ADVANTAGE LITHIUM CORP.Mar 26, 2018 · AAL’s Cauchari project is located adjacent to Lithium...

March 26, 2018

Rupert M. Merer, P.Eng CFA 416.869.8008 [email protected] Associate: Steven Hong 416.869.7538 [email protected] Associate: Adnan Waheed 416.869.6763 [email protected] For required disclosures, please refer to the end of the document.

ADVANTAGE LITHIUM CORP.

TAKING ADVANTAGE OF A WELL-PLACED RESOURCE

INITIATING COVERAGE AAL (TSX.V): C$1.09 Stock Rating: Outperform Risk Rating: Speculative 12-Month Target: C$1.90 12-Month Total Return: 74% Shares O/S: 135.1 Mln Market Cap: $147 Mln

HIGHLIGHTS Emerging lithium junior with solid partnership: AAL is an emerging supplier of lithium

carbonate (Li2CO3), with a 75% ownership in a JV with Orocobre (ORE), one of the world's

largest lithium producers, on the Cauchari lithium project in Argentina. AAL's strategic

relationship with ORE should reduce any future exploration, operating and construction risks.

Updated resource estimate should be a key catalyst: AAL currently has about 470 kt LCE

(lithium carbonate equivalent) of inferred resources (average well depth of 144m at 384 mg/l

lithium). With positive drill results showing grades well over 500 mg/l at depths over 350 m,

an updated resource estimate could come in Q2 2018E and we believe it could grow to

between 2.1 and 3.5 mt LCE.

A well-placed project could be a consolidation target: Relative to its peers, AAL is closer to

infrastructure and two existing lithium operations that include large and well capitalized

partners. Some consolidation of the three unique assets with shared boundaries could make

sense.

Battery demand puts pressure on supply chain: With growth in demand for lithium batteries

for electric vehicles and grid power storage, demand is soaring for lithium salts (Li2CO3 and

LiOH). Falling battery costs could drive demand growth for years to come. Spot prices for

Li2CO3 remain high, at more than $18,000/t. The price should come back to the long-term

average (<$8,500/t), but the market could be in short supply for a few years.

Risks and headwinds: AAL needs capital and lithium markets are at risk of oversupply over

the next few years. Commissioning of a brine operation takes time and is subject to

uncertainties.

Valuation and recommendation: Our C$1.90 target is based on peer analysis, assuming a

growing resource and a NAV analysis using a 10% WACC discount rate with a relatively

conservative lithium carbonate price deck.

ADVANTAGE LITHIUM CORP. MARCH 26, 2018

TABLE OF CONTENTS FINANCIAL & OPERATING SUMMARY TABLE 1

EXECUTIVE SUMMARY: 2 Advantage Lithium is an emerging lithium developer with a solid partnership 2 Resource upside potential supported by proximity to peer and drilling results 2 Partnership with ORE should lower AAL’s overall risk 2 Consolidation by larger entities in the battery supply chain 3 Demand for lithium is growing and prices have spiked - the market needs more supply 3 Some risks, including potential for increased lithium supply and falling prices 3

DEMAND FOR BATTERIES CALLS FOR NEW LITHIUM SUPPLY 4 EV sales were up over 50% y/y in 2017 4 Automotive companies are ramping up EV production 4 Political support is strong for clean energy and EVs 5 Declining costs are key to driving growth in EVs 6 Grid energy storage could be the second wave of growth for batteries 7 Battery demand for EVs should outpace the rest of the market 7 New battery plants are already being constructed 8 Lithium supplies will grow too, but there is room for low cost producers 9

ADVANTAGE LITHIUM HAS ADVANTAGES 10 An emerging lithium producer positioned in an Argentinian hotbed 10 Previous financing and interest held by Orocobre 12 The Cauchari salar: Good conditions and close to existing infrastructure 12 Other producers on the salar – need for consolidation? 13 Initial Cauchari resource was based on a small portion of AAL’s salar 14 Positive results from drilling should support larger resource estimates 16 High flow rates and sand intercepts show high yield potential 17 NBF Estimates the potential for the resource at 2.1 to 3.5 mt LCE 19 Future expansion and lower risk profile imply a lower multiple on AAL 19 Selling off other assets to focus on Argentina 20 Catalysts that could come in the next few quarters 20 Risks to AAL 20

VALUATION – C$1.90 /SH TARGET AND OUTPERFORM RATING 22 Peer group multiple analysis – upside potential could come from resource update 22 NAV analysis based on a number of assumptions assuming a stand-alone operation 22 Arriving at a 12-month target price of C$1.90 /sh, Outperform 24

APPENDIX 1: EXTRACTING LITHIUM FROM BRINES 25

APPENDIX 2: MANAGEMENT AND BOARD OF DIRECTORS 28

DISCLOSURES 29

Industry Rating (Metals & Mining): Overweight (NBF Economics & Strategy Group)

All dollar amounts in Cdn$ unless otherwise noted. All pricing as at March 23, 2018.

All NBF research mentioned in this document is available at www.nbfm.ca/en/research/


RUPERT MERER 1

FINANCIAL & OPERATING SUMMARY TABLE

FIGURE 1: FINANCIAL SUMMARY

Source: Company data and Thomson with NBF estimates and analysis


2 RUPERT MERER

EXECUTIVE SUMMARY:

Advantage Lithium is an emerging lithium developer with a solid partnership

Advantage Lithium Corp. (TSX.V: AAL) has a 75% ownership in a joint venture with Orocobre Ltd. (TSX:

ORL, ASX: ORE, not rated) at its Cauchari brine project, located 10 km south of ORE’s Olaroz lithium

carbonate production plant in the Jujuy province, Argentina. The project is close to existing producers,

close to infrastructure and has high lithium grades and low levels of impurities. The project has an

inferred resource of 470 kt LCE, but AAL is completing a drilling program which could result in significant

increase from the current estimate. Both the updated 43-101 resource estimate and the scoping study

should be released sometime in Q2 2018E.

Resource upside potential supported by proximity to peer and drilling results

AAL’s Cauchari project is located adjacent to Lithium Americas Corp.’s (TSX: LAC) Cauchari-Olaroz

project, which is currently under construction with targeted production of 25 ktpa of LCE (lithium

carbonate equivalent) and proven and probable reserves of about 1.5 mt LCE (measured and indicated

resources of about 11.8 mt LCE). AAL’s existing 470 kt resource is based on shallow drill holes on about

half of its property. Drilling results are showing higher lithium grades than previously measured, over

greater depth and with good flow rates. With this, we believe that AAL’s Cauchari project could see an

increase in its resource potential to 2.1-3.5 mt LCE when its updated resource is released in the coming

months.

