American Lithium Commits to Responsible Mining in Inaugural ESG Report

About American Lithium

American Lithium Corp. is actively engaged in developing large-scale lithium projects in mining-friendly regions of the Americas, with a focus on its TLC Lithium Claystone Project in Nevada and the Falchani Hard-rock Lithium Project, plus their Macusani Uranium Project in Peru. All projects have undergone robust preliminary economic assessments and have strong potential for expansion. Pre-feasibility work is well advanced at Falchani and has commenced at TLC.

Commitment to Responsible Lithium Development

American Lithium published its first Environmental, Social and Governance (ESG) report, outlining the company's policies and performance on key sustainability issues. The report highlights American Lithium's commitment to environmental stewardship, ethics and integrity, human rights and diversity, and social risk management. According to CEO Simon Clarke, the ESG report demonstrates American Lithium's goal of being a leader in sustainable lithium development as demand grows for lithium in electric vehicle batteries and renewable energy storage.

Overview of ESG Report

American Lithium Corp. (American Lithium) is a mining company focused on developing large-scale lithium and uranium projects in the Americas. The company currently has operations and projects in Peru and the United States. American Lithium aims to provide the critical metals needed to support the global transition to electric vehicles and clean energy. This maiden ESG report summarizes American Lithium's policies, programs, and performance on key environmental, social, and governance (ESG) topics during the 2022 fiscal year.

Environmental Responsibility

American Lithium had no instances of non-compliance with environmental laws and regulations in 2022. The company monitors and discloses its greenhouse gas (GHG) emissions, though current emissions are minimal since projects are in early exploration and development stages. American Lithium's total direct (Scope 1) GHG emissions were 414 tonnes CO2e, stemming largely from diesel fuel use at its TLC lithium project in Nevada. The company commits to measuring and managing GHG emissions as its projects advance.

American Lithium's lithium projects in Nevada and Peru, along with its uranium project in Peru, are not located in protected conservation regions or critical habitats for endangered species. Procedures are in place to avoid disturbing sensitive flora like the Candelaria blazing star wildflower in Nevada. American Lithium withdrew a modest amount of freshwater (26,140 cubic meters) for drilling and operations, none in high water stress areas. The company had no water regulatory violations. American Lithium follows protocols to manage waste, spills, and hazardous materials responsibly and had no incidents in 2022.

Social Engagement

American Lithium proactively engages with Indigenous communities near its Peruvian projects to negotiate agreements for land access and operations. The company conducts human rights due diligence and has mechanisms to address local grievances, risks, and impacts. There were no security incidents, project delays, or workforce strikes related to social factors in 2022. However, American Lithium's Falchani lithium project in Peru did experience 62 days of delayed activity due to regional protests against the national government.

American Lithium aims to create local economic opportunities through employment, supply chain spending, and community investments. The company directly employed 48 staff in 2022, 83% of whom received anti-corruption training. American Lithium also engaged 197 contract workers. The workforce was 74% male and 26% female. American Lithium sponsors community programs and events in the towns near its projects.

Governance

American Lithium's Board of Directors has oversight on sustainability policies and risk management, including climate change. The Board's Health, Safety and Sustainability Committee reviews ESG matters quarterly. In 2022, American Lithium added more independent directors to the Board and aligned executive compensation with ESG performance objectives. The company has clear anti-corruption policies and provides ethics training to staff.

Investment Case

American Lithium's ESG report shows a commitment to transparency and responsible mining practices. While still in the exploration and development phase, American Lithium is taking steps to monitor risks, minimize impacts, and engage stakeholders on issues like climate change, water use, and community rights. The company screened its lithium and uranium resources and sites to avoid protected areas and species. American Lithium's ESG policies aim to align with leading reporting frameworks.

For environmentally-conscious investors seeking exposure to metals that enable the energy transition, American Lithium warrants consideration. The company's North American lithium clay deposits could provide low-cost, low-carbon lithium production to fuel electric vehicle growth. American Lithium's large uranium resource offers potential fuel for carbon-free nuclear power. As demonstrated by this inaugural report, American Lithium is working to integrate sustainability factors into its strategy and operations. While risks remain prior to production, American Lithium's focus on governance, environmental stewardship, and social responsibility points to responsible development of its significant mineral resources.