New Corporate Presentation October 2018 · 2018. 10. 3. · Corporate Presentation . ... the information presented on this presentation and the information incorporated by reference

Corporate Presentation

October 2018

Except for the statements of historical fact contained herein, the information presented on this presentation and the information incorporated by reference herein, constitutes “forward looking information” within the meaning of applicable Canadian securities laws concerning the business, operations and financial performance and condition of Lithium Energi Exploration Inc. (“the Company”). All statements, except for statements of historical fact, that address activities, events or developments that management of the Company expects or anticipates will or may occur in the future including such things as future capital expenditures (including the amount and nature thereof), business strategies and measures to implement strategies, competitive strengths, goals, expansion and growth of the business and operations, plans and references to the future success of the Company, and such other matters, are forward looking statements. Often, but not always, forward looking information can be identified by words such as “pro forma”, “plans”, “expects”, “may”, “should”, “budget”, “scheduled”, “estimates”, “forecasts”, “intends”, “anticipates”, “believes”, “potential” or variations of such words including negative variations thereof, and phrases that refer to certain actions, events or results that may, could, would, might or will occur or be taken or achieved. Forward looking information involves known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to differ materially from any future results, performance or achievements expressed or implied by the forward looking information. Such risks and other factors include, among others, operating and technical difficulties in connection with mining development, actual results of exploration activities, estimation or realization of mineral reserves and mineral resources, the timing and amount of estimated future production, costs of production, capital expenditures, the costs and timing of the development of new deposits, the availability of a sufficient supply of water and other materials, requirements for additional capital, future prices of metal, changes in general economic conditions, changes in the financial markets and in the demand and market price for commodities, possible variations in ore grade or recovery rates, possible failures of plants, equipment or processes to operate as anticipated, accidents, labor disputes and other risks of the mining industry, delays in obtaining governmental approvals, permits or financing or in the completion of development or construction activities, changes in laws, regulations and policies affecting mining operations, hedging practices, currency fluctuations, title disputes or claims limitations on insurance coverage and the timing and possible outcome of pending litigation, environmental issues and liabilities, risks related to joint venture operations, risks related to the integration of acquisitions, as well as risks and uncertainties discussed in the latest Annual Information Form, Management Discussion and Analysis, and Financial Statements (refer to Company filings on www.sedar.com). Shareholders are cautioned not to place undue reliance on forward looking information. The Company undertakes no obligation to update any of the forward looking information in this presentation or incorporated by reference herein, except as otherwise required by law. All scientific and technical information concerning Lithium Energi’s mineral projects contained in this presentation has been prepared by or under the supervision of, or approved by, Caitlin Jeffs, PGeo, a consultant of the Company, and a qualified person as defined in National Instrument 43-101 of the Canadian Securities Administrators. All scientific and technical information concerning Lithium Energi’s mineral projects contained in this website has been prepared by or under the supervision of, or approved by, Caitlin Jeffs, PGeo, a consultant of the Company, and a qualified person as defined in National Instrument 43-101 of the Canadian Securities Administrators.

FORWARD LOOKING CAUTIONARY STATEMENTS

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2018 LITHIUM HEADLINES – CHANGING THE WORLD FOREVER …a very busy year as the boom continues

3

LITHIUM ION & EV TO CREATE DISRUPTION OF

$12T INDUSTRIES: ENERGY & TRANSPORTATION

FMC TO SPINOFF LITHIUM DIVISION, PLANS

TO RAISE $500MM, CREATE NEW $3B PUBCO

JP MORGAN PREDICTS 45% FALL IN LITHIUM PRICES BY 2020

LITHIUM GLUT? NO WAY, SAY INDUSTRY EXPERTS,

DECRY JP MORGAN REPORT AS “UNINFORMED”

GM Is Going All Electric, Will Ditch Gas and Diesel-Powered Cars

SQM says "the global lithium market could expand 20 percent this year"

IEA report says "Electric cars will drive a 'rapid ramp-up' in cobalt and lithium demand for a decade or more."

IEA report says "electric vehicles will grow from 3 million in 2018 to over 125 million by 2030."

Goldman Sachs says “investor concerns about oversupply are unfounded, it will be harder to develop new lithium mines that

most people think, and demand for lithium could rise fourfold by 2025 due to rising sales of electric cars. "

Morgan Stanley reports "By

2050, there may be one

billion electric vehicles on

the road worldwide."

Lithium Producer

Ganfeng Stock

Climbs After Filing

$1-billion Hong

Kong IPO

China's Tianqi

Lithium files for

$1 billion Hong

Kong listing

Australian Lithium Producers Ramp Up DSO Exports to China

DATA SHOWS LITHIUM DEMAND IS EXPECTED TO DOUBLE BY END OF THE DECADE

Reuters: Albemarle may buy FMC’s

lithium operations if IPO stumbles

NEMASKA IS FIRST

NEW PRODUCER TO

HAVE PRODUCTION

PLANT FULLY

FUNDED,

RAISES OVER $1.1B

POSCO PAYS $280MM

FOR NORTHERN HALF

OF GALAXY’S LITHIUM

CLAIMS AT HOMBRE

MUERTO SALAR

NextView acquires

Lithium X Energy

Corp. for $265mm

Will China Dominate Li-ion

Battery Manufacturing?

Bloomberg: Macri's ‘Buy Argentina’ Mission Prompts Oil, Lithium Listings

V W Hopes to Sell 10 Million Electric Cars Based on Its New Platform

EDF: Energy storage market

booms, more growth to

come

THE LITHIUM BOOM IS SURGING

4

Now it's all about the right opportunities and that is where our story begins…

What to know… • HIGH CALIBRE MANAGEMENT

• TIGHT CAPITAL STRUCTURE

• LARGEST LI PROPERTY PACKAGE IN THE REGION

• LOWEST “COST PER HECTARE” ACQUISITION COST

• IN THE HEART OF SOUTH AMERICA’S “LITHIUM TRIANGLE”

• IN SAME BASINS AS WORLD’S TOP LITHIUM PRODUCERS

• HIGHEST QUALTIY IN LOCAL RELATIONSHIPS

• ADVANCED LITHIUM EXTRACTION AND PROCESSING TECHNOLOGY

• RAPID PATH TO PRODUCTION

WHERE A BOOM BEGINS… AT THE SOURCE

5

Over 90% of world’s current lithium supply is in Chile, Argentina and Australia. Mining is either done by brine extraction (61%) or hard rock refining (39%). Few locations are viable to extract economically. The Lithium Triangle in South America is the world’s largest brine extraction area with half the known lithium deposits and 80% of all brine extraction areas.

Map Source: Clean Energy Manufacturing Analysis Center, August 15, 2018

GLOBAL DEMAND FOR ENERGY METALS IS SKYROCKETING

On May 30, 2018, the International Energy Agency released its new forecast that electric vehicles will grow from 3 million on the road

in 2018 to over 125 million by 2030.

LEXI HAS SECURED ONE OF THE LARGEST LITHIUM PROPERTY PACKAGE OF ANY COMPANY IN ARGENTINA WITH OVER 240,000 HA. OF BRINE PROPERTIES IN CATAMARCA PROVINCE

RIGHT IN THE HEART OF ONE OF THE WORLD’S MOST PROLIFIC, LITHIUM PRODUCTION AREAS...

THE LITHIUM TRIANGLE

LEXI’S SOURCE: ANTOFALLA SALAR IN THE LITHIUM TRIANGLE

6

SOUTH AMERICA

ARGENTINA

CATAMARCA PROVINCE

SALAR DE ANTOFALLA

7

Antofalla Salar is approx. 130 km long and varies from 8-15 km wide (visible surface) with a measured depth in some areas of over 500 meters. The white shown in this image depicts the visible surface of this tectonic basin, which typically exhibits at surface as a white salt pan with varying, but limited, areas of surface water accumulation. Younger lava flows cover some of the basin’s lateral limits, indicating that the basin is much larger than merely what is visible on the surface.

