Ann: Strategic Investment and Offtake Agreement with SK On, page-324

If there are two companies, SQM and Albermarle in Chile, two companies that extract lithium from the same salt flat, sharing a border. If one punctures at a point and takes brine from one point, they might affect the quality and grade of what happens at another point over the border (tenements company II). In the same way, if the brine with lithium was measured as high grade and the company returns to the salt flat to proceed with the lithium extraction, the diluting of the lithium brine grade at the salt flat may already be affected by the other company who is located (at a lower point) in the salt flat. I conclude that the tenements of Lake Resources are on the outskirts of the “SALAR” and leaning towards the mountains. The grades of Lake Resources are low and therefore they will probably be unprofitable once their neighbor touching their border (tenement) extracts the brine at a prior date of Lake Resources. I feel this information had to be disclosed because it is essential and I don’t make it up as some would claim but without any expertise in the field of lithium (retail investors). The information comes from the leading expert in Lithium, Professor Ernesto Calvo, which has close ties to the Government and the President of Argentina. I will send an email to Professor Calvo to enlighten me a little more about the subject. Dyor. Not Financial Advice. Cheers Michel,