Li-Metal Corp. provided an operational update for its roll-to-roll anode pilot plant in Rochester, New York (the Facility). Since its commissioning earlier this year, the Facility has been steadily ramping up production of its high-performance, low-cost lithium metal anode sample materials using Li-Metal's roll-to-roll physical vapor deposition (PVD) process.

In the year-to-date, the Facility has produced more than 3,000 metres of sample lithium metal anode material for both internal and customer use. This throughput reflects more than three times the Company's total volume of sample material delivered in 2021. In addition, the Facility has proven its ability to produce lithium metal anode products with lithium thickness between three and 25 micrometres as the Company continues to customize its offerings to meet the unique needs of perspective customers.

New Product Line Development: Li-Metal has completed proof-of-concept testing of silicon anode pre-lithiation using its PVD equipment. When successfully expanded to commercial scale pre-lithiation of silicon anodes, Li-Metal will be able to serve a broader customer base with multiple next-generation battery anode technologies, significantly expanding the addressable market for the Company's offerings. PVD Process Improvement: The Li-Metal team continues to make significant anode production improvements both in product quality and process productivity.

Recent Company actions have allowed process throughput to reach 140% of equipment nameplate capacity and 70% of commercial-scale, production intensity targets. The team is currently implementing a quality management system to improve daily throughput and product consistency as production rates increase.