Power Metals Intersects 2.07 % Li2O and 213.96 ppm Ta Over 18.0 m at Case Lake

VANCOUVER, Jan. 18, 2018 /CNW/ - Power Metals Corp. ("Power Metals Corp." or the "Company") (TSX VENTURE:PWM)(FRANKFURT:OAA1)(OTC:AOUFF) is pleased to announce drill hole assays for lithium (Li) and tantalum (Ta) mineralized intervals for the Main Dyke at Case Lake, east of Cochrane, Ontario. Significant intervals for the Main Dyke include:

• PWM-17-35: 1.17 % Li₂O and 165.34 ppm Ta over 8.0 m
• PWM-17-40: 2.07 % Li₂O and 213.96 ppm Ta over 18.0 m
• PWM-17-40: 2.81 % Li₂O and 143.33 ppm Ta over 7.0 m

Power Metals is also pleased to announce drill hole assays for the two new spodumene pegmatite dykes that were discovered down hole of the Main Dyke near the end of the 2017 drill program (Power Metals press release dated Nov. 27, 2017). The first new dyke was intersected in PWM-17-42 and 43 and then targeted to intersect it again in PWM-17-44 and 49. This new dyke is located 20-40 m down hole from the Main Dyke and 35-40 m vertical depth from the surface. The second new dyke was intersected in PWM-17-42 and 49. It is located 50 m down hole from the Main Dyke and 50-80 m vertical depth from surface. Both new dykes are open in all directions. Drilling is required to define these new dykes.

Assay highlights for the first new dyke include:

• PWM-17-42: 0.99 % Li₂O and 88.33 ppm Ta over 3.0 m
• PWM-17-43: 0.85 % Li₂O and 94.10 ppm Ta over 1.15 m
• PWM-17-44: 1.11 % Li₂O and 73.0 ppm Ta over 6.42 m

Assays for the second new dyke contain up to 343.89 ppm Ta. More drill holes intersecting this dyke are needed for a better understanding of it.

Assay highlights for assays > 0.5 % Li₂O holes PWM-17-35 to 44 are given in Table 1. Drill hole collar locations are given in Table 2.

Table 1 Assay highlights for PWM-17-35 to 44.

Drill Hole No.	Including	From (m)	To (m)	Interval (m)	Li2O (%) weighted average	Ta (ppm) weighted average
PWM-17-35		5.70	9.00	3.30	1.35	88.49
PWM-17-35	including	5.70	7.00	1.30	2.46	27.70
PWM-17-35		31.00	39.00	8.00	1.17	165.34
PWM-17-35	including	31.00	35.00	4.00	1.75	71.10
PWM-17-35	including	33.00	34.00	1.00	2.26	118.00
PWM-17-35		42.00	43.00	1.00	0.63	34.90
PWM-17-36		61.00	64.00	3.00	1.02	207.33
PWM-17-36	including	62.00	63.00	1.00	2.04	371.00
PWM-17-36		80.00	81.00	1.00	0.51	38.30
PWM-17-37		109.00	110.00	1.00	1.31	24.70
PWM-17-37		115.00	116.00	1.00	0.85	117.00
PWM-17-38		96.00	97.10	1.10	2.19	108.00
PWM-17-39		129.33	130.51	1.18	0.98	64.20
PWM-17-40		18.00	36.00	18.00	2.07	213.96
PWM-17-40	including	20.00	23.00	3.00	2.43	323.33
PWM-17-40	including	25.00	27.00	2.00	1.41	663.50
PWM-17-40	including	27.00	34.00	7.00	2.81	143.33
PWM-17-40		67.00	68.00	1.00	0.76	30.50
PWM-17-42		65.00	68.00	3.00	0.99	88.33
PWM-17-42		90.66	93.00	2.34	0.04	343.89
PWM-17-43		67.65	68.80	1.15	0.85	94.10
PWM-17-44		9.00	11.00	2.00	0.60	38.70
PWM-17-44		54.58	61.00	6.42	1.11	73.00
PWM-17-44	including	57.00	58.00	1.00	1.94	1.90

Drill holes intersected the pegmatite dykes at almost 90 degrees, so intervals are close to true widths.

Power Metals has an ongoing 2000 m drill program on the Northeast Dyke that started January 10^th, 2018.