Approx. 8-15 km

Up to 0 . 5 km deep

Source: Albemarle Corporation

LEXI’S SOURCE: ANTOFALLA SALAR

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FMC (dark gray) is the largest lithium producer in Argentina, operating for more than 20 years the western half of Salar de Hombre Muerto (SHM), one of the world’s largest brine production areas . Producing out of only 4 wells, FMC generates 6-15k TPY of LCE. East of FMC, Galaxy Resources (light tan) and Posco (dark green) are now developing the other half of SHM. In 2018, Posco announced the USD $280 mm purchase of the northern half of Galaxy’s claims in the SHM. That claim block is adjacent to one of LEXI’s concessions.

Burnt orange-shaded area shows the concession block in the Antofalla Salar acquired by Albemarle (world’s largest lithium producer) in Q3 of 2016 from Bolland Minera, SA, a privately held, Argentinian mining company. In March, 2017, Albemarle published its belief that the Antofalla Salar is the third largest lithium deposit in the world. Albemarle has commenced test drilling in this center portion of the salar.

Red outline designates the perimeter of LEXI’s area of exclusivity for use of MRT, a proprietary technology for accelerated lithium processing (further discussed in the following pages).

Light green-shaded areas are LEXI’s claims (owned or controlled by ROFR). Over 90% of its 240,000 ha. have been granted status as ‘new mines’, resulting in a 3-year exemption from mining fees.

LEXI holds one of the largest package of prospective lithium brine properties in Argentina, acquired using the concept of CLOSE-OLOGY and applying lessons from the proliferation of unconventional shale development in the US, which suggests that, in any new commodity race, there is wisdom in:

1. acquiring claims close to where there is known geology. 2. acquiring as much property as reasonably possible. 3. acquiring concessions at the lowest possible cost per hectare. 4. acquiring properties as close as possible to known production by majors.

LEXI’S SOURCE: ANTOFALLA CLAIMS

LEXI’S ANTOFALLA CLAIMS

BOLLAND MINERA HOLDINGS

ALBEMARLE CLAIM BLOCK

LAKE RESOURCES CONCESSIONS

Readers are cautioned that (i) mineralization in subsurface brines within the Antofalla Salar basin may not necessarily be consistent, (ii) analysis of prospective, lithium-bearing brines underlying LEXI’s properties may differ from one claim to another and from claims held by others, whose claims are also located in or near the Antofalla basin complex; and (iii) no Qualified Person (as defined in National Instrument 43-101 - Standards of Disclosure for Mineral Projects) engaged by LEXI has verified any information announced by Albemarle Corporation and readers should not imply that LEXI will obtain similar results in respect of its properties.

Light blue-shaded area shows the claim block in the southern region of the Antofalla Salar basin complex that was acquired by Lake Resources. Lake announced drilling results in August, 2018 and reported lithium concentrations in the extracted brine measured as high as 306 mg/l.

9

SALAR DE PIPANACO

SALAR DE ANTOFALLA

LEXI ANTOFALLA CLAIMS-90k ha. + 110k ha. (ROFR)

Right of First Refusal (ROFR) claims at Pipanaco cover 50% of the salar. Properties are less than a two hour drive from Catamarca City.



LEXI PIPANACO CLAIMS–40k ha. (ROFR)

FMC

Depiction of 25 extraction wells using 2 km spacing

Approx. 8 km

Appr

ox. 2

0 km

In one 8 km x 8 km area, 9 to 10 wells could be drilled on 2 km spacing, enabling extraction of lithium-bearing brines from an extensive volume of the basin – more than sufficient to obtain commercial quantities of lithium. (For illustration purposes only, actual well spacing may vary)

LOCATION – LEXI CONCESSIONS

LEXI PROPERTIES - FAVORABLE GEOLOGY – INTERSECTION OF FAULTS AND MAJOR LINEAMENTS

10

Figure Key: (1) Antofalla Salar (incl. small salars associated with southern drainage basin); (2) Laguna Caro Salar; (3) Potreros Salar; (4) yellow outline of Laguna Caro Project on eastern extension of box; (5) yellow outline of Antofalla North on western and northern extensions of box; (6) yellow outline of Antofalla South; (7) red outline indicates Albemarle properties in central portion of Antofalla salar; (8) Salar de Hombre Muerto; (9) Rio de Patos outflowing north out of Galen Volcano Caldera and feeding into eastern half of SHM (closed basin); (10) Galen volcanic cone in middle of world’s largest caldera; (11) tectonic fault lines, principally caused by subduction of Nazca continental plate pushing eastward under the South American plate.

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IMPRESSIVE PROPERTY PACKAGE • Size – over 240,000 hectares. • Initial testing (surface, pits, prior exploration) confirmed

viable Li content in multiple areas. • Multiple aquifers – distinct areas, geographically related.

DESIRABLE LOCATION • Mining-friendly province, ready for growth. • Adjacent to proven production – properties abut the

world leaders in lithium. • All-weather roads to sites, easy access to paved roads. • Sufficient space for processing facilities and infrastructure

development. • Access to work force with knowledge of operations.

IDEAL CHEMISTRY and THE RIGHT WATERS • Indications of boron, potassium (potash), and other

commercial minerals. • Moderate to High grade, low Mg content (easier to refine). • Hydrogeology suggests the basin under LEXI’s properties is

replenished by aquifers. • Access to fresh water, low environmental impacts.

LEXI PROPERTIES PRIME ASSETS BETWEEN THE MAJORS


ALBEMARLE LEXI FMC, GALAXY & POSCO PROPERTIES PROPERTIES PROPERTIES ANTOFALLA SALAR ANTOFALLA SALAR HOMBRE MUERTO SALAR MIDDLE SECTION NORTH & SOUTH SECTIONS WEST & EAST SECTIONS

ANTOFALLA SALAR HOMBRE MUERTO SALAR

The total investment in new mines and production plants, including other Li-ion battery elements, will likely range from $350 billion to $750 billion, according to analysts at researcher Sanford C. Bernstein & Co.

PROJECT DEVELOPMENT FLOW – From Concept to Production In Just 4 Steps

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New Race for Supply <<<<< How Does Supply Meet Demand >>>>> Skyrocketing Demand

IN THE INDUSTRY

THE KEY FOR MANY NEW PRODUCERS WILL BE SPEED TO MARKET WITH FINISHED PRODUCT

$

PROSPECTING Locate Mineralization

PROSPECTING 240,000+ ha. Located Next to Majors & Existing Production

CONFIRMATION Geophysics & Drilling

CONFIRMATION 3 Phases: $1mm, $3mm, $5mm

PROJECT FINANCING PEA, PFS, FS, Capital Cost

PROJECT FINANCING Take-off Contracts Institutional Partners

CASH FLOW Processing, Operations, Sales

CASH FLOW Less Capex, Less Opex Start-up in 2 -3 years

CONVENTIONAL PROCESSING: 2-3 yrs to build, 2-3 yrs to process, sales in 4-6 yrs Capex: usd$150-350mm - evaporation ponds, solvent extraction Opex: expensive, low % recovery, hazardous waste residuals.

ACCELERATED METHODS: None yet in commercial operation, 7-10 in development Purportedly faster to build, finished product in 24 hrs. Projected to have lower Capex, less Opex, higher % recovery.

PROJECT DEVELOPMENT FLOW – Step Two Confirmation

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Final Results of 2018 Geophysical Studies

REGIONAL CLAIM MAP PROPERTY HOLDERS IN AND AROUND

ANTOFALLA & HOMBRE MUERTO SALARS CATAMARCA PROVINCE, ARGENTINA

LEXI CLAIMS ARE SHOWN IN GREEN

APPROX. 240,000 HECTARES 98% COMPLETED TITLE GRANT

NORTHERN LEXI CLAIMS

AREA SITES CHOSEN FOR INITIAL

GEOPHYSICAL STUDIES

WHY DID LEXI OBTAIN PROPERTIES IN THIS AREA?

KNOWN GEOLOGY

Between 2008 and 2011, a private mining company, Bolland Minera, drilled 56 test wells during three separate campaigns working with the Institute of Mineral Resources for National University of La Plata

in Buenos Aires (“INREMI”). Well bore logs (porosity, neutron density), permeability, hydraulic gradient, core sample chemistry,

together with gravimetric studies (among others) were analyzed and then published during that period. In September, 2016, Albemarle

Corp. announced its acquisition of Bolland’s claim block in the center of the Antofalla Salar (burnt orange block, mid-section of the salar).