FIGURE 2: AAL’S RESOURCE UPDATE HAS POTENTIAL

Source: Company Presentation

Partnership with ORE should lower AAL’s overall risk

Orocobre, AAL’s JV partner and largest shareholder (>30% ownership) produces roughly 18 ktpa of

lithium carbonate at Olaroz. It is based in Australia and trades on both the Toronto Stock Exchange and

the Australian Stock Exchange with a market cap of approximately $1.5 billion. ORE has a partnership

with Toyota Tsusho Corporation (part of the Toyota Group conglomerate) in the Salar de Olaroz lithium

project and is working closely with AAL to advance the Cauchari project. ORE’s recent experience in


RUPERT MERER 3

drilling its resource and starting production of lithium carbonate supports AAL’s development program

and would limit construction and operating risk in the future.

Consolidation by larger entities in the battery supply chain

With two other lithium projects in close proximity to AAL’s properties (ORE’s Olaroz project and LAC’s Cauchari JV), consolidation of assets could be beneficial. AAL’s holdings currently surround the southern portion of LAC’s resource and reserve. Brine extraction by two companies from two points in close proximity could lead to sub-optimum exploitation of the resources, without cooperation like that typical seen with on-shore oil field production. We also believe it may not be the most efficient use of capital for separate companies to build individual processing facilities when the resources are similar in nature and could be aggregated to see economies of scale.

A few of the world’s largest lithium producers and developers are active in the Cauchari-Olaroz basin, including ORE, LAC, Ganfeng Lithium Co. Ltd. (China, SHE: 002460, not rated) through its ownership stake in LAC, and SQM (Chile, NYSE: SQM, not rated; in JV with LAC). If these global leaders look to increase investment in lithium, we believe that the first increments are best spent on further development of existing and undeveloped assets.

We have seen a number of investments into junior developers of lithium brines, most recently the recent acquisition of Lithium X Energy Corp. by NextView, a Hong Kong-based investment fund. However, with a number of IPOs planned in the sector by large companies such as Tianqi Lithium (China, SHE: 002466, not rated), Ganfeng and with the spinoff of a lithium-focused business from FMC Corp. (NYSE: FMC, not rated) later this year, we believe there could be some large M&A transactions ahead. Ganfeng, with its ownership stake in LAC and planned $1.0-1.5 billion initial public offering in Hong Kong, could be one to watch.

Demand for lithium is growing and prices have spiked - the market needs more

With rising demand for lithium-ion batteries to supply electric cars and grid power storage, the demand

for lithium salts has soared and prices have risen. We see demand for lithium growing from roughly 210

ktpa LCE last year to 800 ktpa by 2025E. With this, the market has room for a number of new low-cost

producers. Lithium brine producers tend to be at the low end of the cost curve, which should support

production from the best resources (like those on Cauchari). Prices today for lithium hydroxide and

lithium carbonate are over US$18,000/tonne, which is much higher than the long-term average that is

below US$8,000/tonne.

Some risks, including potential for increased lithium supply and falling prices

With hundreds of prospective projects being brought forward, lithium supply will increase and we

believe that prices will normalize. Lithium developers may find it increasingly difficult to source capital

without a competitive advantage.

Initiating coverage with a 12-month target price of C$1.90/sh and an Outperform rating. Our target

is based on a multiple analysis (EV/t LCE resource) comparing AAL with peers and assuming some

upside for its current drilling program. We also use a NAV analysis with a 10% WACC and a relatively

conservative lithium carbonate price deck. Compared with the universe of junior lithium

developers, we believe that AAL is well positioned with a solid resource, access to capital,

experienced partners and near-term visibility on production. Given an early stage of development

and our reliance on increased resource estimates, we have a speculative risk rating on the stock.


4 RUPERT MERER

DEMAND FOR BATTERIES CALLS FOR NEW LITHIUM SUPPLY

EV sales were up over 50% y/y in 2017

In 2017, global demand for passenger EVs (electric vehicles) was up by more than 50% y/y, with roughly

1.2 million sales in the year, but they still represent less than 2% of total vehicle sales. We believe EVs

can continue to increase market share, with declining costs, improving range and an increasing number

of options for consumers. Many industry estimates are now calling for annual EV sales of more than 20

million per year by 2030E. While our model does not go out that far, we believe that sales could reach

up to 14 million vehicles a year by 2025E (36% CAGR), at roughly 15% market penetration, based on

increasing availability from auto manufacturers.

FIGURE 3: EV MARKET HIT >50% GROWTH Y/Y IN 2017E

Source: InsideEVs with NBF analysis

FIGURE 4: GROWTH IN EVs COULD ACCELERATE

Source: InsideEVs with NBF estimates and analysis

Automotive companies are ramping up EV production

Our estimates are supported by industry developments as all of the world’s largest manufacturers have

plans to manufacture EVs. Recently, Volkswagen committed $25 billion to supply deals with battery

makers and has targeted the tooling of 16 EV production plants over the next four years. It wants to

sell more than three million EVs by 2025 from 80 vehicle models and believes the market will follow

(all the major companies have rolled out production plans). Just last week, Nissan announced that it

plans to sell one million EVs per year by 2022, rolling out eight new models in the next four years. The

market should also see more heavy vehicles, including trucks, with Tesla, Inc.’s (NASDAQ: TSLA, not

rated) goal of selling 100,000 electric big rigs a year in four years and other manufacturers such as

Daimler introducing options.

0

20,000

40,000

60,000

80,000

100,000

120,000

140,000

160,000

180,000

200,000

Monthly Plug‐in Vehicle Sales

(Global)

2013 2014 2015 2016 2017

0

2,000,000

4,000,000

6,000,000

8,000,000

10,000,000

12,000,000

14,000,000

16,000,000

2014 2015 2016 2017E 2018E 2019E 2020E 2021E 2022E 2023E 2024E 2025E

Plug‐in Veh

icle Sales (Global, )

36% CAGR


RUPERT MERER 5

FIGURE 5: AUTOMAKER TARGETS

Source: NBF Estimates & Analysis

Political support is strong for clean energy and EVs

A number of countries have policies that support the use of EVs and limit the use of internal combustion

engines (see table below). The primary driver behind these policies is the reduction of greenhouse

gases and other smog-producing elements.

The United States, despite withdrawing from the Paris Agreement, still has a $7,500 tax credit available

for the purchase of EVs. France and the UK plan to ban sales of internal combustion engines by 2040.

In China, the Ministry of Finance extended tax rebates on the purchase of electric vehicles to the year

2020 (originally set to expire at the end of 2017).

