Lithium Energy Limited provided an exploration update in relation to its highly prospective Corella Graphite Prospect (on the EPM 25696 tenement) located in Queensland, Australia (Corella), which is part of the Company's 100%-owned Burke Graphite Project (Burke Project). The Company has commenced a maiden drilling programme at Corella, to test the extent of graphite mineralisation (identified through previous surface sampling and Electro Magnetic (EM) surveys) with the objective of delineating a significant maiden JORC Inferred Mineral Resource. The Corella drilling programme will comprise a combination of 20 reverse circulation (RC) holes (totalling 2,000 metres to a maximum depth of 90 metres) and 2 diamond core holes (totalling 200 metres to maximum depths of 100 metres).

The delineation of a maiden JORC inferred Resource at Corella is considered to be important in the overall development strategy of the Company's Burke Graphite Project. The Corella Tenement is located only 150km from the Burke Tenement (EPM 25443), where a large JORC Inferred Mineral Resource of 6.3 million tonnes @ 16.0% Total Graphitic Carbon (TGC) (Burke Deposit) has already been defined3. The Company has recently completed an infill drilling campaign 4 at the Burke Tenement and is awaiting finalisation of an upgrade of the Burke Deposit from its current Inferred status to an Indicated level to provide a higher confidence level for its graphite inventory.

In parallel to this resource upgrade, the Company has commenced a programme of metallurgical test work on graphite recovered from the Burke Deposit, the results from which will be used to support an Engineering Study for a proposed anode manufacturing facility based in Queensland to produce high valuPurified Spherical Graphite (PSG) material for use in lithium-ion batteries. Should a significant maiden JORC Mineral Resource of graphite be defined at Corella, it offers the potential to add to the overall graphite inventory of the Burke Project and thus provide the Company with expanded development options that could include graphite sourced from Corella. Corella Tenement The Corella Tenement (EPM 25696) is located 40km west of Cloncurry and 150km south of the Burke Tenement (EPM 25443).

All Heritage and Cultural approvals and access permits have been received and DDH1 Drilling, who also completed the recent infill drilling programme at the Burke Tenement, has commenced drilling. The RC and diamond core drilling will provide assays and samples for supporting resource development and metallurgical testwork. A ground EM survey and surface sampling programme (that indicated multiple occurrences of high grade graphite of up to 14.8% TGC) in the north-east corner of the Corella Tenement previously identified the potential for significant graphite mineralisation with the survey highlighting an area of approximately 1,000m x 500m within which conductive features similar to those corresponding to high-grade graphite occurring at the Burke Tenement were identified This area will be the focus of the current maiden drilling programme.