The screenshot below was excerpted from a video report by INREMI , which maps the test wells on Albemarle’s property and includes INREMI’s findings and resource estimates from the test results.

LEXI PROPERTIES Advantage Lithium Albemarle Corporation Argentina Lithium Bolland Minera FMC Corporation Posco Galaxy Resources Lake Resources Litarsa Ultra Lithium



14

Final Results of 2018 Geophysical Studies TEM GEOPHYSICAL SURVEYS

Of all the physical properties of earth materials that can be measured, electrical resistivity exhibits the greatest variation, ranging over approx. 7 orders of magnitude (107). Resistivity, as a result, is highly sensitive to changes in porosity, metal ions in solution, hydrothermal and water variations, secondary porosity due to fracturing, and other geological effects.

The Transient Electro-Magnetic soundings method (TEM) is a highly-effective, non-intrusive geophysical technology used to obtain electrical resistivity data to depict the earth’s subsurface. In contrast to electrical methods, TEM produces rapidly acquired soundings, facilitating accurate data in continuous sections of tightly spaced sounding sites.

TEM can be deployed in many configurations, applicable for many purposes, like lithologic mapping, delineating aquifers and saline interfaces or other aquifer stratification, geothermal exploration, and environmental and engineering studies.

A specialized transmitter drives a time-varying current into a loop of ungrounded wire on surface, which generates a magnetic field that is collapsed in a controlled manner to cause eddy currents in the subsurface, which in turn create secondary magnetic fields. The changes over time of these secondary magnetic fields are measured and recorded at surface with a receiver linked to a electromagnetic antenna. The diffusion rate of the secondary magnetic fields are indicative of resistivity (conductivity-thickness in certain configurations) of the subsurface materials. Used to map geologic structures, TEM can delineate geothermal sources, groundwater strata, fresh and saltwater interfaces, and show depth to basement.

NORTHERN AREA OF

LEXI CLAIMS BLACK BORDERS ARE NOW HELD

BLUE BORDERS ARE ROFR

RED LINES INDICATE TEM PROFILE LOCATIONS

Results of TEM surveys revealed conductive brine

under all properties studied.

Examples of results are shown in the following pages

http://zonge.com/wp-content/uploads/2011/10/tdemIllustrationZongeInternational.gif


15

Final Results of 2018 Geophysical Studies The Company’s geophysical program was conducted by Quantec Geoscience Ltd., a world leader in mineral exploration with electromagnetic survey technologies. The final survey report encompassed approximately 200 line-kilometers of Transient Electromagnetic (TEM) Sounding profiles (comprised of 1,028 individual sounding sites) distributed along 36 survey lines. TEM technology is a fast, high-resolution exploration tool capable of imaging variations in sub-surface electrical resistivities to depths exceeding 500 m and has been a primary exploration tool in saline aquifer and fresh-water/brine interface projects for more than 3 decades.

Resistivity profiles illustrated in shades from red to magenta to violet are indicative of highly

conductive, lithium-bearing brine.


16

Final Results of 2018 Geophysical Studies The final report from Quantec Geoscience confirmed “better-than-expected” results and indicated that the surveyed claims (approximately 36,589 hectares within 14 semi-contiguous claims) exhibit electrical resistivity values and distribution patterns consistent with highly-conductive unconfined aquifers that are known to be lithium-bearing brine horizons in the Puna Plateau. These compelling survey results have contributed to target discrimination for LEXI’s envisaged exploration drilling, intended to identify mineral chemistry, lithology, porosity, pump rates, and other hydrogeological factors. Resistivity profiles with red to

violet, high conductivity horizons were observed from near surface

to over 400 meters deep in virtually all of LEXI’s claims.


17

Final Results of 2018 Geophysical Studies LEXI notes that TEM surveys cannot confirm the presence or grade of lithium from resistivity values alone. However, highly conductive zones such as those demonstrated in these survey results are consistent with similar lithium-bearing brine aquifers identified in the region. Regional geology confirms lithium values in the Antofalla Salar and published assay results from wells drilled in the Antofalla basin just 3 km south of LEXI’s northern claim cluster indicate that brines in this basin complex are broadly shown to bear lithium mineralization. Historical results on adjacent properties are not necessarily indicative of results that might be obtained on LEXI’s properties. Nonetheless, the Company believes that its “more than expected” results are very positive and highly encouraging.


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Final Results of 2018 Geophysical Studies

HIGHLY CONDUCTIVE UNITS, INDICATIVE OF LITHIUM-BEARING BRINES, REVEALED UNDER MOST ALL OF LEXI’s CLAIMS

While this presentation of the results from 36 scan lines is small, it is included to support the Company’s enthusiasm over geophysical results obtained on almost all of the LEXI properties that were surveyed, which indicate that high conductivity stratigraphic units (red to violet), indicative of lithium-bearing brines, are underlying almost all of the approximately 36,500 hectares that were studied. The results suggest that more than 100 prospective drill sites could be selected for testing.


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Planned Drilling Locations, as Determined from 2018 Geophysical Studies

Up to 15 wells are initially planned for the first drilling campaign in LEXI’s northern cluster of claims, identified at left by the symbols shown as an . All prerequisite instruments, including a 500-page environmental impact study, have been submitted to the provincial authorities. LEXI expects to receive drilling permits by the end of Q4 2018. Diamond-bit core holes are planned to a depth of 400 meters to efficiently identify and evaluate all subsurface strata and aquifer zones. Given the high porosity of this sedimentary salar, rotary circulation may be substituted, if needed. Drilling cores and cuttings will be shipped to certified labs for analysis with a view towards achieving a resource estimate in 2019.

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PARTICLE INTERACTION

Ions, elements, and complex molecules go through generally predictable changes based on interaction with other materials. These changes most often occur due to known physical, thermal, electrical, and chemical properties that cause particles to be attracted, repelled, combined, divided, or catalyzed in the presence of other particles, often influenced by temperature, pressure, orientation, surface area, and other factors. This is where chemistry intersects with geology, biology, metallurgy, and most other sciences. In the world of refining metals, predictable chemical properties have enabled the evolution of techniques to segregate and refine complex resources into purified metals, which are critical for modern societies. To date, however, most of these techniques have relied on processing that involves dangerous materials and hazardous residuals, as in the case of solvent extraction – one of the most widely used methods for metal extraction. Today, life on our Earth comes with an increasingly more urgent need to focus human activities on more environmentally friendly ways to live, work, consume, and protect. This is now giving rise to a paradigm shift at the molecular level, the emergence of “green chemistry”.

MOLECULAR RECOGNITION TECHNOLOGY

• IBC Advanced Technologies (IBC) is a successful, 29-year old chemical engineering and manufacturing company. • IBC is dedicated to green chemistry and has developed a proprietary Molecular Recognition Technology (MRT). • MRT is centered around green chemistry and green engineering, based on Nobel Prize winning science. • The underlying fundamentals of MRT are based on “known science”, not just theory. • IBC is the first company in the world to commercialize this green chemistry for metals separation. • MRT has been proven in commercial installations on 5 continents for numerous, metals separation applications, including PGMs, REEs, and Copper (many clients, including

Asarco, Impala Platinum, Tanaka Kikinzoku).

LEXI’S PATH TO PRODUCTION – MRT BASIS

LEXI HAS ENTERED INTO A CONTRACT WITH IBC GIVING LEXI RIGHTS TO USE MRT IN EXCLUSIVE AREAS OF ARGENTINA.

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MRT GENERAL ADVANTAGES INCLUDE: • Proprietary manufacturing of SuperLig products (ligand molecules attached to beads), which capture target metal ions. • High selectivity for individual target metal (>99% purity) with extremely high recovery rates (>99% recovery). • Process uses simple water-based chemicals and dilute reagents with NO organic solvents or extra separating agents. • Process operates at ambient temperature and atmospheric pressure, small plant footprint, scalable, minimal inventories. • Involves no thermal processing (burning) and is a closed loop system with no emissions. • Simple 4-step process to recover high purity target metal, much more efficient than solvent extraction. • Self-contained, automated, virtually passive extraction, well -confirmed chemical engineering procedures.

