LKE towards TOP-5, page-13171

As promised;

Lake Resources at Bell Potter webinar

I will try not to mention already known details.

300 people working at Kachi.

New directors to board, in addition to DD, being appointed in October.

Up listing will happen before production. This is later than previously thought.

The DFS will have a ‘slightly higher’ recovery than the PFS (83%).
Offtake discussions are taking place with multiple car companies, in addition to Ford. An update covering this will be forthcoming ‘quite soon’.

Demo plant will have produced 120,000 litres of concentrate before EOY. This will be a catalyst for off takers to advance agreements. The final Lithium content will be 99.97%.

DFS/ESIA are due late September to early October, followed by a review by Lake and subsequent release to market.

The export agency finance covering 70% of the Kachi project will be at 4.25% over 8.5 years from production.
2024 is still targeted for production start.

Long lead times due to a world wide supply chain issues is handled by ordering long leadtime items early.
Sean Miller is focusing hard on fast tracking the other three brine projects. Brines have already been tested, but no results have been published yet.

A capital raise will be required. Details to be provided. Don’t know when or how it will be structured.
Lilac, as part of the earn-in will assist with $US 50 – 80 million.

Q&A

David Dickson experience?
Stu - “I am deliriously excited about the appointment”
His vast experience in the oil industry.
There is a shortage of equipment in South America. DD knows everyone in the drilling business and can assist greatly in sourcing rigs and other equipment needed.
With the appointment of DD and other yet to be named board members, the market will transform its appreciation of Lake.

Inflation pressures?
The rise in Li removes any issue with inflation.
Reinjection and at scale, dilution of resource?
All the brine, minus the Lithium, is being injected. The basins are vast. “It is like puring a can of coke into an Olympic swimming pool and expecting to taste the coke at the other end”.
Other operators hae been processing brine for 28 years, with no visible dilution.
Lithium continues to be added to the brine as part of the natural process.

ESG impact?
ESG is always the first topic of conversation. End customers will require an audited supply chain. Stu – “Our water use is remarkably low. It will shock people”. The DFS will show the water use.

Off take pricing?
Based on previous quarter, plus a mix of other parameters like the spot price and the quality of the Lithium. Pricing is very strong and looks to be stronger for longer.
On ending Stu said he was visiting Lilac later this week.

End of webinar.

Cheers,
IHS