China’s target of 20% EVs (with about 30% of the world automotive market) and Europe’s 15%

penetration (as forecasted by Ford and others) support our baseline model for 15% EV penetration by

2025, with up to 14 million EVs sold in that year.


6 RUPERT MERER

FIGURE 6: COUNTRY ANNOUNCEMENTS

Source: NBF Estimates & Analysis

Declining costs are key to driving growth in EVs

The mass market for EVs could come soon, with vehicles like the Chevy Bolt and Tesla Model 3 being

the first of many new, lower price EVs coming to the market. Along with the lower cost, new vehicle

models are also bringing a range of 150-200 miles (240-320 km), which is ample for most drivers and

should increase consumer interest.

The average cost of batteries declined ~70% from above $900/kWh in 2009 to less than $300/kWh in

2016. Given that the operating costs of EVs are superior (lower energy and maintenance costs), we

believe that electric vehicles could reach cost parity with internal combustion engines, with batteries

at approximately $100-150/kWh. Industry estimates call for this parity before 2025E. Tesla may already

be below $200/kWh and is targeting a cost of $100/kWh by 2020.

FIGURE 7: ELECTRIC CARS ARE REACHING COST PARITY

Source: Bloomberg New Energy Finance (BNEF)

Country Target

ChinaAnnounced that it will implement a policy to ban petrol and diesel vehicles in near future.

FrancePlans to ban all petrol and diesel vehicles effective on 2040. It’s a step-by-step process, which includes having a fleet of 2.4 mln rechargeable electric and hybrid vehicles, as well as 3% of NGV heavy duty vehicles by 2023.

GermanyIts federal council proposed and passed a resolution that calls for a total ban on internal combustion engines by 2030.

India Instituted a policy to allow only sale of fully-electric cars by 2030.

Netherland Plans to ban all petrol and diesel vehicles by 2025.

Norway Implemented a target to only sell cars that are 100% electric by 2025.

Taiwan Aims to ban all the sale of all petroleum vehicles by 2040.

United Kingdom

Introduced a ban on new diesel and petrol fuel cars by 2040, as part of US$4.06 bln initiative that trickles down to local councils to improve the nation's air quality.

United States (California)

California is considering banning fuel car sales in 2040


RUPERT MERER 7

Grid energy storage could be the second wave of growth for batteries

Over the past several years, we have seen a rapid decline in the cost of solar and wind power, especially

for jurisdictions with strong resources. In many locations, renewable power has reached cost parity

with traditional fossil-fuelled generation. However, with intermittent generation from renewable

power, it needs some help to supply power grids. With the falling cost of batteries, storage of electrical

energy in batteries has become a viable option that competes with gas-fired peaking plants in some

locations. Bloomberg New Energy Finance (BNEF) believes that the grid storage market could reach

more than 300 GWh by 2030 (125 GW), which could demand 60 GWh of batteries every year. This is

greater in size than the current EV market.

Demand for grid storage is now driven by economics, growth in renewable energy and its ability to span

a range of markets.

It can be low cost: Last year, Tucson Electric Power signed a 20-year power purchase agreement

(PPA) for a solar-plus-storage system (100 MW solar array and a 30 MW, 120 MWh energy storage

system) at an all-in cost of less than $0.045/kWh. The cost of renewables and storage can now

compete with alternative sources of generation.

It can have large scale: Tesla installed a 129 MWh Li-ion battery in South Australia last year (a

battery equivalent of more than 1,000 Tesla Model S vehicles) to provide grid support. This is large

enough to replace the need for a gas-fired peaking plant.

It can also scale down: Tesla has a contract to install 50,000 batteries with solar power in homes

in Australia. Nissan, Mercedes and other companies are offering their own storage solutions for

homes in a number of markets. Batteries of 7-10 kWh in the homes can provide backup in case of

power outages, and also avoid peak charges on a daily basis.

FIGURE 8: GRID STORAGE WITH LITHIUM-ION BATTERIES COULD ALSO SEE HIGH GROWTH

Source: BNEF

Battery demand for EVs should outpace the rest of the market

With demand growth, EVs should dominate the battery market going forward. With up to 14 million EVs

produced in 2025E, we estimate that the total demand for batteries could grow to 750 GWh (from

roughly 100 GWh in 2017), of which roughly 80% could be for the transportation market (including cars,

buses and trucks).


8 RUPERT MERER

These estimates are supported by industry targets. Tesla is planning four “Gigafactories” by 2020,

producing 150 GWh in total. Volkswagen alone, with approximately 7% market share in the global

vehicle market, believes that it will need 150-200 GWh/yr by 2025 to meet its EV targets, and that the

market may need up to 40 battery “Gigafactories” (each producing 35 GWh/yr of cell capacity) based

on an assumption of 25% EV penetration by 2025. Volkswagen recently secured US$25 billion in battery

supplies, which should help it build as many as three million EVs/yr by 2025, with plans to increase EV-

producing plants to 16 from three by the end of 2022.

FIGURE 9: EVs SHOULD DOMINATE THE MARKET FOR BATTERIES

Source: NBF estimates and analysis

New battery plants are already being constructed

In June 2014, Tesla, Inc. provided visibility on accelerated growth in demand with the announcement

of its Gigafactory 1 (capacity of 35 GWh) which would be used to produce 500,000 EVs/yr. Since then,

we have seen many large corporations follow in its footsteps, including Samsung, BYD, Foxconn and LG.

The most recent tally from Benchmark Minerals includes up to 340 GWh of planned capacity, led by

China, to be online in the next five years. This is a good start, but to keep pace with EV plans, the

market will need more and we believe further announcements will come this year (from Tesla and

others).

FIGURE 10: BATTERY PLANTS ARE COMING, BUT WE WOULD NEED MORE

Source: with NBF estimates and analysis

0

100

200

300

400

500

600

700

800

2017E 2018E 2019E 2020E 2021E 2022E 2023E 2024E 2025E

Total Battery Dem

and (GWh)

Transportation Grid Storage Portable/Industrial


RUPERT MERER 9

Lithium supplies will grow too, but there is room for low cost producers

With our forecast for 14 million EVs produced in 2025E, we believe that global demand for lithium could

exceed 800 ktpa by 2025. This is a roughly four-fold growth in demand over the level last year. If we

count all of the lithium production targets of current producers and developers around the world, we

can easily arrive at a number that is above this level.

FIGURE 11: DEMAND FOR LITHIUM COULD GROW 4X BY 2025E


However, we believe that the best brine operations should remain the low-cost producers at a cost of

less than $4,000/t LCE (grey bars in figure below) and the marginal cost producers could remain above

$5,000/t LCE (green bars in figure below) based on the cost of producing lithium from hard rock in

Australia, and processing lithium carbonate in China. With that, we believe that the best brine resources

should be successful and we see value to AAL’s development efforts.

