Dean Lithium Claystone Solubility Results In Clayton Valley

VANCOUVER - Cypress Development Corp. reported that the Company has received solubility study assay results from Cypress' 2,700 acre Dean Lithium Brine/Claystone Project located in the heart of the Clayton Valley lithium exploration area of Esmeralda county, Nevada. The Company's Dean Project is located adjacent to producing lithium brine wells belonging to the Albemarle Silver Peak mine on its west boundary, Pure Energy's resource area on its southwest boundary and Cypress' Glory Project, optioned to Pure Energy, on its southern boundary.

September and October 2016 surface sampling on the Dean Project revealed a 2 square kilometer area of strong lithium mineralization up to 3,700 ppm Li (0.82% Li20 equivalent) in calcareous, volcanoclastic, Claystones, mudstones and volcanic ash units. The mineralization is essentially identical to the acreage being jointly explored by Cypress and Pure Energy Minerals on Cypress' Glory Project immediately to the south.

Cypress has now completed solubility studies with 48 previously assayed claystone samples from the Dean property. A modified dilute Aqua Regia (dilute acid) process (ME-MS41W) and a deionized water leach process (ME-MS03) has been carried out by ALS/Chemex lab in Reno, Nevada in order to provide Cypress with further data on the potential feasibility of a large-scale leach extraction method of lithium from the abundant mineralized claystone. The additional assay procedures recently carried out on the samples by ALS/Chemex from the Dean property clearly show that the lithium in the uplifted exposed lake bed sediments is easily leached by a dilute acid solution and deionized water process.

Several first order drill targets have been defined on the Dean property that include extensive outcropping of altered green evaporate-rich volcanoclastic claystone / mudstone exposures known as the Frontera Verde Zone. The Frontera Verde Zone covers an area of greater than 2 square kilometers. The average lithium grade of the Frontera Verde Zone is greater than 1500 ppm Li (>0.32% Li2O).

Donald Huston, President Cypress Development, stated "the results generated from the most recent assays consisting of a highly dilute weak Aqua Regia solution and a deionized water solution on the Dean Project samples has returned very encouraging results relating to the lithium recovery from the claystone that is known to exist on the majority of the Dean Project in Clayton Valley, Nevada. It is evident that the use of differing solutions in the assay procedure, as noted above, that the abundant lithium-rich claystone could be amenable to an extraction methodology that could be cost effective with a very high recovery of lithium content expected from processing. Cypress' management are very encouraged with the progress seen to date and will continue with work on potential lithium extraction methods from the claystone".

All Data compiled by Cypress to date indicates that a readily soluble non-hectorite mineral form of lithium-rich claystone exists at surface over wide areas of Cypress' Glory and Dean Clayton Valley projects. Cypress has made application to the BLM, Nevada for an area of disturbance Permit to allow for a series of drill holes into the new Frontera Verda Zone on the Dean Project. The Company anticipates mobilizing a drill crew into the Clayton Valley by the end of this month.