Dr. Selway, VP of Exploration stated "The assay highlights for hole 40 are spectacular with 18.0 m of 2.07 % Li₂O and I look forward to reviewing the assays for the remaining holes of the drill program. The assays for the first new dyke suggest that this dyke has real exploration potential and is a future target.  During the first few days of drilling on the Northeast Dyke we have been thrilled with what we have seen to date.  We will provide updates as they become readily available."

Quality Control
The drill core was sampled so that 1 m of the Case Batholith tonalite host rock was sampled followed by 1 m long samples of the pegmatite dyke and 1 m of the Case Batholith. The sampling followed lithology boundaries so that only one lithology unit is within a sample, except for the < 20 cm pegmatite veins in tonalite which were merged into one sample. The drill core samples were delivered to Actlabs preparation lab in Timmins by Power Metals' geologists. The core was crushed and pulverized in Timmins and then shipped to Actlabs analytical lab in Ancaster which has ISO 17025 certification. Every 20 samples included one external quartz blank, one external lithium standard and one core duplicate. The ore grade Li₂O% was prepared by sodium peroxide fusion with analysis by ICP-OES with a detection limit of 0.01 % Li₂O.

Case Lake

Case Lake Property is located in Steele and Case townships, 80 km east of Cochrane, NE Ontario close to the Ontario-Quebec border. The Case Lake pegmatite swarm consists of five dykes: North, Main, South, East and Northeast Dykes. The Northeast Dyke contains very coarse-grained spodumene. Power Metals has an 80% interest with its 20% working interest partner MGX Minerals Corp.

Qualified Person

Julie Selway, Ph.D., P.Geo. supervised the preparation of the scientific and technical disclosure in this news release. Dr. Selway is the VP of Exploration for Power Metals and the Qualified Person ("QP") as defined by National Instrument 43-101. Dr. Selway is supervising the exploration program at Case Lake. Dr. Selway completed a Ph.D. on granitic pegmatites in 1999 and worked for 3 years as a pegmatite geoscientist for the Ontario Geological Survey. Dr. Selway also has twenty-three scientific journal articles on pegmatites. A National Instrument 43-101 report has been prepared on Case Lake Property and filed on July 18, 2017.

Table 2 North, Main and South Dyke 2017 drill program collar locations. UTM NAD 83, Zone 17. NQ core.

Drill Hole No.	Easting	Northing	Elevation (m)	Dip (°)	Azimuth (°)	Length (m)
PWM-17-35	578124.7	5431670.5	351.94	-45	150	80
PWM-17-36	578098.7	5431700.7	344.64	-45	150	104
PWM-17-37	578075.1	5431738.5	343.54	-45	150	131
PWM-17-38	578064.7	5431701.8	342.54	-45	150	110
PWM-17-39	578042.1	5431740.9	345.05	-45	150	140
PWM-17-40	578226.8	5431700.5	348.34	-45	150	76
PWM-17-41	578210.0	5431734.7	339.74	-45	150	104
PWM-17-42	578242.7	5431708.7	346.74	-45	150	101
PWM-17-43	578242.9	5431708.0	346.34	-48	125	101
PWM-17-44	578265.9	5431680.0	350.64	-45	150	71

About Power Metals Corp.

Power Metals Corp. is a diversified Canadian mining company with a mandate to explore, develop and acquire high quality mining projects.  We are committed to building an arsenal of projects in both lithium and high-growth specialty metals and minerals, including zeolites. We see an unprecedented opportunity to supply the tremendous growth of the lithium battery and clean-technology industries.  Learn more at www.powermetalscorp.com

ON BEHALF OF THE BOARD,

Johnathan More, Chairman & Director

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.

Cautionary Note Regarding Forward-Looking Information

This press release contains projections and forward-looking information that involve various risks and uncertainties regarding future events. Such forward-looking information can include without limitation statements based on current expectations involving a number of risks and uncertainties and are not guarantees of future performance of Power Metals. There are numerous risks and uncertainties that could cause actual results and Power Metals' plans and objectives to differ materially from those expressed in the forward-looking information, including other factors beyond Power Metals' control. Actual results and future events could differ materially from those anticipated in such information. These and all subsequent written and oral forward-looking information are based on estimates and opinions of management on the dates they are made and are expressly qualified in their entirety by this notice. Except as required by law, Power Metals assumes no obligation to update forward-looking information should circumstances or management's estimates or opinions change.

SOURCE POWER METALS CORP

For further information: Power Metals Corp., Johnathan More, 646-661-0409, [email protected]