an emerging lithium producer...2018/06/25 · lithium-ion batteries have become the de facto choice...

AN EMERGING LITHIUM PRODUCER

FOCUSED ON NEAR-TERM PRODUCTIONDEVELO PING L IT HIUM PROJEC TS IN ARGENT INA

JUNE 2018TSX-V: LS C

1L S C L I T H I U M C O R P O R A T I O N

Certain statements contained in this presentation (“Presentation”) constitute forward-looking information within the meaning of securities laws. All statements included in thisPresentation (other than statements of historical facts) which address activities, events or developments that management anticipates will or may occur in the future are forward-looking statements, including statements as to the following: future sales, future targets and estimates for production and sales, statements relating to the business and futureactivities of, and developments related to, LSC Lithium Corporation (“LSC” or the “Company”) and its subsidiaries, ability to execute LSC’s growth strategy, the execution andtiming of exploration work programs, future business acquisitions, results with respect to brine chemistries, grade and impurities, the continued growth of the lithium industry,demand, supply and uses of lithium in the global markets, the ability and timing of achieving production at any of the Company’s mineral exploration properties, ability and timingof publishing NI 43-101 resources and technical reports for any of the Company’s mineral exploration properties, uncertainties relating to receiving mining, exploration,environmental and other permits, approvals or community approvals in Argentina, availability of additional financing, anticipated results of exploration activities, the costs andtiming for completion of capital projects necessary for any future operations, capital expenditures, operating costs, cash costs, recovery rates, grades and prices, businessstrategies and measures to implement such strategies, competitive strengths, estimated goals and plans for the Company’s future business operations and commodity pricesoutlook.

Forward-looking statements are often, but not always, identified by the use of words such as ‘‘seek’’, ‘‘anticipate’’, ‘‘contemplate’’, ‘‘target’’, ‘‘believe’’, ‘‘plan’’, ‘‘estimate’’,‘‘expect’’, and ‘‘intend’’ and statements that an event or result ‘‘may’’, ‘‘will’’, ‘‘can’’, ‘‘should’’, ‘‘could’’ or ‘‘might’’ occur or be achieved and other similar expressions. Thesestatements are based upon certain reasonable factors, assumptions and analyses made by management in light of its experience and perception of historical trends, currentconditions and expected future developments, as well as other factors management believes are appropriate in the circumstances. However, whether actual results anddevelopments will conform with management’s expectations is subject to a number of risks and uncertainties, including factors underlying management’s assumptions, such as,risks relating to proposed acquisitions; volatility in lithium prices and the market for lithium; exchange rate fluctuations; the requirement for significant additional funds fordevelopment that may not be available; changes in national and local government legislation, including permitting and licensing regimes and taxation policies and the enforcementthereof; regulatory, political or economic developments in Argentina or elsewhere; litigation; title, permit or license disputes related to interests on any of the properties in whichthe Company holds an interest; excessive cost escalation as well as application, development, permitting, infrastructure, operating or technical difficulties on any of the Company’sproperties; risks and hazards associated with the business of development and mining on any of the Company’s properties; terrorism, civil unrest or an outbreak of contagiousdisease; mining industry operational hazards and environment concerns; uncertainty of estimates of mineral resources and mineral reserves; an impairment or write-down of theCompany’s mineral properties or assets forcing the Company to discontinue exploration and lose its interest in, or be forced to sell some of its properties.

Additional factors and considerations are discussed in LSC’s Filing Statement dated January 27, 2017, as updated in other disclosure documents filed from time to time by theCompany with Canadian securities regulatory authorities and available on SEDAR at www.sedar.com.

Undue importance should not be placed on forward-looking information nor should reliance be placed upon this information as of any other date. The information and opinionscontained in this Presentation are provided as at the date of this Presentation and are subject to change without notice. No representation or warranty, express or implied, isgiven by or on behalf of LSC, its shareholders, directors, officers or employees nor any other person as to the accuracy or completeness of the information or opinions containedin this Presentation.

At this time, there is no forecast for when LCE production could commence from LSC properties. Further, production of LCE directly on LSC’s salars may not occur if LSCconsummates its plans to supply brine to a planned regional processing facility at Enirgi Group Corporation’s Salar del Rincón project.

The information is not designed to provide financial, tax planning, accounting, investment, business or legal advice in any way whatsoever. The reader should consult with alawyer, accountant and other professionals in respect of the contents hereof. Furthermore, this Presentation is not, and under no circumstances is to be construed as, aprospectus, an advertisement or a public offering of securities, in the United States, Canada, or any other jurisdiction. No securities commission or similar authority of the UnitedStates, Canada, or any other jurisdiction has reviewed or in any way passed upon this document, and any representation to the contrary is an offence.

