Nevada Lithium Resources Poised to Supply Surging Lithium Demand with Large Nevada Project

• Nevada Lithium Resources has 100% ownership of the large Bonnie Claire lithium project in Nevada. An inferred resource estimate shows it is one of the largest lithium deposits in North America.
• A Preliminary Economic Assessment (PEA) shows strong potential economics at conservative lithium prices, including a $1.5 billion NPV. Higher lithium prices greatly improve the economy.
• The project has advanced metallurgy using an environmentally friendly process and has potential for by-products.
• Drilling has encountered thick, high-grade lithium intersections that could allow for lower-cost mining methods. More drilling and studies are underway.
• Strong investor interest and strategic partners are aligned to advance Bonnie Claire to production to supply the burgeoning lithium demand for EVs.

Nevada Lithium Resources is advancing its 100% owned Bonnie Claire lithium project in Nevada to production to meet rapidly growing lithium demand driven by the electric vehicle revolution. With recent consolidation of full ownership and new strategic partners, the company is fast-tracking the large project, which has demonstrated potential to be a low-cost, long-life lithium mine.

“I have never seen supply and demand set up like this,” said CEO Steve Rentschler. “You simply don't have a real cost curve or incentive price that you can point to because there aren't lithium mines on care and maintenance to bring new supply on.”

The 18.3 million tonne inferred lithium resource makes Bonnie Claire one of the largest lithium deposits in North America. The project covers a massive footprint with substantial expansion potential through further exploration across the 142 square km property

2021 Preliminary Economic Assessment

The PEA outlined strong potential project economics at conservative lithium prices. The base case used a lithium carbonate price of US$13,400 per tonne and yielded an after-tax NPV8% of US$1.5 billion and IRR of 25%. Production over a 40-year mine life averages 32,000 tonnes per year, which would be about 1% of the projected global lithium supply. The PEA economics improve dramatically at higher lithium prices, with the NPV jumping to US$5.8 billion at US$30,000 per tonne of lithium carbonate. “I have no problem thinking about higher lithium prices than US$30,000 long-term,” said Rentschler.

The Bonnie Claire location provides excellent infrastructure, with the project situated just off Interstate 95. Rentschler noted Nevada is poised to become the heart of U.S. lithium production, with the state government supporting development and proposed legislation providing incentives for domestic EV supply chains.

Metallurgical testing has successfully produced battery-grade lithium carbonate samples. The process is environmentally friendly, not requiring sulfuric acid. This helps reduce costs and provides a clean ESG profile. Potential by-products include fertilizer. Recent drilling intersected wide, high-grade columns of lithium mineralization at depth. Results included a 3,200-foot intersection grading 1,213 ppm lithium. Deep high-grade mineralization could allow lower-cost borehole mining rather than conventional open pit mining. The company is currently conducting trade-off studies for open pit versus borehole mining methods. It is also evaluating the potential for a lithium brine resource on the property, while advancing engineering and permitting.

Pre-Feasibility Study

Nevada Lithium is working quickly to complete a Pre-Feasibility Study in 2023 focused on measured and indicated resources to support Feasibility study-level engineering. The company aims to reach production at Bonnie Claire in 2029-2030.

Rentschler emphasized the tremendous upside value potential from developing just a portion of the large resource at today's strong lithium prices. He noted the project could support a near-term acquisition or be progressed entirely to production.

“If it's worth a couple billion dollars and we can get a slice off of it in a couple of years, it's a home run for us,” Rentschler stated.

With full ownership consolidated, strong project fundamentals and rising lithium demand, Nevada Lithium offers substantial upside for investors looking to capitalize on the global energy transition. The experienced management team is focused on fast-tracking Bonnie Claire to become a strategic U.S. lithium producer.

The Investment Thesis for Nevada Lithium Resources

• Large, top-tier lithium project in an ideal mining jurisdiction with excellent infrastructure.
• Robust PEA economics at low lithium prices; highly leveraged to rising prices.
• Environmentally friendly process allows low-cost production of battery-grade lithium.
• Resource expansion potential on huge, underexplored land package.
• Recent drilling shows potential for low-cost borehole mining method.
• Strong macro tailwinds from surging lithium demand and supportive legislation.
• Highly credible and experienced management team.
• Near-term catalysts from engineering studies to advance towards production.
• Takeover potential provides lucrative exit strategy for investors.