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Xmet Evaluates Preliminary VTEM Survey Results on Northern Ontario Blackflake Project

Xmet Inc. is pleased to report that it has received and evaluated preliminary Versatile Time Domain Electromagnetic survey results from Aeroquest on its 100% owned Blackflake Project, located approximately 60 kilometers northwest of Hearst, in Northern Ontario.

Xmet considers the initial results to be very encouraging towards its objective of discovering and defining a hydrothermal graphite deposit on its Blackflake Project.

Bill Yeomans, P.Geo. states that "Our preliminary VTEM survey data indicates a circular conductive feature situated within a magnetic low flanking a northwest trending magnetic diabase dike. This favorable environment bears similarities to the setting in which the Zenyatta hydrothermal graphite pipes were emplaced. The strong Zenyatta conductors are circular in nature and are situated within a magnetic low flanking the margin a northwest trending diabase dike. Xmet continues to evaluate other potential targets in the vicinity considered to be similar to the Zenyatta graphite pipes with the prospect of enhancing its property position."

"The purpose behind flying the VTEM was to test selected magnetic low anomalies for potential conductive responses that could be indicative of graphite. A 340 line kilometer helicopter-airborne VTEM survey was flown on 100 meter line spacing testing multiple magnetic low targets for conductive EM responses on the Blackflake Project. Numerous conductive anomalies were identified including the circular conductive feature having a diameter of approximately 500 metres which is referred to above," says Alexander Stewart, CEO of Xmet Inc.

The Blackflake Project consists of two separate blocks of claims located proximal to the eastern and the northwestern margins of Zenyatta's Albany project. A significant, potentially economic hydrothermal graphite deposit was discovered on Zenyatta's Albany project during a 2011 drilling program which tested a strong electromagnetic conductor. The conductor was identified on the Albany claims in 2010 by a Geotech VTEM airborne survey. The nearby Blackflake claim blocks share similar geological and structural features to Zenyatta's Albany hydrothermal graphite discovery.

The technical information contained in this news release has been approved by William Yeomans, a director of Xmet, who is a Qualified Person as defined in 'National Instrument 43-101, Standards of Disclosure for Mineral Projects.'

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