FIGURE 12: CASH COST OF BRINE OPERATIONS REMAINS BELOW THE REST

Source: Company data with NBF estimates and analysis


10 RUPERT MERER

ADVANTAGE LITHIUM HAS ADVANTAGES

An emerging lithium producer positioned in an Argentinian hotbed

A new entrant to Argentina, spun out of Orocobre

Advantage Lithium was initially incorporated under the name Valor Ventures Inc. on March 1, 2007. Its

name changed to Advantage Lithium Corp. on July 5, 2016. The headquarters are located at Suite 1305

– 1090 West Georgia Street, Vancouver, BC, V6E 3V7. The purpose of the corporation is to acquire a

portfolio of lithium assets and become a significant player in the rapid-growing industry.

AAL’s partner and largest shareholder (>30% ownership) is Orocobre, a producer of lithium carbonate

and borax, with assets in Argentina. It is based out of Australia and trades on both the Toronto Stock

Exchange and the Australian Stock Exchange with a market cap of approximately $1.5 billion. ORE has

a partnership with Toyota Tsusho Corporation (part of the Toyota Group conglomerate) in the Salar de

Olaroz lithium project and has production of approximately 14kt of LCE per year.

On November 24, 2016, ORE announced that it would divest a number of lithium properties in Argentina

to Advantage Lithium for common shares through its Argentinian subsidiary, South American Salars S.A.

(SAS). The Cauchari tenements are jointly owned by ORE (85%) and Argentine shareholders Mrs.

Rodriguez and Mr. Peral (15%). Under the details of the letter of intent, AAL was required to complete

an equity financing of US$15-25 million and a technical report on the exploration projects. ORE would

have pre-emptive rights to maintain its proportionate interest in AAL if it holds at least 10% of the

issued and outstanding shares of AAL. ORE would also have a right of first refusal over any direct or

indirect sale of any portion of the Cauchari properties and be entitled to re-acquire the Cauchari

properties pursuant to an agreed valuation process in the event of a change of control of AAL.

In the centre of the Lithium Triangle, close to leading producers

Most of the global lithium brine supply is sourced from the Lithium Triangle which encompasses the

northwest Argentina, southwest Bolivia and northeast Chile (See figure 13). The primary producers are

long-time incumbents such as Albemarle Corp. (NYSE: ALB, Salar de Atacama), SQM (NYSE: SQM), Salar

de Atacama) and FMC Corp. (NYSE: FMC, Salar de Hombre Muerto). These lithium brine producers

currently supply about 40% of the world’s lithium carbonate, with hard-rock supplying the remainder.

The most recent lithium brine supply to reach commercial operations was ORE’s Olaroz project in 2015

with a nameplate capacity of 17.5kt of LCE per year.

AAL is joining the fray with its Cauchari project (currently 75% ownership) located adjacent to Lithium

Americas’ Cauchari-Olaroz project and near ORE’s Olaroz project. The project is still in the early stages

of development with a pre-feasibility/scoping study scheduled for 2018E (we modelled the project to

produce 20kt of LCE per year and reach commercial operations in 2021E).


RUPERT MERER 11

FIGURE 13: LITHIUM TRIANGLE

Source: Economist

FIGURE 14: MAP OF AAL’S ASSETS IN CAUCHARI

Source: Company Reports


12 RUPERT MERER

Previous financing and interest held by Orocobre

On February 17, 2017, AAL closed an equity financing of approximately $20 million with the issuance of

26,667,000 subscription receipts. Following this financing and the satisfaction of all other conditions in

the transaction documentation, the deal closed on March 28, 2017. Pro-forma, ORE holds 46.3 million

shares (35% of common shares) and 2.55 million warrants exercisable at $1.00 for a period of two years.

Having completed an investment of more than US$5 million into the project so far, AAL has increased

its interest to 75% in the project (ORE holds a 25% interest in the project and a 1% gross royalty). Mr.

Peral was issued 8.175 million common shares from AAL and 450,000 warrants exercisable at $1.00.

The Cauchari salar: Good conditions and close to existing infrastructure

The property is located in the Puna region, in northwest Argentina, at an altitude of 3,900 m above sea

level. Although evaporation rates have not been measured in Cauchari, we believe it should be similar

to Olaroz. The climate in the area is severe with large temperature variations and high solar irradiation

which make it an ideal location for brine evaporation ponds. The rainy season is typically between

December to March and the period between April and November is normally quite dry.

FIGURE 15: AVERAGE MONTHLY EVAPORATION IN OLAROZ SALAR (MM)


The Cauchari salar is approximately four hours away from the City of Jujuy (270 km) and is near existing

infrastructure such as roads, ports, rail, transmission and gas pipelines. The existence of two other

developers in the region will support further shared development and maintenance of the

infrastructure. It is located adjacent to highway Route 52 which passes through Chile and continues to

the mining centre of Calama and the port of Mejillones near Antofagasta. This is a major port from

where lithium carbonate is shipped to international customers. North of the project, there is a natural

gas pipeline, which could be used for onsite power generation. Solar power developments are also being

developed close to the project and could support lower power costs in the future. With some of the

highest solar irradiation levels in the world, we believe that solar power can be developed at less than

$0.03 /kWh.


RUPERT MERER 13

FIGURE 16: EXISTING INFRASTRUCTURE


Other producers on the salar – need for consolidation?

Consolidation could help to reduce the potential for future conflicts

With three lithium developers in close proximity (ORE, LAC and AAL) and planning to extract lithium

from the Cauchari-Olaroz brine reservoir, consolidation could be beneficial. AAL’s holdings currently

surround the southern portion of LAC’s resource and reserve. Brine extraction by two companies from

two points in close proximity could lead to sub-optimum exploitation of the resources, without

cooperation like that typically seen with on-shore oil field production. We also believe it may not be

the most efficient use of capital for the companies to build individual processing facilities when the

resources are similar in nature and could be aggregated to see economies of scale.

Orocobre already owns much of AAL but likely has enough on its plate

ORE currently owns over 30% of AAL and could be a potential acquirer of the company. However, it is

currently looking to increase capacity at Olaroz by 25,000 tonnes/yr of LCE to feed into battery markets.

Although ORE is looking to use internal cash flow to fund the expansion, it may not have the financial

capacity to take on both an acquisition and an expansion.