CAUTIONARY NOTE ON FORWARD LOOKING STATEMENTS


Certain information contained in this Presentation concerning the lithium industry and industry comparables is based on data from publicly available industry sources, public filingson SEDAR as well as market research and industry analysis and on assumptions based on data and knowledge of this industry which management believes to be reasonable.However, there has been no independent verification of such data, which may prove to be imprecise, although generally indicative of relative market positions, market shares andperformance characteristics. While management is not aware of any misstatements regarding any industry data or industry comparables presented herein, industry data is subjectto change based on various factors.

Qualified Person

The material scientific and technical information relating to the Company’s properties contained in this Presentation has been reviewed and approved by Don Hains, P.Geo, aqualified person pursuant to National Instrument 43-101 - Standards of Disclosure for Mineral Projects (“NI 43-101”).

Technical Report

Readers are referred to the technical report prepared under NI 43-101 for the Company with an effective date of December 31, 2016 entitled “Review of Four Lithium ExplorationProperties in Argentina” available on SEDAR at www.sedar.com for more information on the Salinas Grandes, Pastos Grandes and Jama properties.

Readers are referred to the technical report prepared under NI 43-101 for the Company with an effective date of February 28, 2018 entitled “Mineral Resource Estimate &Technical Report on the Salar de Pozuelos Project, Salta Province, Argentina” available on SEDAR at www.sedar.com for more information on the Pozuelos property.

Readers are referred to the technical report prepared under NI 43-101 for the Company with an effective date of February 15, 2018 entitled “Technical Report on the Salar de RioGrande Project, Salta Province, Argentina” available on SEDAR at www.sedar.com for more information on the Rio Grande property.

CAUTIONARY NOTE ON FORWARD LOOKING STATEMENTS


INCREASING RESOURCE BASE TO BUILD A LARGE LCE INVENTORY IN ARGENTINA

▪ Maiden Mineral Resource for Pozuelos of 1.3 Mt lithium carbonate equivalent

(LCE) at 387 mg/l Li Measured & Indicated and 497 kt LCE at 340 mg/l Li Inferred.

▪ Maiden Inferred Mineral Resource for Rio Grande of 2.2 Mt LCE at 374 mg/l Li in

top 100m.

▪ Mineral Resources to be delivered at Salinas Grandes in Q3 2018; Pastos Grandes,

Pozuelos (upgrade) and Rio Grande (upgrade) in Q4 2018; and Jama in Q2 2019.

LARGE, HIGH QUALITY LAND PACKAGE IN “LITHIUM TRIANGLE” TO EXPLORE

▪ Land package of over 300,000 ha across multiple, non-contiguous salars with LSC

having majority control in some salars.

▪ Multiple major development projects: Pozuelos/Pastos Grandes, Rio Grande,

Salinas Grandes and Jama.

NUMEROUS NEAR-TERM DEVELOPMENT MILESTONES

▪ NI 43-101 resource estimates expected to be delivered at four projects in 2018

(two have already been announced).

▪ Advanced exploration and preliminary engineering work underway on

Pozuelos/Pastos Grandes Project with PEA expected in Q4 2018.

▪ PEA based on brine sourced from Pozuelos and Pastos Grandes salars, and

commencing target production in 2021.1

▪ Targeting LCE production from each salar starting from 2021 through 2024.1

COMPANY HIGHLIGHTSFast Tracking Development to Commence Production in 20211

LSC is trading at attractive valuation compared to its peers in Argentina.1. See “Cautionary Note on Forward-Looking Information” in this Presentation.


EV ADOPTION AND INCREMENTAL DEMAND FOR LITHIUM

LITHIUM – A CRITICAL BATTERY METALLithium Demand to Increase Due to Robust Growth in Electric Vehicles

Sources: 1 J.P. Morgan, February 2018; 2 UBS, December 2017 (PV = Passenger Vehicles); Roskill, May 2017; BMO Capital Markets, October 2017.

EV SALES PROJECTED TO REACH ABOUT 16% BY 20252 LCE DEMAND FORECAST TO INCREASE 5X FROM 2016 TO 20252

EV BATTERY CELL COST TREND1

▪ Lithium-ion batteries have become the de facto choice of rechargeable batteries due to their high energy density and light weight.

▪ As battery costs move towards US$100/kWh, electric vehicles (EV) are estimated to reach cost parity with internal combustion engines (ICE).

▪ Government regulations to reduce air emissions, particularly in Europe and China, are seen as another key driver of EV growth.