MRT LITHIUM PROCESSING ADVANTAGES INCLUDE: • Ion separation from brine, eliminates evaporation ponds, if confirmed would enable CapEx savings of $150mm or more for 25k TP Y LCE plant. • Highly selective for lithium over magnesium (a significant challenge in traditional processing). • Higher Li recovery rates (99% recovery vs. ~50% with traditional processes), SuperLig molecules are re-usable (long life cycles). • Much lower CapEx, lower OpEx – one major unit operation (automated and simple) vs. multiple, complex unit operations . • Rapid throughput (days vs. years), much faster production of finished products. • No moving or re-working of in-process material, almost no in-process Li inventory (more rapid sales, less working capital requirements). • Much simpler equipment vs other extraction methods, no harsh chemicals, extremely low risks for pollution or health & safety. • Much lower labor requirements, smaller plant size, no crystallization or complex chemistry challenges. • Almost immediate re-introduction of Li-free raffinate into aquifer zone, precludes salar subsidence or aquifer depletion.

LEXI’S PATH TO PRODUCTION – MRT ADVANTAGES

LEXI AND IBC HAVE CONCEIVED AN EFFICIENT DESIGN FOR A MODULAR, 1,000 TPY LITHIUM EXTRACTION PLANT. “MODULE 1” CAN BE ENGINEERED, CONSTRUCTED, AND IN OPERATION IN LESS THAN 2 YEARS AFTER VALIDATING BRINE TESTS. MORE THAN MERELY A PILOT PLANT, MODULE 1 WILL BE EASILY REPLICATABLE TO SCALE UP PRODUCTION.

1. Analyze target metal for physical, chemical, thermal, and electrical properties.

2. Proprietary Capture: Design ligand molecule with “cavity+affinity” to “fit+attract” only the target metal.

3. Manufacture the new ligand molecule.

OVERVIEW OF SuperLig DEVELOPMENT AND HOW MRT WORKS

22

CAPTURED LITHIUM ION

SUPERLIG BEAD

4. Proprietary Carrier: Covalently bond the newly manufactured ligands to a suitable, solid substrate (“beads” of silica or polymers).

5. A new SuperLig (the ligand-coated bead) is ready for manufacturing.

6. Construct system controls and plumbing to automatically move raw lithium brine into columnar tanks to extract the lithium ions by loading the new SuperLig beads in a 4-step process–load, wash, elute, wash, and then repeat.

Empty tank filled with

SuperLig beads

As lithium-rich brine is fed through the tank, Li

ions are captured and sequestered

on SuperLig

beads

After full loading, fresh water is used to clean brine residue off of

Li loaded beads

Diluted acid is used to elute

the beads now loaded with

pure Li, stripping out only captive lithium ions

A final wash with fresh

water or dilute base cleans any

residual acid and the load cycle is ready

to begin again

Final steps engineered for

desired products to

meet customer needs, at > 99% purity.

EMPTY LOAD WASH ELUTE WASH

LiOH

Li2CO3

to injection wells to H2O recycling to acid recycling to finished product production

to H2O recycling

1 2 3 4

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HOW DOES MRT COMPARE TO OTHER ACCELERATED PROCESSING Several engineering programs are in progress to develop lithium processing techniques that skip the 18-24 months required for brine concentration in evaporation ponds, intending instead to process brine directly into finished products in a matter of days. To date, no commercial operations exist for any of these new lithium extraction methods (including MRT). Most are based on designs that accelerate conventional extraction with solvents. LEXI’s viewpoint is that “we hope they’re all successful”. The industry needs success stories and the world needs more lithium. However, comparisons are inevitable and we believe MRT has profound advantages. This table is a comparison, based on published data, of MRT and Tenova-Bateman, arguably one of industry’s leading candidates for accelerated processing. The distinctions in unit operations, requirements for equipment, supplies and labor, combined with the operational risk profiles suggest that there are clear, CapEx and OpEx differences that sharply favor MRT.

COMPARISON OF PROCESS COMPONENTS MRT TENOVA-BATEMAN

SEPARATION PROCESS SELECTIVITY VERY HIGH: SuperLig® is highly selective for Li in mixed solutions with contaminants,

allows for simple Green Engineering and Green Chemistry process VERY LOW: requires complex process to compensate for low selectivity. NOT based

on Green Engineering and Green chemistry

MAJOR UNIT OPERATIONS ONE (1): MRT FOURTEEN (14): high pressure membranes, precipitation, pulsed SX, IX, electrolysis,

crystallization, and others

Li RECOVERY PERCENTAGE > 99% 85%

ORGANIC SOLVENTS NO YES

OPERATING PRESSURE REQUIREMENTS NONE: operations at atmospheric pressure and ambient temp VERY HIGH: 60 Bars for membranes, large blowers to produce air required for the

pulsation in pulsed SX columns – high capex and significant maintenance

ELECTRICAL AND WATER USAGE VERY LOW VERY HIGH

CAPACITY UTILIZATION AND EXPANDABILITY HIGH: Modular design, easy expansion to meet increased production needs LOW: Fixed capital , high installed cost, inability to easily expand and/or contract

incrementally

ENVIRONMENTAL AND SAFETY CONCERNS VERY LOW: No organic solvents, simple chemicals, closed system VERY HIGH: Organic solvents, high pressure, fire and worker exposure risks, waste

disposal liabilities

OPERABILITY, PRODUCT PROCESSING TIME AND PROCESS RISK SIMPLE: One major unit operation in four steps, easy to automate, fast throughput,

no side streams, low labor costs, low maintenance

COMPLEX: 14 major unit operations to equilibrate, multiple side streams to manage, slow product throughput and large in-process inventories requiring high

working capital, high labor costs

EQUIPMENT COMPLEXITY AND MAINTENANCE LOW: simple, commonly available equipment, low maintenance HIGH: 14 unit operations requiring highly specialized equipment, and continuous

high maintenance

EQUIPMENT AND CHEMICAL SOURCING RISKS LOW: IBC supplies proprietary SuperLig®, other equipment is generic, obtained

from multiple suppliers HIGH: Multiple sole-source outside vendors of highly specialized equipment and

chemicals

Li END-PRODUCT VALUE HIGH: Ability to easily tailor products to end-user specs and obtain maximum value LOW: Stock product only – no chemical formulation expertise

VALUE-ADDED PRODUCTS (e.g. Cs/Sr) YES NO

1,000 TPY MODULE 1 – FIRST COMMERCIAL STEP

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LEXI’s CONCEPTUAL AND TECHNICAL GOALS FOR MODULE 1 ASSESSMENT (1) :

• VALIDATE TECHNOLOGY - Validate MRT Efficacy For Lithium at Commercial Scale. • CONFIRM LEAD T IME - Confirm IBC’S estimate of Engineering & Construction in Less Than 2 Years. • SUBSTANTIATE CAPEX – Confirm IBC’S approximation that CAPEX for Module 1 should be

appreciably less than conventional lithium processing methods and/or other processing techniques . • VERIFY OPEX & NET REVENUES – Confirm IBC’S claim that production costs should be a fraction of

conventional lithium processing methods, to be verified by producing product and achieving revenues. • ESTABLISH SCALE-UP PARAMETERS – Set Standards For Modular Expansion to 25k TPY or more. • PROVE VALUE OF SERVICE – Demonstrate Operations in Front of Prospective “Toll Clients”.

The companies below (and others) hold claims within LEXI’s exclusive area for MRT. In the future, it may become mutually advantageous to explore “Tolling Agreements” as additional revenue streams via fee-based processing for neighboring producers.

SIMPLIFIED PROCESS FLOW DIAGRAM ANNUAL BASIS

LEXI PROPERTIES Advantage Lithium Albemarle Corporation Argentina Lithium Bolland Minera FMC Corporation Posco Galaxy Resources Lake Resources Litarsa Ultra Lithium

(1) Subject to establishing sufficient resources and/or toll processing agreements.

