Ann: 142 ppm Li Assay Result from Artesian Flow Horizon, page-31

About Bromine, Iodine and Magnesium The United States of America is the second largest producer of Bromide after Israel, supplying about 30% of the world market. Since 2007, all bromine production in the United States has been at Southern Arkansas’ Upper Jurassic Smackover Formation which contains the highest grade of bromine (5,000 to 6,000 ppm) at a depth of 7,500 to 8,000 feet. This depth is similar depth to that of Clastic 31 in the Paradox Basin at 7,080 feet. Since 2007. Albemarle Corporation operated two main plants in Arkansas with a production capacity of 148,000 tons and its main competitor, Chemtura has a production capacity of 130,000 tons. Albemarle is the only producer of lithium in the United States. The current price for bromine is approximately USD4500/ton increasing from USD3,500/ton in 2015. Most of the world’s iodine supply comes from three areas: the Chilean desert nitrate mines and the oil and gas fields of Japan and Oklahoma in the United States. Three companies process iodine-rich brine in Oklahoma, Iochem Corp (USA), Iofina Plc (UK) and Woodward Iodine Corp. (USA). The brines in Oklahoma are of Pennsylvanian age and are extracted from depths between 6,000 and 10,000 feet (which is similar to the Paradox brines). In 2016 the estimated price for Iodine was USD20,500/ton. The only producer of magnesium in the North America is US Magnesium LLC which produces magnesium from the brines of the Great Salt Lake, Utah. The magnesium concentration of the Great Salt Lake is 3.3% (33,000ppm). The Exploration Program This brine sampling program is part of the exploration program that was announced at the Annual General Meeting 30 November, 2017 which is required to prove a JORC compliant resource. This exploration program will continue until December, 2018. (See announcement 1 December, 2017 page 26). The JORC Compliant Resource is required for the Feasibility Study that the Company needs to complete to obtain funding for a large-scale production plant. Further exploration programs will be needed to be completed and Anson has already commenced planning for these sampling programs. The current sampling program at Cane Creek 32-1 is 5 km to the south of Gold Bar 2, closer to the cross cutting structures and the Robert’s Rupture structure. Hole ID Northing Easting Depth Lithium Operator Laboratory Flow Rate (gph) Long Canyon No1 4268364 611636 8132 500 Southern Natural Gas USGS Artesian Flow White Cloud No 2 4268438 611759 6016 Roberts Ford Chemical 9000 (approx.) Big Flat No 2 4267478 605659 8061 173 King Oil Chemical & Geological Artesian Flow Big Flat No 2 (Pure Oil) 4266772 605490 7810 81 Pure Oil Ethyl Corp. 2100 Hobson USA 1 4264099 608069 6674 134 Pure Oil Ethyl Corp Artesian Flow 3
Historically, the lithium rich brines contained within the Clastic Zones that had previously been sampled in the region, were supersaturated. The brines sampled at the Cane Creek well confirmed the results obtained from the sampling at Gold Bar Unit 2 which were also supersaturated. A bulk sample was also collected from all clastic zones. Brines from each horizon were collected in IBC containers. The samples will be processed in a bench top plant to validate earlier test work on a synthetic brine which showed that lithium carbonate and other products were expected to be able to be produced from the brine. The results of the bench-top processing will be used in the design of an in-field pilot plant, to further validate that lithium and other minerals can be extracted from the brine. Anson Managing Director, Bruce Richardson commented, “The results of the Cane Creek sampling program are encouraging and confirm the Company’s belief that lithium values increase towards the Long Canyon area where A1 Lithium has recently staked claims. The next stage of the project development, the bench top test work, can now commence with the bulk sample taken from the lithium rich free flowing horizon.”