▪ EVs forecast to be about 16% of total passenger vehicle sales in 2025.

▪ Lithium demand projected to increase five-fold from 2016 to 2025.

▪ An estimated US$10-12 billion needs to be invested in upstream and downstream projects to meet LCE demand forecasts.

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PROPERTY SUMMARYExtensive Land Package over 300,000 ha with Major Development Projects in Five Salars

POZUELOS▪ 21,425 ha (100% interest)▪ covers 99% of salar

1

2 PASTOS GRANDES▪ 2,683 ha (100% interest)

3 RIO GRANDE▪ 26,865 ha (100% interest)▪ covers 90% of salar surface

4 SALINAS GRANDES▪ 88,472 ha (85% interest)

Salta Province▪ ~45,000 ha▪ covers 95% of salar surface

Jujuy Province▪ ~35,000 ha▪ covers 44% of salar surface

5 JAMA▪ 7,634 ha (68% interest)▪ covers 95% of salar

Total Portfolio1 is 306,347 ha (234,519 ha attributable to LSC)▪ Other properties: Guayatayoc, Western Claim Block, Arizaro, Laguna

Palar, Pocitos and others

1. Some properties are subject to pending applications for approval and there is no assurance that these applications will be approved and, if approved, the entire area applied for will be granted.

1

2

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3


SALAR CHEMISTRYComparison of the Major “Lithium Triangle” Salars

Salar Area Elevation MAP Salar Type Brine Type Cl Li K B

km2 amsl (m) (mm) g/l g/l g/l g/l

Arizario 1,600 3,500 50 Immature Na-Cl-SO4 190 0.08 4 0.12

Pocitos 435 3,660 60 Immature Na-Cl-SO4 170 0.09 4.8 1.32

Antofalla 540 3,580 - ? Immature Na-Cl-SO4 166 0.32 0.7 10.8

Rio Grande 156 3,703 - Mixed Na-Cl-SO4 169 0.37 6.9 0.34

Rincon 280 3,740 63 Largely Imm Na-Cl-SO4 195 0.40 7.5 0.33

Uyuni 10,000 3,653 150 Immature Na-Cl-SO4 190 0.42 8.7 0.24

Pastos Grandes 35 3,818 - Mixed Na-Cl-SO4 183 0.47 4.8 0.8

Pozuelos 85 3,800 - Mature Na-Cl-SO4 185 0.49 5.2 0.74

Hombre Muerto W 350 3,750 77 Mature Na-Cl-SO4 195 0.68 6.3 2.06

Olaroz-Cauchari 550 3,900 130 Immature Na-Cl-SO4 180 0.71 5.9 1.00

Hombre Muerto E 280 3,750 77 Immature Na-Cl-SO4 140 0.78 5.9 0.62

Guyatayoc-Salinas Grandes 2,500 3,400 180 Immature Na-Cl-Ca/SO4 190 0.78 9.8 0.23

Maricunga 90 3,700 35 Mixed Na-Cl-Ca/SO3 204 1.05 5.9 0.79

Atacama 2,900 2,300 25 Mature Na-Cl-Ca/SO4 210 2.55 27.4 0.52

Source: Houston et al. (2011) and modified to include LSC projects as a comparison. Average lithium grades are averages of all exploration and pump well data on the properties.


2018 2019 2020 2021 2022 2023 2024 2018 Activities

Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 H1 H2 H1 H2 H1 H2 H1 H2 H1 H2

Pozuelos

Resource Definition ▪ 6 pump test well program

▪ 3 delineation resource drill holes

▪ Additional 30km seismic survey

▪ Upgraded Resource in Q4; PEA in Q4

Technical Studies

Construction

Target Production

Pasto Grandes2

Resource Definition ▪ Drilling; Maiden Resource in Q4

Rio Grande

Resource Definition ▪ Drilling to test deeper levels of the salar and porosity levels

▪ Upgraded Resource in Q4Technical Studies

Construction

Target Production

Salinas Grandes

Resource Definition ▪ Work with local communities

▪ Drilling in three locations

▪ Gravity, VES and CS-ATM/TEM work

▪ Maiden Resource in Q3

Technical Studies

Construction

Target Production

Jama

Resource Definition ▪ Exploration drilling of basin and alluvialsTechnical Studies

Construction

Target Production

Ramp-up

ON THE PATH TO PRODUCTION1

Rapidly Advancing Exploration Programs at Multiple Projects Simultaneously

Steady-State

Ramp-up Steady- State

Ramp-up

1. Completion of the activities on the timeline above are estimates made by LSC management based upon their current assumptions. This page contains “forward-looking information” and readers are referred to the “Cautionary Note on Forward-Looking Information” in this Presentation. Risks include, but are not limited to, receipt of necessary permits to undertake the work, successful results from earlier activities, the ability of the Company to raise necessary financing, etc. The timelines above do not imply that the Company has made a decision to advance any project beyond the current level of activity, and certainly has not decided to place a property into production prior to completion of a DFS and a decision by the Board of Directors of the Company to initiate construction.