LAC is surrounded by AAL and would be a natural acquirer

LAC could also benefit from the acquisition of AAL given that its tenements are adjacent to AAL. LAC

could generate economies of scale with a larger operation leveraging existing infrastructure and

headcount. LAC is also partnered with SQM, which is looking to expand its presence in lithium and has

a long history of operating brine processing facilities in Chile. We believe that this combination would

make sense for all parties involved. However, at this time, LAC may also have too much on its plate to

consider an acquisition of AAL.


14 RUPERT MERER

Consolidation by larger entities in the battery supply chain

The Cauchari-Olaroz basin is unique in that a few of the world’s largest lithium producers are already

active there, including Orocobre (ORE), Ganfeng Lithium (through its ownership stake in LAC) and SQM

(through its partnership with LAC). If these global leaders look to increase investment, we believe that

the first increments are best spent on further development of existing and undeveloped assets.

We have seen a number of investments into junior developers of lithium brines (including SQM’s

investment in a JV with LAC, Ganfeng’s investment in LAC and the recent acquisition of Lithium X by

NextView, a Hong Kong-based investment fund). However, with a number of IPOs planned in the sector

by large companies such as Tianqi Lithium (China), Ganfeng Lithium (China), and with the spinoff of a

lithium-focused business from FMC later this year, we believe there could be some large M&A

transactions ahead. Ganfeng, with its ownership stake in LAC and planned $1.0-1.5 billion initial public

offering in Hong Kong, could be one to watch.

Initial Cauchari resource was based on a small portion of AAL’s salar

Initial estimates highlighted a resource of 0.47 million tonnes LCE

AAL’s Cauchari project consists of two targets, which are southeast and northwest of the Lithium

Americas property. In an initial drilling campaign focused on 31 km2 of the southeast region (before

AAL’s acquisition of the property), five shallow drill holes were drilled at an average 144 m in depth,

establishing 470 kt LCE of inferred resources. The drill holes largely intercepted shallow clay and halite

formations, with relatively low specific yields (for the basics on this topic, see Appendix 1). The lithium

concentrations were measured at 400 mg/l and 260 mg/l in the two sections of the southeast target.

FIGURE 17: SUMMARY OF INITIAL CAUCHARI RESOURCE


AAL undertaking a campaign to grow its resource with increased depth and breadth of drilling

AAL’s resource was based only on a shallow portion of roughly half of its tenements. The 0.47 Mt LCE

that it established is small in comparison to the 11.8 Mt LCE established by LAC in its adjacent

tenements, with greater depth and breadth of drilling activity. With this, AAL initiated a resource

estimate and scoping study in May 2017, with the goal of updating its resource in H1 2018 and

completing a feasibility study by the end of C2018. The company budgeted about $17 million for the

process and is targeting permits for its project in H1 2019.

Inferred Resource Area Area km2

Average

thickness

m

Mean

specific

yield %

Brine

volume

Million m3

Lithium mg/lLithium

metal

Lithium

carbonate

SE Target (section 1, 0‐170 m) 19.7 170 6.10% 204 400 81,674 434,791

SE Target (section 2, 0‐50 m) 11.4 50 4.60% 26 260 6,787 36,132

SE Target total 31.0 230 384 88,461 470,923

Brine body parametersAverage

concentrationTonnes contained


RUPERT MERER 15

FIGURE 18: DRILLING PROGRAM CONTINUES INTO 2018


FIGURE 19: DRILLING PROGRAM GOES DEEPER

Source: Company Presentation


16 RUPERT MERER

FIGURE 20: SCHEDULE TO PERMITTED PROJECT (CALENDAR YEAR)


Positive results from drilling should support larger resource estimates

AAL has been conducting a drilling program with five rotary holes (Phase 1) and six diamond holes

(Phase 2) since May 2017, with the aim of exploring and expanding the existing resource. Initial

estimates suggested a target resource in the range of 0.25 to 5.6 mt of LCE with a brine volume of 125-

1,855 million m3 and a concentration of 260-660 ppm of lithium.

So far, drilling results look promising:

Five rotary holes (CAU07, 08, 09, 10, 11) and six diamond holes (CAU12,13,14,15,16,17,18)

have been drilled.

Lithium concentrations have been measured in a range of roughly 400 to 680 mg/l, which is

higher than the levels measured during the previous drilling campaign and resource estimate

(at 260 to 400 mg/l).

The wells have reached depth of up to 476 m and intercepted brine intervals of over 400 m in

some cases, with an average close to 300 m (previous at 144 m). The reservoir is open at depth.

Low magnesium to lithium ratios averaging about 2.6:1 have been confirmed, which is

important to lowering the processing cost of the brine. The brine is similar to that from Olaroz

and could be processed at ORE’s Olaroz facility or with a similar process design.

Flow rates up to 20 l/s have been demonstrated and up to 36 l/s could be achievable on holes

CAU07 and CAU11 with higher capacity pumps.

Intercepts of sand, gravel and other mixed sediments have been found at depth, where drilling

was terminated (these layers typically have higher specific yields). Drilling in the northwest to

343 m and in the southeast to 476 m has not reached bedrock


RUPERT MERER 17

AAL is finishing up work on CAI12, CAU13, CAU17 and CAU18. Additional flow and grade measurements

are pending and will support AAL’s resource update. We should also hear more about AAL’s “Phase 3”

drilling plans to further define the resource and flow field for future well field development. The plan

should also target deeper wells that will define the depth of the bedrock.

FIGURE 21: DRILL HOLE LOCATION AND DETAILS


High flow rates and sand intercepts show high yield potential

As discussed in Appendix 1, brine resources are characterized not only by porosity of the salar

(important for the resource), but by the permeability of material as well (important for the reserve).

Typically, halite layers below 50 m in depth are compacted and have very low permeability and

porosity, leading to low specific yields of brine.

With its most recent drilling campaign, AAL has drilled deeper and identified layers below the upper

clay and halite layers which should have greater specific yields and higher flow rates. In the southeast

zone, it has drilled one hole (CAU11) that intersected a deep layer of sand that appears to be

productive. With this, we believe that the company could establish higher specific yields than it saw in

its initial resource assessment with more targeted drilling. The specific yield of the Orocobre Olaroz

salar was established at 9.6%, well above the 6.0% initially measured for the Cauchari tenements.

As further proof of the higher permeability of the new wells, AAL conducted a variable flow rate

pumping test on a number of its wells. Two in particular (CAU07 and CAU11) demonstrated flow rates

of roughly 20 l/s or more, which is considered to be excellent.