1,000 TPY MODULE 1 – FIRST COMMERCIAL STEP

25

LEXI MODULE 1 – SuperLig MRT 1,000 TPY LITHIUM PLANT

CONCEPTUAL 3D SCHEMATIC

Brine Input/Output and Re-agents for MRT System

SuperLig MRT System for Lithium Extraction

Pump Bay and Filtration

PLC Cabinet for Automation and Control

Conversion to High Value Final Lithium Product

PLC Cabinet

LEXI CORPORATE - HOW WE STACK UP TSX.V Lithium Focused Companies (as of September 21, 2018)

26

Company Name Share Price

CAD Shares Outstanding

(MM) Market Cap. (CAD$MM) Project(s) LCE (Kt) Area (ha) Testing (mg/L)

Orocobre Limited (ORL) $3.89 211.05 $1,030.00 Salar de Olaroz, Argentina 6,400 63,000 684

Lithium Americas Corp. (LAC) $6.17 88.59 $545.72 Cauchari-Olaroz, Argentina 8,700 70,000 570-679

Humbolt County, Nevada 1,900 15,223 unknown

LSC Lithium Corporation (LSC) $0.40 142.40 $59.96 Salar Salinas Grande, Argentina 239 71,407 227-2090

Salar Rio Grande, Argentina 20 26,865 220-420

Salar Pozuelos, Argentina 860 21,425 180-500

Salar Pastos Grandes, Argentina unknown 2,683 43-317

Guayactayoc, Jama, Arizaro, Others unknown 108,561 unknown

Neo Lithium Corp. (NLC) $1.08 117.50 $126.90 Tres Quebradas, Argentina unknown 28,900 895

Argosy Minerals Ltd. (ASX:AGY) $0.25 923. 50 $230.87 Ricon Salar, Argentina unknown 2,346 300-400

Wealth Minerals Ltd. (WML) $0.69 119.67 $82.58 Atacama Salar, Chile unknown 46,200 1840

Galan Lithium Ltd. (fka Dempsey Minerals) (ASX:GLN) $0.28 95.24 $27.14 Hombre Muerto, Argentina unknown 6,900 501

Greenbushes, Australia unknown 43,000 unknown

Millennial Lithium Corp. (ML) $1.77 82.25 $145.59 Pastos Grandes, Argentina unknown 8,664 330-535

Advantage Lithium Corp. (AAL) $0.69 157.52 $108.69 Cauchari (JV w/Orocobre), Argentina 470 21,375 260-400

Antofalla, Incahuasi, Guayatayoc unknown 44,773 200-326

Clayton Valley / Mexico unknown unknown 110-200

Liberty One Lithium Corp. (LBY) $0.165 66.63 $10.99 Pocitos Salar, Argentina unknown 15,867 unknown

Paradox Valley, Utah unknown 1,813 unknown

Pure Energy Minerals Limited (PE) $0.155 146.60 $22.72 Clayton Valley, Nevada 218 10,700 123-370

Pocitos Salar, Argentina unknown 13,000 unknown

Lake Resources, NL (ASX:LKE) $0.085 328.60 $27.93 Cauchari-Olaroz, Argentina unknown 19,000 unknown

Paso Salar, Argentina unknown 29,000 unknown

Kachi Area, Argentina unknown 49,000 100-322

Argentina Lithium & Energy (LIT) $0.075 76.29 $5.72 Arizaro, Argentina unknown 20,500 unknown

UltraLithium Corp. (ULI) $0.215 70.60 $15.18 Big Smokey Valley, Nevada unknown 12,500 unknown

Thunder Bay, Ontario, Canada unknown 2,416 unknown

Amelia, Salitre, Archibara et al, Arg. unknown 22,176 unknown

La Borita, Argentina unknown 3,000 150-227

Lithium Energi Exploration, Inc. (*) $0.305 66.38 $20.24 Inca-Potreros-Cata Sal, Argentina unknown 17,759 203-825 (**)

Antofalla North, Argentina unknown 41,496 200-400 (***)

Antofalla South, Argentina unknown 69,112 200-400 (***)

Antofagasta Area, Argentina unknown 9,500 200-400 (***)

North & South Antofalla, Argentina unknown 43,000 200-400 (***)

Pipanaco Salar, Argentina unknown 61,000 50-150 (***)

International Lithium Corp. (ILC) $0.09 95.00 $8.55 Argentina / Ontario / Ireland unknown 19,000 unknown

* After 2017 financing (first rounds) and acquisition of initial lithium properties

** Inca-Potreros-Cata Sal area samples from surface collection & pits hand-dug to 3m (University of Cordoba).

*** Based on historical surface/pit samples and drilling conducted by third parties and Antofalla analysis from prior NI 43-101 (James Ebisch, Prof.Geo., 2009). More testing required.

LEXI CORPORATE – STRUCTURE & MANAGEMENT

27

LEXI holds 34 individual mineral claims totaling over 90,241 hectares, which are held under its Argentine subsidiary, plus a right of first refusal

(ROFR) on more than 148,000 additional hectares. Its project areas are located 375 km NW of San Fernando del Valle de Catamarca, in Catamarca

Province in the High Cordilleran Andes.

0

LITHIUM ENERGI ARGENTINA, SA

Steven C. Howard – Chairman / CEO Mr. Howard has owned a Dallas-based consulting firm for 40 years. He has held senior management positions with, public and private companies, in natural resource and environmental sectors securing mezzanine funding of up to $50mm per project. He has a successful E&P firm and was formerly CEO of a NASDAQ-listed resource company, directing public company administration and bid submissions for projects exceeding $1B in contract revenues. He received the EPA Administrator’s Award for environmental achievement in 1991, has managed aggregate investments over $100mm for resource and tech start-ups, and is an alum of UT Austin, double major English and Communications, bi-lingual (Spanish). He lives in Dallas, Texas.

Christopher J. Hobbs – Director / CFO Mr. Hobbs serves as CFO and/or Secretary for numerous private and public firms. He has extensive experience in equity financing for mining and oil and gas companies listed on the TSX and conducting M&A services for clients in the mining, oil and gas, and technology sectors. Mr. Hobbs is a member of the Chartered Accountants of Ontario and holds a Bachelor of Business Administration Degree from the Schulich School of Business at York University. He lives in Toronto, Canada.

Philip Armstrong - Director Mr. Armstrong has over 45 years in the financial service industry, starting with Lloyds Bank in the UK. In 1975, he was a senior ‎executive for two Canadian Trust companies. In 1987, he became CEO of Altamira Investment Services Inc., an investment company with $15 billion of assets under management, which sold to National Bank in 2000. In 2003, co-founded Jovian Capital Corporation, a public asset and wealth management company , which grew to $13 billion in assets and sold to IA Insurance in 2013. He now serves on the boards of Torrent Capital, Maret Resources, and Smart Employee Benefits, all public companies and chairs the Richardson GMP Family Office Oversight Committee. Philip has served as Chairman of the Investment Funds Institute of Canada and The Mutual Fund Dealer's Association, an SRO. In addition, he served on the board of the Ireland Fund of Canada and the Canadian Opera Company. Philip holds a BA (Law) Hons. from the School of Law at Manchester Polytechnic, UK.. He resides in Toronto, Canada.

Jeffrey A. Cocks – Director Mr. Cocks is CEO of West Isle Ventures, Ltd., a Canadian company that provides consulting, administrative and operational services to various start-ups, and natural resource companies. He has an extensive financial, operational and administrative background, having over 25 years of experience with various sector start-ups and natural resource companies. Mr. Cocks has managed numerous multi-million dollar exploration programs throughout the world for resource companies. He has served as a director/officer for several public companies both in the United States and Canada. Mr. Cocks has a degree from Simon Fraser University in its securities program. He resides in Vancouver, Canada.

Omar E. Ortega, MBA – V.P. Latin America Mr. Ortega is a native Argentine with a broad career in international investment banking & project finance, supervising investments of $125mm in equity funding. He served 8 yrs as Director General for Mexico of Inter-American Holdings, LLC, merchant bank partner with Bank of Montreal and is a former Director of Corp. Development for Viad Corporation (fka The Dial Corporation), supervised M&A in Southern Europe. He previously was a Senior Risk Analysis Officer for Bank of America, where he analyzed the most complex credits offered by the bank, directed analytical training, and enhanced interest risk measurement systems. He is an alum of Washington State University (WSU) Graduate School of Business in 1988, Master of Business Administration, emphasis in Finance and B.A. in Business Administration, emphasis in Finance at WSU School of Business in 1985. Fluent in English and Spanish. He resides in Dallas, Texas.