2. Pasto Grandes is to be developed jointly with Pozuelos. Please see the schedule for Pozuelos for the timing of Technical Studies, Construction and Target Production.

Ramp-up

SteadyState


▪ Combined brine resources at Pozuelos and Pastos Grandes to

provide significant scale for target production.1

▪ Simple connection between the two salars: 17km apart with

Pozuelos 20m below Pastos Grandes.

▪ Complementary brine chemistry between Pozuelos and

Pastos Grandes provides process optimization opportunities.

▪ Right conditions exist at Pozuelos for installing a production

system.

▪ Local infrastructure is good and close.

- Gas pipeline located ~20km west of Pozuelos salar.

- Railway located ~55km north-west of Pozuelos salar.

▪ Building a 40-person camp at Pozuelos that is scheduled to

be completed in August 2018.

▪ Own a 7 ha easement in Salar de Pocitos with access to gas,

electricity and railway.

▪ PEA based on brine sourced from both Pozuelos and Pastos

Grandes. GHD Limited appointed as lead engineer for the

PEA and PFS.

POZUELOS & PASTOS GRANDES (PPG PROJECT)Salta, Argentina

OVERVIEW

1. Mineral Resource estimate for Pozuelos announced on February 28, 2018 (full details are contained in the Appendix). Mineral Resource estimate to be delivered at Pastos Grandes in Q4 2018.2. See “Cautionary Note on Forward-Looking Information” in this Presentation.

Gas pipeline RoadsRailroad Powerline

Source: LSC Lithium

Key

PEA in 2018 → PFS in mid-2019 → Production Target 2021.2


▪ 100% interest in 21,425 ha; Control 99% of the salar.

▪ NI 43-101 Resource1: Upgrade expected in Q4 2018.

- Measured & Indicated: 1.3 Mt LCE at 387 mg/l Li

- Inferred: 497 kt LCE at 340 mg/l Li

▪ The mineral resource is present within 1m of the salar

surface and there may be additional potential below the

current level of drilling.

▪ Highly fractured halite to 35m, deep lying sands and gravels.

▪ Grades consistently 500 to 600 mg/l Li in salar nucleus.

▪ Favourable brine chemistry with low Mg:Li ratio (typically

<6:1 Mg:Li) and low sulphates.

▪ Project to be jointly developed with Pastos Grandes.

▪ Advanced exploration and pre-engineering work underway.

▪ Recent pump test achieved 40m3/hr at over 700 mg/l Li.

POZUELOSSalta, Argentina

OVERVIEW

1. Mineral Resource estimate as at February 28, 2018 (full details are contained in the Appendix). Mineral resources are not mineral reserves and do not indicate economic viability.


▪ Recent work included diamond drilling, brine sampling,

porosity testing, seismic work, pumping well tests and

hydrogeological studies.

▪ Mineral resource estimate based on 13 resource delineation

drill holes amounting to 1,789m and two pump test wells.

▪ Drilling confirmed extensive lithium mineralization across the

salar peaking at between 430 to 508 mg/l Li.

▪ Excellent Relative Brine Release Capacity (RBRC) values

peaking at 33% in top 15m of the deposit.

▪ Six pump test-well development program commenced in

April 2018.

▪ Drilling of three additional resource delineation holes to

start in July 2018.

▪ Additional 30km seismic survey nearing completion.

POZUELOSSalta, Argentina

EXPLORATION PROGRAM


POZUELOSPump Test Work in 2017 & 2018

W1-35: 35m well

100m well

35m well

90m well

W2-90: 90m well

SP-2017-10W: 100m well

▪ 30 days pump test

▪ Flowrate: 35 m3/hr

▪ Avg Lithium: 591 mg/l

▪ Mg/Li ratio: 4.1

▪ 15 days pump test




▪ 48 hours pump test





▪ 100% interest in 2,683 ha; 75% of LSC tenements are on the

salar surface.

▪ NI 43-101 Resource: Expected in Q4 2018.

▪ The portion of Salar de Pastos Grandes not controlled by LSC

with an approximately equivalent surface area has reported

a Measured & Indicated Mineral Resource1 of over 2 Mt LCE

and an average grade of 445 mg/l Li.

