Giyani Encouraged by Tesla’s Battery Day as Positive for High Purity Manganese

OAKVILLE, Ontario, Sept. 24, 2020 (GLOBE NEWSWIRE) -- Giyani Metals Corp. (TSXV:EMM, GR:A2DUU8) ("Giyani" or the "Company") is encouraged by the endorsement of high purity manganese as a critical component of cathode chemistries discussed during the Tesla Battery Day, held on September 22, 2020.

The following points we believe are positive for the high purity manganese market.

• Tesla Inc. (“Tesla”) announced that the cathode chemistry for their intermediate range vehicles and non-industrial stationary storage units will contain one-third (33%) manganese. This was the first time Tesla referred to the manganese content in its battery chemistries. This is over 3 times the manganese contained in a NCM 811 cell, which Benchmark Mineral Intelligence anticipates will be one of the market leading cathode chemistries by 2030.
  

• Expectations for Tesla’s future market share remain high. Elon Musk, co-founder and CEO of Tesla stated that “longer term we want to replace at least 1% of the total vehicle fleet on earth… which is about 20 million vehicles a year.”

• In addition to producing its own batteries, Tesla will continue to source batteries from the Tier 1 battery manufacturers LG Chem, Panasonic and CATL, all of whom produce cells with manganese containing cathodes.

• Tesla expects that cutting the cost of battery production, measured in US$/kWh, by 56% from current production costs, could create the opportunity to produce a US$25,000 Electric Vehicle (EV). A contributing factor of this cost saving is the replacement of cobalt from the cathode with other battery elements including nickel and manganese, which are more economical and sustainably sourced.

Robin Birchall, CEO of Giyani Metals Corp. commented:

"My three takeaways from the Tesla Battery Day are no different to what we’ve learnt from the discussions we have had with other potential end buyers to date: (1) sustainability of the raw materials is incredibly important, (2) manganese is a cathode material that will be used in the majority of the EV market for at least the next decade, and (3) vehicle manufacturers are moving further upstream to seek security of supply. The event therefore confirms our view that there is a growing opportunity for high purity manganese in the EV market, and that Giyani is well positioned to benefit from this.

Tesla also shared its future plans to modify the cathode manufacturing process to make it more economical and sustainable. Rather than source the raw materials in sulphate form, it plans to source the materials in powdered metal form. Currently, cathode manufacturers source high purity manganese in both sulphate and metal form. Giyani’s K.Hill project will be one of the very few facilities capable of producing both high purity electrolytic manganese metal (HPEMM), as well as high purity manganese sulphate monohydrate (HPMSM).

Tesla is targeting 3 TWh of battery capacity production by 2030, a substantial increase from prior targets. A cathode made up of 33% manganese contains approximately 35-40 kg of manganese metal per kWh. Therefore, if all 3 TWh of capacity uses this cathode configuration, this equates to over 100,000 tonnes of high purity manganese metal demand per annum. And this is just from Tesla.

Tesla joins a number of other battery manufacturers, who over the past 12 months have increased their battery production estimates for the next decade. We expect there to be further capacity increases across the various Tier 1 and Tier 2 battery manufacturers, and therefore expect demand for high purity manganese to continue to increase.”

About Giyani

Giyani Metals Corp. is a mineral resource company focused on the development of its K.Hill, Lobatse & Otse manganese oxide projects in the Kanye Basin, Botswana, Africa. The Company's flagship K.Hill project is a near-surface deposit currently going through a feasibility study to produce high-purity electrolytic manganese metal and manganese sulphate, both key cathode ingredients for batteries in the expanding electric vehicle (EV) market.

Additional information and corporate documents may be found on www.sedar.com and on Giyani Metals Corp. Website: https://giyanimetals.com/.

On behalf of the Board of Directors of Giyani Metals Corp.

Robin Birchall, CEO

Contact:
Giyani Metals Corporation

Robin Birchall
CEO, Director
+447711313019
rbirchall@giyanimetals.com

Thomas Horton
VP, Business Development
+447866913207
thorton@giyanimetals.com

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

The securities described herein have not been registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act"), or any state securities laws, and accordingly, may not be offered or sold to, or for the account or benefit of, persons in the United States or "U.S. persons," as such term is defined in Regulation S promulgated under the U.S. Securities Act ("U.S. Persons"), except in compliance with the registration requirements of the U.S. Securities Act and applicable state securities requirements or pursuant to exemptions therefrom. This press release does not constitute an offer to sell or a solicitation of an offer to buy any of the Company's securities to, or for the account of benefit of, persons in the United States or U.S. Persons.

Forward Looking Information

This press release contains "forward-looking information" within the meaning of applicable Canadian securities legislation. All statements in this news release, other than statements of historical fact, that address events or developments that Giyani expects to occur, are "forward-looking statements". Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by the words "expects", "does not expect", "plans", "anticipates", "does not anticipate", "believes", "intends", "estimates", "projects", "potential", "scheduled", "forecast", "budget" and similar expressions, or that events or conditions "will", "would", "may", "could", "should" or "might" occur. Specific forward-looking statements and forward-looking information herein includes completion of the 2020 field program, geotechnical study and geophysical study; upgrading of inferred resources to higher categories of confidence, and the completion of the FS.

All such forward-looking statements are based on the opinions and estimates of the relevant management as of the date such statements are made and are subject to certain assumptions, important risk factors and uncertainties, many of which are beyond Giyani's ability to control or predict. Forward-looking statements are necessarily based on estimates and assumptions that are inherently subject to known and unknown risks, uncertainties and other factors that may cause actual results, level of activity, performance or achievements to be materially different from those expressed or implied by such forward-looking statements. In the case of Giyani, these facts include their anticipated operations in future periods, planned exploration and development of its properties, and plans related to its business and other matters that may occur in the future. This information relates to analyses and other information that is based on expectations of future performance and planned work programs.

Forward-looking information is subject to a variety of known and unknown risks, uncertainties and other factors which could cause actual events or results to differ from those expressed or implied by the forward-looking information, including, without limitation: inherent exploration hazards and risks; risks related to exploration and development of natural resource properties; uncertainty in Giyani's ability to obtain funding; commodity price fluctuations; recent market events and conditions; risks related to the uncertainty of mineral resource calculations and the inclusion of inferred mineral resources in economic estimation; risks related to governmental regulations; risks related to obtaining necessary licenses and permits; risks related to their business being subject to environmental laws and regulations; risks related to their mineral properties being subject to prior unregistered agreements, transfers, or claims and other defects in title; risks relating to competition from larger companies with greater financial and technical resources; risks relating to the inability to meet financial obligations under agreements to which they are a party; ability to recruit and retain qualified personnel; and risks related to their directors and officers becoming associated with other natural resource companies which may give rise to conflicts of interests. This list is not exhaustive of the factors that may affect Giyani's forward-looking information. Should one or more of these risks and uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described in the forward-looking information or statements.

Giyani's forward-looking information is based on the reasonable beliefs, expectations and opinions of their respective management on the date the statements are made, and Giyani does not assume any obligation to update forward looking information if circumstances or management's beliefs, expectations or opinions change, except as required by law. For the reasons set forth above, investors should not place undue reliance on forward-looking information. For a complete discussion with respect to Giyani and risks associated with forward-looking information and forward-looking statements, please refer to Giyani's financial statements and related MD&A, all of which are filed on SEDAR at www.sedar.com.

GIYANI METALS CORP.
1155 North Service Road West, Unit 11
Oakville, Ontario L6M 3E3
T: 289-291-4032
www.giyanimetals.com TSXV:EMM