Miles Rideout, B.Sc. – Director of Exploration Mr. Rideout has 30 years of advanced exploration practice, responsible business management, scientific team building, safe work practices, and integration with local communities and indigenous peoples, including shareholder and investor relations. He served 5 years as CEO of Latin American Minerals, Inc. (LAT.V), advancing gold and diamond projects in Paraguay, 23 years with Quantec Geoscience, Inc., where he initiated operations, founded and managed numerous South American subsidiaries., and has wide experience in mine permitting, financing, construction, and operation (implemented first operating mine in Paraguay). Mr. Rideout has expertise with all major geophysical technologies applied within the mining industry and decades of work experience with many of the most successful exploration teams in South America, where he participated in the discovery of several world-class deposits including the Collahuasi and Ujina copper-porphyry deposits, Veladero epithermal gold deposit, and Navidad VMS/epithermal silver deposit.. He holds a B.Sc. In Geophysics with Honors from University of Western Ontario, 1987. Fluent in English and Spanish, he resides in Mendoza, Argentina.

Dr. Gerardo Romero A. – Argentina Senior Counsel Dr. Romero is a noted legal and business advisor and a registered notario público (public notary), in Catamarca Province with premiere clients such as Coca Cola Argentina, OSDE, Industrial Union of Argentina, and Catamarca Chamber of Construction. He is a faculty member in the Department of Real Property Rights at the National University of Catamarca, a former Government Secretary for Recreo Municipality, a former Legal Advisor for the Catamarca Chamber of Deputies (state level), and Counselor Honorarium for various NGOs in Argentina and for the Catamarca College of Dietitians. Dr. Romero has specialized expertise in the Catamarca mining sector. He lives in Catamarca, Argentina.

María Paula Arrascaeta – Engineering Advisor & Site Coordinator Ms. Arrascaeta brings expertise in mine engineering, environmental matters, indigenous relations, and mine site optimization. She is a skilled Mining Technician with excellent relationships in Catamarca. She served as Operations Planner & Engineering Draftsman for Minera Alumbrera Ltd at Argentina’s largest mine, as Deputy Supervisory of Mining Operations at Gualcamayo, and as the Optimization Team Director implementing new methods for feedstock crushing, flow calculations, and sizing at the Loma Negra Cement Plant. She is an Honors Scholarship recipient from the Engineering Faculty at Oruro Technical University in Bolivia with specialized studies in Metallurgical Engineering and Materials Science while researching lithium extraction in Salar de Uyuni. Ms. Arrascaeta holds a BS as a Mining Technician (Polimodal College, 2005) and is currently a Candidate for Mining Engineer Certification in Technology and Applied Sciences at the National University of Catamarca.

28

Steven R. Izatt – Advisory Board

• President/CEO of IBC Advanced Technologies, Inc. Since its inception in 1988, IBC has been the leader in developing and commercializing novel, selective metal separations products and processes, based on its proprietary Molecular Recognition Technology (“MRT”) using green chemistry and green engineering principles.

• Served on Board of Directors of International Precious Metals Institute (“IPMI”) from 1993 to 2017. • Received the IPMI Jun-ichiro Tanaka Distinguished Achievement Award (2008) in recognition of his entrepreneurial contributions to

the precious metals industry. • Co-recipient US DOE Secretary’s Honor Award (2013) and Utah Valley Entrepreneurial Forum’s Most Innovative Product Award

(1995). Under Mr. Izatt’s leadership, IBC was recognized as co-recipient of Council for Chemical Research’s Collaboration Research Award (2011), recipient of Utah Innovation Awards Honorable Mention for Innovation (2008), and co-recipient of R&D Magazine’s Top 40 Award (1999) & R&D 100 Award (1996).

• A Registered Member of The Society for Mining, Metallurgy, and Exploration and a member of IPMI and the American Chemical Society, Mr. Izatt has authored or co-authored over 100 publications and presentations.

• Prior to IBC, he was a management consultant at PA Consulting Services, Inc. and Touche Ross & Co. (now Deloitte Consulting), also served as a charter member of the Advisory Board of the Pennsylvania State University Technology and Business Development Center in Great Valley, PA. and worked as an engineer (technology transfer and ventures) at Bethlehem Steel Corporation.

• Mr. Izatt holds an M.S. in Chemical Engineering Practice (1984), an M.S. in Technology & Policy (1984), both from the Massachusetts Institute of Technology, and a B.A. in Chemistry (High Honors, University Scholar, 1981) from Brigham Young University.

Jack Lifton – Advisory Board

• Founding Principal of Technology Metals Research, LLC, consultant, author, and lecturer on market fundamentals of the ‘technology metals’, a term he coined to describe strategic rare metals whose electronic properties make our technological society possible, including rare earths, lithium and most of the rare metals.

• Physical chemist, specializing in high-temperature metallurgy, a researcher who became a manufacturing and marketing executive, then a metal trader specializing in the field of technology metals and of rare metals.

• With 50+ years in the industry, he advises OEMs and global institutional investment firms on natural resource issues that impact proposed business models or high-volume manufacturing plans for the mass market.

• He presently does due diligence consulting for institutional investors probing opportunities in which availability of rare and technology metals is a deterministic factor for probabilities of commercial success in metals ventures.

• Senior Fellow at Institute for Analysis of Global Security, member of numerous professional societies, and frequent speaker at professional and industry events on the markets for technology metals and materials and on the use of new and newly applied technologies to the extraction, refining, and fabrication of rare metals and materials.

• Mr. Lifton was educated as a physical chemist specializing in high-temperature metallurgy. He studied for his Masters Degree in Chemistry at Wayne State University in Detroit, Michigan.

Steven J. Winston – Advisory Board

• Winston Associates. Consulting Engineer for diverse energy and environmental technologies. Currently, a Sr. Technical Advisor to US DOE, Lockheed Martin, Argonne National Labs, Kellogg Brown and Root, General Atomics, Raytheon, Idaho National Laboratory, and a dozen prestigious research universities, including Rice University and University of Alberta., and has over 40 years experience in senior management positions with majors, incl. Lockheed Martin, Parsons Engineering, Westinghouse, Allied Chemical Corporation.

• Chemical engineer, nuclear engineer, neurobiologist with diverse experience in environmental remediation, nuclear fuel reprocessing, Probabilistic Risk Assessments of power stations, managing major first-of-a-kind research and engineering projects and large-scale design and construction projects, including start-up of entire power plants and new chemical processing regimes.

• Leading proponent of exploring intersection of nanotechnology and nuclear sciences and leading advocate for developing the next new generation of nanoscale methods to extend materials sciences to the molecular level, involving novel combinations of additive, subtractive, and functional techniques tailored to angstrom scale for a broad range of applications, including molecular metals separation, highly-focused short pulse lasers, particle acceleration, and light-weight radiation shielding.

• Mr. Winston holds advanced degrees in Neurobiology and Neurosciences (University of Pittsburgh, 1989) and Nuclear Engineering (University of Idaho, 1976). He earned his BS in Chemical Engineering at the University of Nebraska (1973). He is a highly sought after advisor to governments and major corporations, an accomplished musician and artist, and lifelong proponent of applying “leading edge” systems engineering to solve complex challenges in chemical and nuclear disciplines.

Dr. Isodoro B. Schalamuk – Advisory Board

• Currently a Emeritus Professor at National University of La Plata (“INREMI” ) advising on mineral deposits and mining/environmental geology. He is also a Senior Scientific Researcher for National Council of Science and Technology (CONICET), Director of Mineral Resources at INREMI, Vice President of Argentine Asso. of Economic Geologists, & Honorary Member of Argentine Geological Society.

• The “Godfather of Antofalla“, Dr. Schalamuk initiated research there in 1982. Between 2008 and 2011, he supervised drilling programs in the Antofalla Salar for Bolland Minera and likely knows more about geology in the Antofalla basin complex than anyone.

• Over 50 years of expertise on industrial minerals in South America and Europe. Published 4 books, 250 papers in scientific journals, and over 150 technical reports on gold-silver, polymetallic and lithium. U.N. Consulting Expert (PNUD) in Paraguay, Guatemala, Dominican Republic, Uruguay, and Peru. First to study Andean Puna salars (Catamarca, Salta Jujuy) for lithium, potassium and boron in 1983. First exploration prospecting in the salars of Antofalla, Incahuasi and San Francisco (Catamarca), Olaroz and Cauchari (Jujuy) and Rincón (Salta). His work at Antofalla defined this salar as a world class reservoir for lithium and potassium brines.