PASTOS GRANDESSalta, Argentina

OVERVIEW

EXPLORATION PROGRAM

▪ Five drill hole program to be completed in Q4 2018.

- SPG-2017-02B: consistent Li mineralization to depth of

512m; average Li grades returned a peak of 511 mg/l Li.

- SPG-2017-04A: peak value intersected of 528 mg/l Li

and remains open at depth.

- SPG-2017-05B: averages 569 mg/l Li over 430m; peak

value intersected of 637 mg/l Li and open at depth.

▪ Seismic survey and three hole pump test work program to

be completed in 2018.

1. Technical report prepared by Millennial Lithium Corp. dated January 2, 2018 with an effective date of December 22, 2017 and filed under Millennial Lithium Corp.’s profile at SEDAR. The mineralization on the Millennial tenements may not be representative of the potential mineralization on the LSC tenements.


▪ 100% interest in 26,865 ha; Covers 90% of salar surface and

nucleus.

▪ NI 43-101 Resource1: Upgrade expected in Q4 2018.

- Inferred: 2.19 Mt LCE at 374 mg/l Li

▪ The top 50m amounting to 1.4 Mt LCE at 338 mg/l Li and the

lower 50-100m amounting to 815 kt LCE at 410 mg/l Li.1

▪ Lithium in brine bearing formations indicated to 500m+ depth.

▪ Historic and current Phase 1 drilling is only to 100m.

▪ Drilling to test deeper zones expected to start shortly.

▪ Three former production wells (150m3/hour – currently

closed, under rehabilitation) and an established camp on site.

▪ Potential for sodium sulphate and gypsum by-product credits.

Past sodium sulphate producer.

RIO GRANDESalta, Argentina

OVERVIEW

1. Mineral Resource estimate as at February 15, 2018 (full details are contained in the Appendix). Mineral resources are not mineral reserves and do not indicate economic viability.


▪ CS-AMT geophysical exploration, twin drilling and pumping

tests completed last year.

▪ Phase 1 eight hole drill program confirmed wide spread

lithium mineralisation:

- Drill hole RG-2017-24T returns range of 375 mg/l Li to

657 mg/l Li over 90m.









▪ Upgraded and expanded Mineral Resource in 2018.

▪ PEA for Rio Grande planned for H1 2019.


EXPLORATION PROGRAM


▪ CS-AMT survey indicated brine bearing lithologies to 500m+

depth.

▪ Two deep seated depositional centers identified.

▪ Historic and Phase 1 drilling is to 100m.

▪ Phase 2 exploration program will test deeper levels of the

salar and porosity levels.

▪ Lithium grades tend to improve between 50-100m below

surface, which indicates potentially improved grades at

depth.


CS-AMT SURVEY RESULTS


▪ 85% interest in 88,472 ha; LSC is the operator.

- 100% interest in 60,947 ha.

- 51% interest in JV with Dajin Resources over 27,525 ha.


▪ Control 95% of the salar surface on the Salta side and 44% of

the salar surface on the Jujuy side and the alluvial fans.

▪ Positioned to be the sole operator in the salar.

▪ Recent surface sampling results support the potential for a

large scale, high-grade lithium operation.

- Peak grade returned of 2,736 mg/l Li.

- 80% of assay results returned grades above 500 mg/l Li.

▪ Excellent access and local infrastructure - main highway

crosses the salar and main gas pipeline runs north of the salar.

▪ Brine chemistry with low Mg:Li ratios and good K:Li ratios.1

▪ Separate exploration and development programs for Salta and

Jujuy since each have their own regulatory framework.

SALINAS GRANDESSalta and Jujuy, Argentina

OVERVIEW

1. Sampling in 2010 by Enirgi Group on the Enirgi Group tenements on the salar generated 237 samples with a maximum value of 3851 mg/l Li and a minimum value of 8 mg/l Li. Average values for the various Enirgi Group tenements on the salar ranged from a low of 265 mg/l Li (19 samples) to a high of 1595 mg/l Li (76 samples). Other results showed average values of 594 mg/l (41 samples), 1026 mg/l (28 samples), 928 mg/l (25 samples), 915 mg/l (27 samples), and 440 mg/l (22 samples). There has been insufficient exploration to define a mineral resource and it is uncertain if further exploration will result in a mineral resource being delineated.


▪ Prior work included surface sampling, 47 auger holes (depths

between 4 and 20m), 12 diamond drill holes (average depth

of 71.4m) and pumping tests.

▪ Shallow inferred resource estimate of 239,200 tonnes LCE

and 1.03 million tonnes of potash (KCl) over 11,620 hectares.

