LA SALADA

• La Salada is located 80 km north-northwest of Zacatecas city, adjacent to the town of La Salada.

• Of the Zacatecas-area salars, La Salada appears to have the highest average sediment-hosted lithium grade and is the first salar with confirmed high-potassium brines. Historical sediment sampling indicates potassium values ranging from 0.11% to 9.06% with an average value of 5.3%; and lithium values ranging from 25 to 2265 ppm with an average value of 880 ppm. As with Santa Clara, these historical values were obtained from pit sampling the salar on a 100-metre grid; the pits were sampled every vertical metre down to five metres to collect 711 samples.

• Following the publication of the Mineral Resource Council report, Caliguey and surrounding salars were identified as potential targets for brine-hosted lithium exploration. Previous operators did extensive exploration work on the salar including a resistivity survey in 2010. Results indicated a depth to basement of around 30 metres; however, five reverse circulation holes drilled at Caliguey in 2011 failed to intersect basement. Depths for these holes ranged from 34 to 60 metres.

• In 2009-2011, a grid pit sampling program akin those at Santa Clara and La Salada was carried out with some 1512 samples collected from over 300 pits. Assay results from this program returned potassium values from 0.22% to 11% with an average of 3.86%; lithium values ranged from 33 ppm to 2590 ppm with an average of 377 ppm.

• Further to this, in 2016 the Company assayed a composite sample made up of 10 separate samples from this salar material; this composite sample returned a grade of 3.84% potassium and 1040 ppm lithium. The Company also carried out several leaching tests on this composite sample. The results of these leach tests from La Salada indicated a potassium recovery of 40% and a lithium recovery of 97% from the sediment samples.

• 36 shallow surface sediment samples were collected in 2017 using a hand-held auger.  Potassium results are similar to historical data with an average of 3.38% potassium; lithium results are much higher with an average of 769ppm.