• Previously served as Dean of Natural Sciences and Museum Faculty at INREMI (1986-1992), President of Argentine Association of Economist Geologists (1992-95), Vice President for Latin America and the Caribbean - Society of Economic Geologist (2006-2008), and has been a guest professor at the Universities of Bologna, Rome, Barcelona, Madrid, Oviedo, Salamanca, Central Ecuador, UNAM in Mexico, Belo Horizonte, Sao Paulo , and Asunción. He has received numerous awards and honors, including Economic Geology award - National Academy of Exact Physical and Natural Sciences of Argentina (1997), Bernardo Houssay Award by the Argentinean Presidency in Earth, Water, and Atmospheric Sciences (2003), National Scientific Honors from the Argentine Chamber of Deputies (2004), and the Chamber of Senators Prize in Buenos Aires for the Professional Achievements in Geology (2014).

• Dr. Schalamuk holds BSc in Geology, from INREMI (Argentina) and a PhD in Geological Sciences from Salamanca University (Spain).

LEXI CORPORATE – ADVISORY BOARD

CAPITAL STRUCTURE

29

CAPITALIZATION SUMMARY

Common Share Price (21 Sep 2018) CAD $0.305

Basic Common Shares Outstanding 66.38M

Fully Diluted 71.03M

Basic Market Capitalization CAD $20.24M

MA JOR SHAREHOLDER SUMMARY (approximate) .

Shares (M) % Closely Held (High Net Worth Groups) 19.2M 28.9% Insiders & Management 18.0M 27.1% Technology Group 5.0M 7.5% Total 42.2M 63.5%

Management & Board are aligned with Investors

TIGHT CAP STRUCTURE = POISED FOR GROWTH

“We expect sales of electric and hybrid vehicles to push lithium demand growth 16 percent annually over the next decade, faster than almost any major commodity over the past century,

from about 175,000 metric tons in 2015 to about 775,000 by 2025.”

David Wang, Morningstar Analyst, March 24, 2017

THE ROAD AHEAD - MILESTONES

30

• Acquisition of property groups – total 90,241 ha. after SEM adjustments (completed) • First 2 funding rounds - $2.525mm CDN total (completed) • First Right of Refusal grant, add’l properties – total 145,000+ ha. (completed) • Perfecting Title (“sentencias” 99% completed, all title to be completed next 18 months) • NI 43-101 Technical for all projects areas (completed) • Expand mgmt and development teams (incl. plant design) (continuing) • Engage indigenous PR and employment agreements (continuing) • Plan and complete 3rd round” funding - $4mm CDN (completed) • Geophysical mapping – Northern Claim Cluster, identify drilling locations (completed) • Complete Labor Legal (each claim) and Impacto Ambiental for drill permits (completed)

• Drill first test wells (up to 15), Northern Antofalla properties (Q4 2018 to Q2 2019) • Geophysical mapping – Southern Claim Cluster, identify drill sites (Q4 2018 to Q2 2019) • NI 43-101 Resource Report and PEA – Northern Antofalla Claims (Q2 2019 to Q3 2019) • Complete engineering for MRT Module 1 (underway, planned completion by Q3 2019) • Preliminary Feasibility Study (Q3 2019 to Q4 2019) • Construct and Commission MRT Module 1 & needed infrastructure (Q3 2019 to Q3 2020) • Feasibility Study (Q3 2019) • Drill up to 50 additional production wells (2020) • Determine last steps to start operations (2020-2021) • Expand plant to 25k TPY, hire operations team, implement operations (2021-2022)

Variations in “The Road Ahead” will occur, as new data and/or opportunities arise.

Samples from LEXI’s Laguna de Los Colorados property in the Antofalla

Salar tested at over 200 mg/L of lithium at surface.

Published reports on comparative geology and brine sampling suggest Li

values are likely to increase with depth.

Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4

1 st Round Fundi ng

4 3 - 1 0 1 Techni cal

Defi ni t i ve A greement

2 nd Round Fundi ng

S ecur i ng Cl ai ms & Per fecti ng T i t l e

3 rd Round Fundi ng

Geophysi cal S tudi es - Northern Cl ai ms

4 th Round Fundi ng

Dr i l l Testi ng - Northern Cl ai ms

Geophysi cal S tudi es - S outhern Cl ai ms

4 3 - 1 0 1 Resource Report and PEA

M RT M odul e 1 Engi neer i ng

Prel i mi nary Feasi bi l i ty S tudy

5 th Round Fundi ng

M RT M odul e 1 Constructi on

Commence M odul e 1 Operati ons

6 th Round Fundi ng

Feasi bi l i ty S tudy

Dr i l l up to 5 0 A dd' l Test W el l s

Ex pand P l ant Capaci ty to 2 5 k TPY

2 0 2 12 0 1 6 2 0 1 7 2 0 1 8 2 0 1 9 2 0 2 0

WHY LEXI ?

31

TOP FLIGHT MANAGEMENT

TIGHT CAPITAL STRUCTURE

GREAT PROPERTY PACKAGE

ADJACENT TO TOP PRODUCERS

QUALITY LOCAL RELATIONSHIPS

ADVANCED PROCESSING TECHNOLOGY

HIGH SPEED, LOW COST PATH TO PRODUCTION

Contact Chris Hobbs, CFO T: 647.794.7769 C: 416.276.6689

• More than most other innovations, the last 20 years has witnessed a formerly obscure light metal, lithium, emerge to literally change the world. • Present trends suggest those changes will accelerate rapidly over the next 10-20 years. • Global lithium demand (now 230,000 tons per year) could increase 3 to 5 times by 2025 to 2030. • In 2007, electric vehicles (EVs) were counted in the hundreds. By 2015, over a million EVs were on the road. • In 2016, over 750,000 EVs sold in one year and growth had started to increase exponentially. • In 2016, batteries surpassed all other lithium uses for the first time • in 2017…

• The London Metal Exchange began to form 1st commodity index for lithium to support a trading platform. • Governments announce bans on ICE. (UK, France, Norway, India, Netherlands, Germany, California, China). • Automakers ramp up to keep pace. Peugeot (80% EV by 2023), Volvo (100% EV by 2020), VW to spend $84b to bring

300 EV models to market. In Oct. 2017, the world’s largest automaker, GM announced it’s going all electric. • Analysts say we’re at the “iPhone Moment” for EV, a paradigm shift that changes the world forever.

• Between 2018 and 2020, EVs will likely reach construction and operating cost parity with internal combustion engines (ICEs). • By 2025, analysts predict that both EV and ESS demand will require more than 1,000,000 TPY of lithium production. • By 2030, 8 out of 10 cars sold are projected to be EV, global sales then expected to be over 25mm units/year. • As EV and ESS production increases, prices (and battery costs) will continue to tumble – further driving demand. • Even with the cost of Li-ion batteries and EVs coming down, lithium prices have tripled in the past 3 years. • Today, 4 firms (total market cap $52B), produce 90% of world’s lithium. Springing to action in the last 3 years, over 200 junior mining

companies are now chasing new supplies. Some analysts predict output still might not be enough. • And it’s not just EVs. There is growing demand in commercial and residential storage (“ESS”) and the first electric aircraft, announced in October

to be ready by 2020-23, claims a cost/mile of <10% of current aviation fuel costs.

ANNEX: THE LITHIUM STORY: CHANGING OUR WORLD FOREVER

32

“ WE’RE AT A TIPPING POINT, AN IRREVERSIBLE SHIFT… NEW SUPPLIES MUST BE DEVELOPED RAPIDLY TO MEET THIS EXPONENTIAL GROWTH. THE WORLD IS CHANGING. ” - Steven Howard, LEXI CEO


33

BOLIVIA

ARGENTINA

CHILE

LEXI HAS SECURED ONE OF THE LARGEST LITHIUM PROPERTY PACKAGE OF ANY COMPANY IN ARGENTINA WITH OVER 240,000 HA. OF BRINE PROPERTIES IN CATAMARCA PROVINCE RIGHT IN

THE HEART OF ONE OF THE WORLD’S MOST PROLIFIC, LITHIUM PRODUCTION AREAS.