▪ Resource estimate based on a boundary cut-off grade of

1,000 mg/l and an average specific yield of 4.1% to a depth

of 13.3m.

SALINAS GRANDESSalta and Jujuy, Argentina

PRIOR EXPLORATION WORK BY OROCOBRE1

1. Orocobre Limited completed a NI 43-101 technical report with an inferred mineral resource estimate on its Salinas Grandes tenements in 2013 (see Technical Report on the Salinas Grandes Lithium Project – April 16, 2012, amended August 12, 2013, filed under Orocobre Limited’s profile on SEDAR). LSC considers the Orocobre resource estimate to be illustrative of the prospectivity of the Salinas Grandes salar. However, LSC is not considering the historical Orocobre resource estimate as a current resource estimate and is not relying on the historical resource estimate as a current resource estimate until such time as a Qualified Person has reviewed and confirmed the data. LSC is undertaking an exploration program involving sampling, drilling and pumping tests to develop a current resource estimate in conformance with NI 43-101.

▪ LSC has completed its verification program of Orocobre

surface pit sampling assay results and auger hole assay

results.

▪ LSC plans to commence a shallow core sampling

program in Q3 2018.

LSC CONFIRMATION OF HISTORIC WORK BY OROCOBRE

▪ Average lithium grade was 795 mg/l.

▪ Average potassium grade was 9,547

mg/l.

▪ Li and K concentrations are elevated

in the upper 10-15m.


▪ ~45,000 ha in the centre of and in the alluvial fans of the

salar in Salta.

▪ Control 95% of the Salta side of the salar surface.

▪ Orocobre NI 43-101 report indicates potential for productive

sand layers in the northern and western part of the salar on

the Salta side extending into the alluvial fan.1

▪ Brine chemistry shows low Mg:Li ratio and favourable K:Li

ratio.2

▪ There are four trenches on the Salta side which can be

rehabilitated.

SALINAS GRANDES - SALTASalta, Argentina

OVERVIEW

EXPLORATION PROGRAM

▪ LSC’s work with local communities in coordination with the

State allowed exploration activities to commence in 2017.

▪ Of the 53 shallow pit samples taken, 80% returned grades in

excess of 500 mg/l Li, 44% in excess of 1,000 mg/l Li and

13% over 1,500 mg/l Li.

1. Orocobre Limited NI 43-101 technical report on its Salinas Grandes tenements in 2013 (see Technical Report on the Salinas Grandes Lithium Project – April 16, 2012, amended August 12, 2013, filed under Orocobre Limited’s profile on SEDAR).2. Sampling in 2010 by Enirgi Group on the Enirgi Group tenements on the salar generated 237 samples with a maximum value of 3,851 mg/l Li and a minimum value of 8 mg/l Li. There has been insufficient exploration to define a mineral resource

and it is uncertain if further exploration will result in a mineral resource being delineated.


▪ ~35,000 ha in the centre of and in the alluvial fans of the salar

in Jujuy.

▪ Control 44% of the Jujuy side of the salar surface.

▪ Large portion of the salar is controlled by local cooperatives.

▪ Comparable geology & brine chemistry to Salta side of salar.

▪ Drill holes can be used to test the potential of the alluvial fan.

▪ Government in Jujuy promoting concept of one operator on

the salar. LSC is the dominant tenure holder on the salar.

SALINAS GRANDES - JUJUYJujuy, Argentina

OVERVIEW

EXPLORATION PROGRAM

▪ In 2017, LSC received approval to commence geophysical

exploration work and surface sampling on the San Jose and

Navidad concessions.

▪ Of the 25 shallow pit samples taken, 60% returned grades in

excess of 500 mg/l Li and 8% in excess of 1,000 mg/l Li. Peak

grade returned of 1,353 mg/l Li; average grade 591 mg/l Li.

▪ 2018 work program includes gravity, VES and CS-ATM/TEM

work to define basin dimensions and structure and aquifer

zones. This will be followed by drilling in three locations.


▪ 68% interest in 7,634 ha; Control 95% of the salar.

- 51% interest in JV over 5,000 ha (LSC is the operator).

- 100% interest in 2,634 ha.


▪ Excellent infrastructure and on the national grid.

▪ Shallow surface sampling was undertaken on the northern

part of the salar in 2015.

- Results indicate good lithium values and favorable Mg:Li

ratios (typically ~3:1) with good porosity.1

▪ Seismic data indicates that the salar is developed up to

300m below surface.

JAMAJujuy, Argentina

OVERVIEW

EXPLORATION PROGRAM

▪ 80 km seismic survey recently completed.

