Smokey Lithium Drilling Program Phase One Completed

VANCOUVER - Victory Resources Corporation has has completed its drilling program on the Smokey Lithium Property in Nevada. The initial 3 of 15-hole drilling exploration aims to prove its geologic concept, specifically, to test along the Jindalee boundary margins, nearest to the fault line to reduce the depths required to reach clays and attempt to capture the full thickness of the claystone, in order to discover the grade and thickness of an intercept. As no drilling has occurred prior to this program on Smokey Lithium, is it important to sample each hole extensively until basic geochemical data has been acquired.

Victory executed an initial program of 3 drill holes with the goal aimed at locating lithium bearing clays, similar to what has been discovered at surface by Jindalee, the neighboring property.

A northeast/southwest oriented fault becomes obscure on either end as it trends into Victory's property. Victory's exploration team theorizes that an extension of the lithium bearing clays, identified by Jindalee, would likely exist under the Victory property. However, pending lab results, it is unknown as to the depths required to intercept this possible lithium enriched clay unit.

The target of the drilling is the regionally mineralized Esmeralda formation sediments which underlie the property. These sediments are composed of a complex suite of lithologies ranging from sandstones, conglomerates, claystones and volcanic ash rich units. Faulting has occurred displacing these sedimentary units and later variably filled with quaternary alluvial materials, namely sands and gravels. The contact between silty, sandy gravel units which are overburden and those belonging to the underlying Esmeralda Formation is not easily seen in the core, further detailed logging is planned once lithium assays have been received.

The results given in the initial 3-hole program yielded variably results: 1) SL-21-09 - Southwest, near the projected strike of the fault, intercepted 257 feet of alluvial material, followed by Esmeralda formation sediment through 417 feet. Although the Esmeralda formation was encountered. It consisted of a suite of varved siltstones with minimal claystone. 2) SL-21-15 - Northeastern portion of the property, intercepted a total of 311 feet of complex alluvial materials. The position of this complex section of conglomerates, silty sandstones, and local clay matrix sedimentary breccias within the stratigraphy of the basin is being examined in detail. 3) SL-21-05 - This hole, Approx. 700 yards northwest from Hole SL-21-09; Encountered Esmeralda claystone lithologies within 35 feet of the surface. This hole demonstrated lots of favorable lithologies for hosting lithium throughout most of the hole. This hole was terminated at 520 feet.

The goal was to identify lithium bearing, Esmeralda clays within an obscure, alluvial covered surface. Further, adding to the complexity of the task is faulting with unknown displacement. The first 3 holes essentially provides the team with a look into the subsurface. It has been learned that the overburden is relatively superficial cover but is variable in thickness.

Below the recent age cover gravels, thick sections of Esmeralda Formation have been intercepted. The Esmeralda stratigraphy logged from the drill core displays sedimentary units including well developed claystones, mudstones and clay, silt and sand matrix conglomerates.

Further drilling will be required to properly map the subsurface geology of the Esmeralda Formation lithologic package. In particular Victory is focused on mapping the near surface distribution of well mineralized Esmeralda claystones previously identified on the neighboring Jindalee property.

The Company's exploration team is very optimistic, primarily given the logged geologic results of the SL-21-05 drill hole. It demonstrated a thick sequence of claystone/siltstone with minimal overburden. More data is required to address questions as a result of the drilling and observations of the exploration team. Questions include defining the strike and dip orientation of the target, regionally lithium mineralized Esmeralda age section which underlies the property. This will allow for construction of an early-stage geologic model and help guide targets for additional drill programs.

Upon receiving the results of the first drilling phase, the Company remains positioned to carry out additional drilling if the lab data warrants it. A total of 151 samples have been submitted to ALS for assay work. 4-foot sample intervals were used within the Esmeralda intersections. Further, QA/QC protocols were put into place whereas standards and blanks were inserted randomly within the sample chain, 1 per each 10 samples. ALS Lab results are anticipated to be received shortly.