SALAR DE ATACAMA • SQM, ALBEMARLE • PRODUCING, HIGH GRADE • MODERATE CHEMISTRY

SALAR DE ANTOFALLA • ALBEMARLE, OTHERS • EXPLORATION, MODERATE GRADE • MODERATE TO GOOD CHEMISTRY

SALAR UYUNI • BOLIVIAN GOVERNMENT • EXPLORATION, MODERATE GRADE • POOR CHEMISTRY

SALAR DE OLAROZ • OROCOBRE, MILLENNIAL LITHIUM, OTHERS • DEVELOPMENT, HIGH GRADE • GOOD CHEMISTRY

SALINAS GRANDES • OROCOBRE, OTHERS • EXPLORATION, HIGH GRADE • MODERATE CHEMISTRY

SALAR DE RINCON • ENIRGI, SORBENT GROUP • DEVELOPMENT, MODERATE GRADE • MODERATE CHEMISTRY

SALAR DE HOMBRE MUERTO • FMC, GALAXY, POSCO, OTHERS • PRODUCING, MODERATE GRADE • GOOD CHEMISTRY

SOUTH AMERICA


34

BOLIVIA

CHILE

ARGENTINA

NORTHERN SALAR DE ANTOFALLA and SOUTHERN ANTOFALLA BASIN COMPLEX

• LEXI’S LITHIUM PROPERTY PACKAGE • APPROX. 240,000 HECTARES

SALAR DE ATACAMA • SQM, ALBEMARLE • PRODUCING, HIGH GRADE • MODERATE CHEMISTRY

SALAR DE ANTOFALLA • ALBEMARLE, OTHERS • EXPLORATION, MODERATE GRADE • MODERATE TO GOOD CHEMISTRY

SALAR UYUNI • BOLIVIAN GOVERNMENT • EXPLORATION, MODERATE GRADE • POOR CHEMISTRY SALAR DE OLAROZ

• OROCOBRE, MILLENNIAL LITHIUM, OTHERS • DEVELOPMENT, HIGH GRADE • GOOD CHEMISTRY

SALINAS GRANDES • OROCOBRE, OTHERS • EXPLORATION, HIGH GRADE • MODERATE CHEMISTRY

SALAR DE RINCON • ENIRGI, SORBENT GROUP • DEVELOPMENT, MODERATE GRADE • MODERATE CHEMISTRY

SALAR DE HOMBRE MUERTO • FMC, GALAXY, POSCO, OTHERS • PRODUCING, MODERATE GRADE • GOOD CHEMISTRY

SOUTH AMERICA

WHERE A BOOM BEGINS… AT THE SOURCE

35

Over 80% of current lithium supply is in Chile, Argentina and Australia. Mining is either done by brine extraction (61%) or hard rock refining (39%). Few locations are viable to extract economically. The Lithium Triangle in South America is the world’s largest brine extraction area with half the known lithium deposits and 80% of all brine extraction areas.

Map Source: Clean Energy Manufacturing Analysis Center, April 16, 2016

36

FMC (gray) is the largest lithium producer in Argentina, operating the western half of Salar de Hombre Muerto (SHM), one of the world’s largest brine production areas. Galaxy and Lithium One (dark green) are now exploring eastern areas in this salar.

Tan-shaded area shows the concession block in the Antofalla Salar acquired by Albemarle (world’s largest Li producer) from Bolland Minera, SA in Q3 of 2016. In Q2 of 2017.

Red outline designates the perimeter of LEXI’s area of exclusivity for use of MRT, a proprietary technology for accelerated Li processing (further discussed in the following pages).

Light green shaded areas are LEXI’s claims (both held and ROFR). >90% of its 240k+ ha. have status as ‘new mines’, resulting in a 3-yr exemption from mining fee payments.

LEXI holds the 2nd largest package of prospective lithium brine properties in Argentina, acquired using the concept of CLOSE-OLOGY, applying lessons from the proliferation of unconventional shale development in the US, which suggests that, in any new commodity race, there is wisdom in: 1. acquiring close to where there is known geology 2. acquiring as much property as reasonably possible 3. acquiring at the lowest cost possible 4. acquiring close to known production by majors as possible.

LEXI ANTOFALLA CLAIMS



LEXI PIPANACO CLAIMS

LOCATION – LEXI CONCESSIONS

2018 LITHIUM HEADLINES – CHANGING THE WORLD FOREVER

37












Goldman Sachs says “investor concerns about oversupply are unfounded, it will be harder to develop new lithium mines that most people think, and demand for lithium could rise fourfold

by 2025 due to rising sales of electric cars. "





Lithium Producer Ganfeng Stock Climbs After

Filing $1-billion Hong Kong IPO

China's Tianqi

Lithium files

for $1 billion

Hong Kong

listing





NEMASKA IS FIRST

NEW PRODUCER TO

HAVE PRODUCTION

PLANT FULLY FUNDED,

RAISES OVER $1.1B

POSCO PAYS $280MM

FOR NORTHERN HALF


CLAIMS AT HOMBRE

MUERTO SALAR

NextView acquires

Lithium X Energy Corp.

for $265mm




VW Hopes to Sell 10 Million Electric Cars Based on Its New Platform


booms, more growth to come

38

IMPRESSIVE PROPERTY PACKAGE • Size – over 240,000 hectares. • Initial testing (surface, pits, prior exploration) confirmed

viable Li content in multiple areas. • Multiple aquifers – distinct areas, geographically related.

DESIRABLE LOCATION • Mining-friendly province, ready for growth. • Adjacent to proven production – properties abut the

world leaders in lithium. • All-weather roads to sites, easy access to paved roads. • Sufficient space for processing facilities and infrastructure

development. • Access to work force with knowledge of operations.

IDEAL CHEMISTRY and THE RIGHT WATERS • Indications of boron, potassium (potash), and other

commercial minerals. • Moderate to High grade, low Mg content (easier to refine). • Hydrogeology suggests the basin under LEXI’s properties is

replenished by aquifers. • Access to fresh water, low environmental impacts.

LEXI PROPERTIES PRIME ASSETS BETWEEN THE MAJORS


2018 LITHIUM HEADLINES – CHANGING THE WORLD FOREVER

39












Goldman Sachs says “investor concerns about oversupply are unfounded, it will be harder to develop new lithium mines that most people think, and demand for lithium could rise fourfold

by 2025 due to rising sales of electric cars. "





Lithium Producer Ganfeng Stock Climbs After

Filing $1-billion Hong Kong IPO

China's Tianqi

Lithium files

for $1 billion

Hong Kong

listing





NEMASKA IS FIRST

NEW PRODUCER TO

HAVE PRODUCTION

PLANT FULLY FUNDED,

RAISES OVER $1.1B

POSCO PAYS $280MM

FOR NORTHERN HALF


CLAIMS AT HOMBRE

MUERTO SALAR

NextView acquires

Lithium X Energy Corp.

for $265mm






booms, more growth to come

2018 LITHIUM HEADLINES – CHANGING THE WORLD FOREVER …a very busy year as the boom continues

40








Goldman Sachs says “investor concerns about oversupply are unfounded, it will be harder to develop new lithium mines that

most people think, and demand for lithium could rise fourfold by 2025 due to rising sales of electric cars. "

Lithium Producer

Ganfeng Stock

Climbs After Filing

$1-billion Hong

Kong IPO

China's Tianqi

Lithium files for

$1 billion Hong

Kong listing










booms, more growth to

come

ANNEX: THE LITHIUM STORY: CHANGING OUR WORLD FOREVER

41

• More than most other innovations, the last 20 years has witnessed a formerly obscure light metal, lithium, emerge to literally change the world.

• Present trends suggest those changes will accelerate rapidly over the next 10-20 years.

• Global lithium demand (now 200,000 tons per year) could increase 3 to 5 times by 2025 to 2030.

• In 2007, electric vehicles (EVs) were counted in the hundreds. By 2015, over a million EVs were on the road.

• In 2016, over 750,000 EVs sold in one year and growth had started to increase exponentially.

• In 2016, batteries surpassed all other lithium uses for the first time (see chart).

Documents

New Corporate Presentation October 2018 · 2018. 10. 3. · Corporate Presentation . ... the information presented on this presentation and the information incorporated by reference