% of the Dundas Ilmenite
Project under its subsidiary Dundas Titanium A/S in Greenland.

The Thule Copper Project is a significant component of 80 Mile's portfolio in
northwest Greenland, focused on exploring and developing high-grade copper
deposits within the Thule Basin in northwest Greenland. Leveraging existing
infrastructure and exploration credits, the project is strategically
positioned in an underexplored region with substantial mineral potential. 80
Mile's established basecamp at Moriusaq will support cost-effective
exploration, aligning with the Company's broader strategy to secure
high-quality copper and industrial gas projects.

 

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