18 RUPERT MERER

FIGURE 22: SOUTHEAST STRATIGRAPHIC ANALYSIS s


FIGURE 23: NORTHWEST STRATIGRAPHIC ANALYSIS s



RUPERT MERER 19

NBF Estimates the potential for the resource at 2.1 to 3.5 mt LCE

Our estimate for the resource update looks at deeper wells with higher yield and concentration

Looking at the drilling results to date and using a brine resource that is defined by a larger area, deeper

wells, higher lithium concentrations and higher specific yield values, we can see potential for upside in

the resource estimate to about 2.8 million tonnes LCE (the midpoint of the range between 2.1 million

and 3.5 million tonnes). The company may recognize much of this with its next resource update in the

coming months, or by year end with the completion of the Phase 3 of its drilling program.

Our calculation assumes average resource thickness of between 275 and 325 metres (wells have been

drilled in a range of 240 m to 480 m, with more than half over 400 m, but with brine conditions starting

below 50 m), a range of lithium concentrations of 475 to 550 mg/l (recent concentrations have been

measured between 400 and 700 mg/l) and specific yields of between 5.5% and 6.75% (the initial resource

was based on 4.6% to 6%).

FIGURE 24: NBF RESOURCE UPDATE ESTIMATE


Future expansion and lower risk profile imply a lower multiple on AAL

AAL’s EV-to-resources multiple is currently the highest among its peer group (at $390 /t) based on its

defined resources (see below). However, considering that AAL has published strong drilling results and

could be in a position to increase its resources significantly in the near term, we believe that the market

is pricing in a higher resource and a lower multiple. We assumed that its current 0.47mt LCE resource

could increase to 2.8mt LCE by its next resource update (expected in Q2 2018E), which would imply a

current multiple of less than $66 /t. With AAL’s relatively high lithium concentration relative to peers,

access to infrastructure, strong team and co-location with ORE and LAC, we believe it could trade

higher. To put the EV/t figure into perspective, lithium carbonate sells today at well over $18,000 /t,

at a production cost of roughly $3,000 to $4,000 /t for brine operators. This implies a margin of more

than $14,000 /t at current prices.

HIGH CASE


Avg

thickness

m

Mean

specific

yield %

Brine

volume

mln m3

Lithium

mg/l

Lithium

metal

Lithium

carbonate

SE Target 31.0 325 6.75% 681 550 374,517 1,993,736

NW Target 24.0 325 6.75% 527 550 289,575 1,541,549

Total 55.0 1207 550 664,092 3,535,285

LOW CASE


Avg

thickness

m

Mean

specific

yield %

Brine

volume

mln m3

Lithium

mg/l

Lithium

metal

Lithium

carbonate

SE Target 31.0 275 5.50% 469 475 223,003 1,187,154

NW Target 24.0 275 5.50% 363 475 172,425 917,902

Total 55.0 832 475 395,428 2,105,056

Brine body parameters Avg grade Tonnes contained

Brine body parameters Avg grade Tonnes contained


20 RUPERT MERER

FIGURE 25: JUNIOR BRINE DEVELOPERS

Source: Company Reports, NBF Estimates & Analysis, priced on March 23rd, 2018.

Selling off other assets to focus on Argentina

Other assets in Argentina could have some value

AAL holds interests in a few other properties in Argentina, including 10,653 Ha in the Antofalla salar in

Catamarca and Salta, 9,843 Ha in the Incahuasi salar in Salta and 21,276 Ha in the Guayatayoc salar. The

properties are at an earlier stage of development than the Cauchari project and appear to have less

favourable resources. Although they could present opportunities in the future, we do not value them at

this time.

Other Argentinian projects and assets outside of Argentina have been sold

On March 31, 2017, AAL agreed to transfer its option over the 1,471 Ha Stella Marys Project in Argentina

to LSC Lithium Corporation (TSX.V: LSC, not rated) for about US$690,000 in cash and 256,520 common

shares of LSC.

On December 6, 2017, AAL and Nevada Sunrise Gold Corp. sold the Clayton Northeast Project to Pure

Energy Minerals Ltd. (TSX.V: PE, not rated) for seven million common shares (4.9 million common shares

net to AAL). In addition to the acquisition, AAL and Nevada Sunrise agreed to restrict trading of PE shares

for a period of 27 months and will vote their shares in favour of all matters proposed by PE management

at meetings of shareholders for a period of 24 months.

We believe that these transactions are positive for AAL, as they will enable the company to focus on

development of the Cauchari project, which we believe is the most attractive of its assets.

Catalysts that could come in the next few quarters

Consistent with its development plans, we are looking for a resource update in the next few months,

followed by the release of its PEA. Before the end of the year, we will look for additional drilling results

from its Phase 3 drilling program to prove up the potential for operations on the AAL property, followed

by a definitive feasibility study (DFS) early next year. With an attractive resource and location, we will

also look for potential partnerships from the company with other supply chain players.

Risks to AAL

To supplement the risks to AAL that are identified in its disclosures, we highlight a number of risks for

the company and the lithium market:

Superior technology – There are alternatives to the lithium-ion battery which are being explored,

including flow batteries, sodium-ion batteries and magnesium-ion batteries. One of these could

eventually become a superior option to lithium-ion, potentially reducing the demand for lithium.

Ownership

Company Flagship Project Stage SO4/Li Mg/Li K/Li (%)Contained

Li(Mt LCE)

Grade(mg/L)

Share Price

($)

EV ($mln)

EV/t LCE

Lithium Americas Cauchari-Olaroz Project (Argentina) Construction 29.4 2.4 8.3 46% 11.75 600 7.81$ 691.0$ 127.8$ Pure Energy Clayton Valley Project (U.S.) PEA 18.2 2.9 31.2 100% 0.22 123 0.31$ 40.9$ 187.4$ Advantage Lithium Cauchari (Argentina) Initial Resource 29.4 2.4 8.3 75% 0.47 380 1.09$ 137.6$ 390.3$ Bearing Lithium Maricunga (Chile) PEA 0.8 6.5 7.3 18% 2.10 1,160 0.56$ 30.8$ 83.0$ Millennial Lithium Pastos Grandes (Argentina) PEA 22.4 6.7 10.6 100% 2.13 445 2.77$ 226.3$ 106.2$ Neo Lithium 3Q (Argentina) PEA 0.5 2.0 9.2 100% 2.16 716 1.82$ 203.5$ 94.2$ LSC Lithium Pozuelos (Argentina) Resource 14.5 5.5 8.6 100% 1.30 387 1.06$ 150.9$ 116.5$ Lithium X* Sal de Los Angeles (Argentina) Sold (March 2018) 14.6 3.8 11.0 100% 2.05 490 2.61$ 265.0$ 129.3$ Average (without AAL) 14.3 4.3 12.3 120.6$ With NBF Estimated Future ResourcesAdvantage Lithium Cauchari (Argentina) NBF estimate 29.4 2.4 8.3 75% 2.80 500 1.09$ 137.6$ 65.5$

Attributable ResourcesRatios


RUPERT MERER 21

Demand less than forecast – EVs and other electronics could have lower growth or delayed growth, which

decreases demand for lithium.