▪ Salar surface area extended under adjacent alluvial fan from

2,900ha to 5,400ha.

▪ Drilling of exploration holes planned in 2018.

1. These values are based on historic sampling data from JV partner, Cuper S.A. There has been insufficient exploration to define a mineral resource and it is uncertain if further exploration will result in a mineral resource.


▪ Pozuelos-Pastos Grandes

- Supporting improvements in local education and waste disposal;

training and hiring local workers.

▪ Rio Grande

- Supporting and developing local suppliers and working to

enhance tourism in the area.

▪ Jama

- Assisting with the operation and maintenance of a weather

station in addition to other community programs.

▪ Salinas Grandes

- Actively working with ten communities in Salta province and four

communities in Jujuy province.

- Five employees working full time on social/community

engagement, with a CSR office in San Antonio de los Cobres.

- Assisting in the development of the local hospital in San Antonio

de los Cobres, including work on pre-employment health analysis.

- Developing local suppliers, supporting infrastructure and training.

STRONG COMMUNITY SUPPORT

LSC is focused on transparency and ensuring local communities receive fair share of benefits.

LSC is Active in Local Communities and Has Earned Strong Support for Its Operations

COMMUNITY OUTREACH PROGRAMS


CAPITAL STRUCTURE & FINANCIAL INFORMATION

CAPITALIZATION ITEMS

Symbol TSX.V: LSC

Share Price (June 22, 2018) C$0.78

Market Capitalization C$111 million

Shares Outstanding 142.4 million

Options / Warrants 13.1 million

Fully-diluted Shares Outstanding 155.5 million

FINANCIAL INFORMATION*

Cash & Marketable Securities US$11.2 million

Book Value of Exploration and Evaluation Assets US$100.2 million

* As at February 28, 2018.

NEAR-TERM CATALYSTS

Salinas Grandes NI 43-101 Resource Q3 2018

Pastos Grandes NI 43-101 Resource Q4 2018

Pozuelos Upgraded NI 43-101 Resource Q4 2018

PEA on Pozuelos-Pastos Grandes Project Q4 2018

Rio Grande Upgraded NI 43-101 Resource Q4 2018

PEA on Rio Grande H1 2019

Jama NI 43-101 Resource Q2 2019


MANAGEMENT TEAM

Ian StalkerChief Executive Officer

▪ A senior international mining executive with over 45 years of experience in resource development, mine construction and operations.

Lincoln GreenidgeChief Financial Officer

▪ A senior finance executive with over 30 years of experience in corporate finance, audit, manufacturing and mining.▪ Former VP, Finance & Controller of Enirgi Group and LeadFX Inc. and Controller of HudBay Minerals and IAMGOLD.

Carlos GalliChief Operating Officer

▪ Experience in the construction and management of a safe and sustainable lithium carbonate plant operation in the Puna plateau of Argentina, which delivered product to five countries.

Rodrigo CastañedaEVP Administration

▪ Over 10 years of experience as a legal advisor in South America’s public and private mining sector.▪ Has published several papers on Argentina’s mining industry.

Paul KlugeProject Director

▪ Over 15 years of experience in mining studies from scoping studies to feasibility studies and implementation.▪ Former Project Manager for definitive feasibility study of US$2 billion potash project.

COMPANY MANAGEMENT

BOARD OF DIRECTORS

Stephen DattelsCo-Founder and Chairman

▪ A seasoned senior mining executive and resource financier.▪ Founded and/or financed numerous mining ventures in several continents.▪ Senior executive and director of Barrick during its formative years.

Robert MetcalfeNon-executive Director

▪ Lawyer/former senior partner with Lang Michener LLP and President/CEO of Armadale Properties Limited.▪ Board director of numerous public natural resource companies – engaged in many corporate reorganizations and financings

across all sectors.

J. Trevor EytonNon-executive Director

▪ Served as a Member of the Senate of Canada from 1990 until his retirement in 2009.▪ Former CEO and Chairman of Brascan Limited (now known as Brookfield Asset Management).

Bryan SmithNon-executive Director

▪ Over 30 years of experience in the Canadian securities industry.▪ Co-founded Burgundy Asset Management in 1990.

Cheoll Ho GhimNon-executive Director

▪ Seasoned senior mining executive with an equity capital markets background in Asia.▪ Worked as an investment banker for Deutsche Bank, BNP Paribas and STIC Investment Inc. in Asia.

John HickNon-executive Director

▪ Senior management and/or board director of numerous publicly listed mining companies since 1981.▪ Consults with companies on corporate restructurings, acquisitions, financings and executive management.

