Significant High Grade Lithium Intersected At The San Domingo Pegmatite District

BRITISH VIRGIN ISLANDS - Bradda Head Lithium Ltd. reported on significant high grade lithium bearing minerals intercepted at multiple locations from the initial set of results from its first diamond core drilling program at the Company's 23km2 San Domingo pegmatite district in Arizona. BHL has intersected 31.85 meters at 1.60% Li2O in drill hole SD22-024 which includes 3.21 meters at 3.74% Li2O[1]. This is the first extensive drilling campaign undertaken at San Domingo since the 1950's and is the maiden program under BHL.

Highlights include: 31.85m @ 1.60% Li2O (including 3.90m @ 2.88% Li2O, and 20.03m @ 1.97% Li2O (including 7.06m @ 1.92% Li2O, 3.21m @ 3.74% Li2O and 3.81m @ 3.25% Li2O)) in SD-DH22-024; 9.75m @ 0.78% Li2O (including 5.36m @ 1.20% Li2O) in SD-DH22-003; 4.27m @ 1.86% Li2O in SD-DH22-005; and 2.44m @ 1.63% Li2O in SD-DH22-001.

Bradda Head commenced a 7,000m diamond core drilling program at its San Domingo lithium pegmatite district in Arizona in Q3 2022 as a first pass exploration effort. Once completed, this program will have tested just over 1% of the 23km2 that Bradda holds in Arizona. Out of the 7,000m planned, 5,700m (36 holes completed so far) have been drilled with positive results. Partial assays have been received back with Lithium bearing minerals observed in c.75% of the holes drilled. This first pass phased drilling program is expected to be completed by the end of this month. Based on the success of Phase 1 at the Northern Claim block as highlighted by the results noted above, Bradda Head has already commenced a detailed soil survey over its entire 23km2 land package. Remaining drilling results of the program will be reported as and when received. The soil survey program is scheduled to be completed by early March and along with an ongoing structural mapping program, will be used to more accurately and efficiently target our Phase 3 drilling program (due to start H2 2023) building on areas covered by Phase 1 and 2 (Central Claim block), and also to explore the potential at the c.99% of our claims at San Domingo that remain untested.

It is Important to note that this first program has been focussed on shallow drilling and with positive intersections of lithium mineralization recorded at shallow depths (from surface in some holes) in multiple locations across an area in the Northern claim block at San Domingo, where partial assays have now been received. A shallow Open Pit Mining approach therefore seems the route to follow. Phase 2 of this program at the Central Claim Block has commenced; assays are pending. North American assay laboratories are currently running at capacity and as a consequence turnaround times on assay reporting are excessive, +8 -12 weeks on occasions, as well as being subject to last minute delays and disruption. Bradda therefore expects all results to be received by the end of H1 2023. The assay results for c.50% of our 36 completed holes are pending.

Charles FitzRoy, CEO, said, “These results are encouraging and set the scene for what we believe has the potential to define a world class lithium pegmatite district in Arizona, near vital infrastructure and battery end-users within the US and the wider developing North American battery hub. The US is investing US$135bn in its EV and critical minerals supply chain, all Bradda's assets are located in the US for the US market, these results are therefore extremely supportive of our business model. ESG is front and centre in our approach and we are working to develop these assets with as low a carbon footprint as possible.

The initial results from this first drill program at San Domingo highlights a distinct district scale potential. As a result, Bradda is in the process of designing a follow-up drilling program in H2 of this year aimed at testing additional ground within the much wider 23km2 of lithium pegmatite claims held in Arizona. Funds are already in place for this work, and ongoing exploration work by our geologists suggests that we have only just scratched the surface of what we have at San Domingo with just over 1% of the area tested from this first program. We intend to keep the market updated on our progress and we look forward to sharing further developments of this exciting project.

"As well as progressing its pegmatite projects, Bradda Head recently announced a 2nd resource update in less than 12 months at its lithium in clay Basin project in Arizona. Further drill programs are planned to start at the Basin in H1 of this year, which we believe will likely lead to further resource growth at our flagship clay asset. With almost 0.4Mt of LCE already in compliant resources Bradda Head now has the largest publicly announced lithium resource in Arizona and 2023 is expected to be yet another resource growth year for the Company.

"The success of our current programs at our San Domingo Pegmatites, and also at our Lithium in Clay Basin Project, both located in Arizona continue to highlight the risk diversification approach followed by Bradda that separates us from many of our peers in the 'Lithium' space."