Significant Resource Expansion At The Basin Project

BRITISH VIRGIN ISLANDS - Bradda Head Lithium Ltd. reported on the Mineral Resource Estimate (MRE) at its Basin East ("BE") Project in Arizona, resulting in a 22% increase in contained lithium carbonate equivalent ("LCE") tonnes based on only 1,200m of drilling. Furthermore, the Indicated category of the MRE, which is all located in the upper part of the deposit, has increased by 17%.

Based on only 1,200m of majority infill and some expansion drilling (8 out of the 14 were infill, 6 were expansion) at its Basin East (BE) claim in Arizona, completed in 2022. Bradda Head has added 65 kt of LCE to the Mineral Resource, for an updated total LCE content of 371 kt. This exploration drilling has also expanded the Upper Clay zone within the resource by 11% to 55 Mt at an average grade of 840 ppm Li, and revealed that mineralization is also open to the north at BE as well as to the west and northwest as previously identified. This has significant benefit in identifying the next round of drilling targets for further resource expansion potential.

The 2022 drilling program has given the Company greater confidence in the estimate at BE, and notes that Indicated content of the MRE has increased by c.17%. It's important to note that some 67% of the updated total LCE (367 kt LCE) is in the Upper Clay which has an average grade of c.840 ppm Li, this includes an internal High-Grade layer which has an average grade of 1,380 ppm Li, some 5% higher than previously estimated. The High-Grade and Upper Clay zones thicken to the northwest extent of the drilled area towards Bradda's Basin East Extension (BEE) claim and could potentially form part of a phased mining operation. This could be mined early in the mine plan as the High-Grade zone sits in the upper part of the deposit.

The previous drilled area only covered 1.1km2 of Bradda's 41km2 of sedimentary claims. The 2022 infill and expansion drill program has increased this drilled area to 1.4km2 of BHL's claims in this district. Importantly for future resource growth, the Mineral Resource remains open to the west, northwest north of the drilled area where BHL has the adjacent BEE claim block and beyond into BHL's Basin North (BN), Basin West (BW) and Basin West Extension (BWE) claim blocks where geological mapping and geophysical surveys predict similar clay strata are present.

An extensive 30-hole drilling program is planned for 2023 at BEE and BN with permits received, and drilling is planned to start in Q1 2023. Bradda is also permitting a 80-hole program at BWE and BW where it expects significant resource growth stemming from geological work done to date by our geologists. BW and BWE cover an 11km2 area, which is considerably larger than the BE (1.5km2), BEE (2.3km2) and BN (2.3km2).

Charles FitzRoy, CEO of Bradda Head, said, ”The increase in LCE at Basin East highlights the resource growth potential at the Basin Project. The total drilled area at Basin East covers only 1.4km2 of our 41km2, which previously only covered just under 1.1km2. That's an increase of 65 kt of LCE over a drilled area increase of 0.3km2. Evidence from drilling and geophysics suggests that the higher-grade Upper Clay layer could be relatively continuous, and we look forward to evaluating its potential further and following it into our other claims, Basin East Extension and Basin North, where we will be drilling this year.

2023 is going to be an exciting year of resource growth for Bradda Head. With more drilling already planned at Basin East Extension and Basin North, BHL is excellently placed to take full advantage of the near-term resource growth potential at our sedimentary lithium assets in Arizona. BHL is also permitting at Basin West and West Extension with plans to drill in Q4. The area we are permitting is over 11km2, which is considerably larger than BE, BEE, and BN combined (c.6km2).

We have a compelling year ahead with what we believe are a number of material catalysts and look forward to providing further updates in 2023. BHL is permitting at claims adjacent to Basin North and Basin East Extension (Basin West and Basin West Extension), and we expect to be drilling at these assets in late 2023."

The updated Mineral Resource Estimate (MRE) at BE, 21.2 Mt at an average grade of 891 ppm Li and 3.5% K for a total of 100 kt LCE and an Inferred Mineral Resource of 73.3 Mt at an average grade of 694 ppm Li and 3.2% K (potassium) for a total of 271 kt LCE.