Financial & Technical Experience to Lead LSC to Become a Producer of High Quality Lithium


INVESTMENT HIGHLIGHTSRapidly Advancing High-Quality Lithium Brine Projects to Production

▪ Major development projects in the heart of the “Lithium Triangle”

in Argentina, with an industry-leading land package in excess of

300,000 ha.

▪ Focused on becoming a near-term producer, with targeted LCE

production at each salar starting from 2021 through 2024.1

▪ Extensive exploration program underway, with numerous near-

term development milestones.

▪ Strong management and Board of Directors with a track record of

value creation in the mining industry.

▪ Technical team with a combination of experience, local knowledge

and industry expertise.

▪ Building good relationships with local communities and

coordinating with local governments.

▪ Robust lithium market outlook with demand expected to increase

five-fold from 2016 to 2025, driven by electric vehicle adoption.

1. See “Cautionary Note on Forward-Looking Information” in this Presentation.


CONTACT INFORMATION

40 University Avenue, Suite 605Toronto, ON Canada M5J 1T1

+1 416 304 9384

[email protected]

LSCLITHIUM.COM

Corporate Communications and Investor Relations


APPENDIXADDITIONAL INFORMATION


MINERAL RESOURCE ESTIMATES*

RIO GRANDE MINERAL RESOURCE ESTIMATE5 AS AT FEBRUARY 15, 2018

Classification and Zone Assay Value Total Brine Volume(B m3)

RBRC2

(%)

Available Brine Volume

(MM m3)

Li K tonnes

(as metal)LCE3

(k tonnes)Inferred

Li(mg/l)

Ca(mg/l)

K(mg/l)

Mg(mg/l)

SO4

(mg/l)

Top 50m, 5km radius of pump well

338 3,570 6,170 1,320 29,100 4.170 13.5 563.049 190.3 1,013.0

Remaining area, top 50m 338 3,570 6,170 1,320 29,100 2.898 6.95 201.432 68.1 362.4

Subtotal 338 3,570 6,170 1,320 29,100 7.069 10.81 764.482 258.4 1,375.4

Lower 50m – 100m 410 710 7,520 4,920 34,130 7.069 5.28 373.245 153.0 814.6

Total Inferred 374 2,149 6,845 3,129 31,615 14.138 8.05 1,137.727 411.4 2,190.04

1. Resources estimated using CIM 2014 resource classification definitions. A cut-off grade of 100 mg/l Li was applied.

2. Relative Brine Release capacity (RBRC) value is the weighted average for the resource classification category.

3. LCE (Li2CO3) equivalent. Li to Li2CO3 conversion factor 5.323.

4. Rounded to nearest thousands.

5. Resources estimated using CIM 2014 resource classification definitions. A cut-off grade of 100 mg/l Li was applied. The hydraulic parameters of the resource area suggest that it is reasonable to expect brine extraction by a conventional production wellfield at a commercially viable rate, while the geochemical characteristics of the brine suggest that conventional processing techniques may be employed to produce saleable lithium products in an economically profitable manner. These processing techniques are employed in lithium brine operations in Chile, the USA and China.

* Pozuelos Mineral Resource estimate was contained in LSC news release on March 5, 2018 and the Rio Grande Mineral Resource estimate was contained in LSC news release on February 15, 2018. Mineral resources which are not Mineral Reserves do not have demonstrated economic value. There is no assurance that additional exploration will result in the conversion of Mineral Resources to Mineral Reserves. Inferred Mineral Resources are considered as too speculative to have economic criteria applied to them. There is no assurance that additional exploration will result in the conversion of Inferred Mineral Resources to Indicated or Measured Mineral Resources. Figures may not add due to rounding.

POZUELOS MINERAL RESOURCE ESTIMATE1 AS AT FEBRUARY 28, 2018

Assay Value Total Brine Volume

(MM m3)RBRC2

(%)

Available Brine Volume

(MM m3)Li Tonnes(as metal)

LCE3

(tonnes)ClassificationLi

(mg/l)Ca

(mg/l)K

(mg/l)Mg

(mg/l)SO4

(mg/l)

Measured 371 1,666 3,164 2,053 5,125 4,412.28 12.34 544.48 202,326 1,076,979

Indicated 486 1,373 4,318 2,621 8,671 1,324.47 6.40 84.77 41,211 219,365

Measured & Indicated 387 1,627 3,319 2,129 5,602 5,736.75 10.97 629.24 243,536 1,296,0004

Inferred 340 757 1,894 1,373 3,824 7,663.14 3.58 274.34 93,361 497,0004

an emerging lithium producer...2018/06/25 · lithium-ion batteries have become the de facto choice...

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