Oversupply in the market – Supply could come on sooner, or additional players could enter the market,

placing downward pressure on pricing.

Regulatory barriers – Argentina has a history of placing tariffs on exports and imposing capital controls.

AAL may also need to permit the project for production, if it is not acquired. This introduces additional

regulatory risk. Although the local communities and the current federal and provincial governments are

supportive of international investment in the mining industry, this could change in the future.

FX volatility – AAL reports in Canadian dollars while most of its costs are in U.S. dollars and some in

Argentinian pesos. Variability in FX rates could impact earnings.

Variability of conditions, with relatively low evaporation rates – Net evaporation (difference between

evaporation and precipitation) can be variable and has a dramatic impact on the rate at which the brines

concentrate.

Dilution of common shares to support development activities – AAL could need additional equity to

support its resource development activities. In the event that AAL moves to construct a lithium processing

facility, it will need access to debt and equity which could come from a combination of public markets,

private markets and strategic investors.


22 RUPERT MERER

VALUATION – C$1.90 /SH TARGET AND OUTPERFORM RATING

Peer group multiple analysis – upside potential could come from resource update

Early stage company, but should compare favourably on EV/Resource basis

As AAL has not yet completed its financial estimates for the project, it is difficult to compare its valuation

with peers on a NAV basis. However, there are a number of early stage peers in Argentina and Chile that

are developing brine operations that can be compared with AAL on an EV/ t resource basis. Relative to

this peer group, AAL trades at a high multiple on an EV/t resource metric today, but if it can prove out

a resource of 2.8 mt (consistent with our estimate), we believe the stock could see some upside. If it can

demonstrate 2.8 mt, at $2.00 /sh the stock would trade at a multiple of $127 /t resource, consistent

with the group average including peers like Lithium Americas, LSC Lithium and Lithium X (which sold to

a private investment fund recently). Lithium Americas is located on the same brine pool, but has a much

larger resource and it is further along in its development plans. However, relative to LSC Lithium and

Lithium X, we would argue that AAL has:

a more attractive resource (higher lithium grade and lower Mg),

better access to infrastructure,

closer proximity to operating companies that can purchase brine from AAL,

a relationship with an operating company that de-risks its project execution, and

potential for consolidation by larger companies in the lithium supply chain that have interests

in Cauchari.

FIGURE 26: COMPARABLES ANALYSIS SUPPORTING A $2/SH TARGET WITH A LARGER RESOURCE

Source: Company data with NBF estimates and analysis, priced on March 23rd , 2018

NAV analysis based on a number of assumptions assuming a stand-alone operation

Assumptions used in NAV analysis

AAL has yet to publish a full feasibility analysis. However, with some conservative assumptions we can

complete a DCF analysis to offer a secondary valuation estimate. With one existing producer on Olaroz

(ORE) and one peer in construction on Cauchari (LAC), we believe that we can arrive at a reasonable

estimate for operating and capital costs if AAL was to move towards construction.

Our assumptions for a hypothetical operation on Cauchari:

40-year project life and nameplate capacity of 20ktpa of LCE

AAL’s interest is 70.75%, ORE’s interest is 20.75% and JEMSE’s (entity of the Jujuy government)

interest is 8.5%

CAPEX of US$400 million (US$20,000 /t LCE capacity)

Ownership

Company Flagship Project Stage SO4/Li Mg/Li K/Li (%)Contained

Li(Mt LCE)

Grade(mg/L)

Share Price

($)

EV ($mln)

EV/t LCE

Lithium Americas Cauchari-Olaroz Project (Argentina) Construction 29.4 2.4 8.3 46% 11.75 600 7.74$ 684.8$ 126.7$ Pure Energy Clayton Valley Project (U.S.) PEA 18.2 2.9 31.2 100% 0.22 123 0.31$ 40.2$ 184.4$ Advantage Lithium Cauchari (Argentina) Initial Resource 29.4 2.4 8.3 75% 0.47 380 0.96$ 119.2$ 338.1$ Bearing Lithium Maricunga (Chile) PEA 0.8 6.5 7.3 18% 2.10 1,160 0.56$ 30.8$ 83.0$ Millennial Lithium Pastos Grandes (Argentina) PEA 22.4 6.7 10.6 100% 2.13 445 2.84$ 232.0$ 108.9$ Neo Lithium 3Q (Argentina) PEA 0.5 2.0 9.2 100% 2.16 716 1.83$ 204.6$ 94.7$ LSC Lithium Pozuelos (Argentina) Resource 14.5 5.5 8.6 100% 1.30 387 1.06$ 150.9$ 116.5$ Lithium X* Sal de Los Angeles (Argentina) Sold (March 2018) 14.6 3.8 11.0 100% 2.05 490 2.61$ 265.0$ 129.3$ Average (without AAL) 14.3 4.3 12.3 120.5$ With NBF Estimated Future ResourcesAdvantage Lithium Cauchari (Argentina) NBF estimate 29.4 2.4 8.3 75% 2.80 500 2.00$ 266.2$ 126.7$

Ratios Attributable Resources


RUPERT MERER 23

Operating cost of US$3,300/tonne of LCE (ORE has current costs of about US$3,500/tonne of LCE

in 2017, and LAC’s feasibility study showed about US$2,500/tonne of LCE)

Sustaining CAPEX multiple of US$150/tonne of LCE for a total of US$150 million (net US$112.5

million)

Feasibility study completed in late CY2018E, project approval in mid-CY2019E, production ready

in late CY2020E

Long-term average prices for lithium carbonate at US$8,500/tonne. However, prices in the short

term could stay high at more than US$18,000/tonne, with demand driven by battery markets and

a shortage of supply. We modelled a gradual decline in prices beginning at the end of 2018E and

reaching a long-term level at the end of 2021E. Although some may view this price forecast as

conservative, we believe that an investment can be justified at this price level (for more

conservative investors) and higher prices would create additional upside.

FIGURE 27: LITHIUM PRICE FORECAST

Source: NBF Analysis

Results of NAV analysis and sensitivity to lithium prices

To arrive at a target price with our NAV analysis, we assume a WACC of 10% and a 1.0x multiple on NAV,

consistent with other companies in our coverage and reflecting the early stage of the project. We

assumed that the terminal value of the project is zero and used a CAD/USD rate of 1.25 for capital and

operating costs. Our NAV analysis implied a target price of $1.84 /sh. We also present a sensitivity of our

DCF-based target to lithium carbonate prices and discount rates.

FIGURE 28: NAV ANALYSIS AND TARGET PRICE


$0

$2,000

$4,000

$6,000

$8,000

$10,000

$12,000

$14,000

$16,000

$18,000

$20,000

2014

2015

2016

2017

2018

2019

2020

2021

2022

2023

Global Average (US$/tonne)

Li2CO3 ForecastLiOH ForecastLi2CO3 ActualLiOH Actual

C$/share

NAV - Cauchari (8%) 317$ mln 2.08$

Corporate adjustments 37-$ mln (0.24)$

Implied NAV 280.4$ mln 1.84$

Multiple on NAV 1.00 x

Implied Enterprise Value 280.4$ mln 1.84$

Debt commitments mln -$

Implied Market Capitalization 280.4$ mln 1.84$

Shares (FD) 152.3 mln

Implied Value per Share 1.84$ /sh


24 RUPERT MERER

FIGURE 29: NAV CASH FLOW ESTIMATES


FIGURE 30: SENSITIVITY OF TARGET PRICE TO DISCOUNT RATE AND MARKET PRICES


Arriving at a 12-month target price of C$1.90 /sh, Outperform

Using an average of the two valuation methods, we derive a 12-month target of C$1.90/sh for AAL. We

are initiating with an Outperform rating based on a target return of 74% over the current market price.

Given an early stage of development and our reliance on increased resource estimates, we have a

speculative risk rating on the stock. This could change over time as the company moves forward with

development plans.

FIGURE 31: DERIVING A TARGET OF C$1.90/SH


2020E 2021E 2022E 2023E 2024E 2025E 2026E 2027E 2028E 2029E

Net Production (kt LCE) ‐ 1,061 7,429 12,204 14,150 14,150 14,150 14,150 14,150 14,150

Price (US$/t LCE) ‐ 8,732 8,532 8,661 8,791 8,924 9,058 9,195 9,334 9,475

Revenue ($'000) ‐ 11,459 78,216 130,000 152,955 155,263 157,605 159,982 162,395 164,845

COGS ‐ 4,330 30,310 50,543 59,484 60,376 61,281 62,201 63,134 64,081

Gross Margin ‐ 7,128 47,906 79,457 93,472 94,887 96,323 97,782 99,262 100,765

Capex (185,070) (185,880) (3,239) (3,239) (3,239) (3,239) (3,239) (3,239) (3,239) (3,239)

FCF from operations (184,877) (178,788) 43,820 75,909 89,465 90,834 92,223 93,634 95,066 75,653

Discount yrs (12 mnth target) 1 2 3 4 5 6 7 8 9 10

PV of cash flows (168,070) (147,758) 32,923 51,847 55,551 51,273 47,325 43,681 40,317 29,167

7,500 8,000 8,500 9,000 10,000 11,000 12,000

5.0% 3.98 4.76 5.55 6.33 7.89 9.46 11.02

8.0% 1.87 2.37 2.87 3.38 4.39 5.40 6.41

10.0% 1.05 1.45 1.84 2.24 3.03 3.82 4.61

12.0% 0.50 0.81 1.13 1.45 2.09 2.73 3.37

14.0% 0.10 0.37 0.63 0.89 1.42 1.95 2.48

Long‐term Lithium Carbonate Price (US$/MT, infl adj from '22)

Discount Rate

(WACC)

METHOD MULTIPLE/DISCOUNT TARGET

EV/Resource $126 2.00$

NAV - Cauchari 10% 1.84$

Average 1.92$


RUPERT MERER 25

APPENDIX 1: EXTRACTING LITHIUM FROM BRINES

Lithium brines tend to be in remote locations

The lithium-bearing brines in South America are located in regions that are difficult to access and have

challenging living conditions. This creates barriers to entry for companies that look to exploit lithium

from brines. The logistical challenges for operating in these locations include locating skilled workers

(for construction and for operations), providing care to employees on site and bringing materials or

reagents in and out of the region. It is also a specialized type of operation which benefits from

experience.

FIGURE 32: LITHIUM TRIANGLE

Source: Company reports

A typical extraction process uses some natural evaporation

With brine-based lithium, the process for extracting the lithium varies by resource and by operator (a

typical process is shown below). Typically, the target brines contain lithium in a concentration that

ranges from a few hundred ppm (parts per million) to thousands of ppm.

In the first step of the process, the brine solution is pumped from underground to the surface where it

enters a series of solar evaporation ponds, and concentration occurs over a number of months. This

technique is successful because of very low precipitation levels in the regions where the brines are

located. After concentration, solution is pumped through multiple stages to precipitate and filter

deleterious elements, such as boron and magnesium. Typically, the solution is treated with sodium

carbonate (soda ash) to precipitate lithium carbonate (similar to hard rock processing). This can also

be processed into other products such as lithium hydroxide. The products are then filtered and dried

and transported for delivery.


26 RUPERT MERER

FIGURE 33: TYPICAL LITHIUM BRINE PROCESS


New processing technologies could reduce time to production and variability

With rising demand for lithium, we believe that the industry will undergo a revolution not just in the

scale of supply and demand, but also in the technology that brings lithium to market. With relatively

low production historically, the industry has had limited economies of scale and relatively immature

processing technology. About half of the world’s lithium is produced from brines in South America (using

solar evaporation ponds, at the mercy of Mother Nature) and the other half from hard rock in Australia

which is shipped to China for extraction using processes that are heavy on reagents.

Now, with growing demand, higher prices and an influx of new capital into the industry, we believe

that the lithium supply chain could see some significant changes in the coming years. New brine

processing technologies from a range of developers could emerge in the next five years. Processes being

developed by POSCO, ERAMET, Rincon Ltd. and others target extraction of lithium using filtration and

hydro-metallurgical processes that can go from brine to bag in less than two days (versus a year or more

with traditional processes). This processing technology could prove to have lower operating costs and

a lower operating footprint as well, with an opportunity to return spent brine back to the salars.

However, these systems are likely to be more capital intensive.

What makes a good brine deposit?

Brine-based lithium deposits are accumulations of groundwater which typically contain high

concentrations of lithium, magnesium, potassium and sodium. They are usually found in tectonically

active basins, called salars, with arid climates such as the Lithium Triangle.

Mature salars (like Atacama) typically have higher salt concentrations, but are dominated by halite

(NaCl) crystallization which limit brine extraction to layers that are less than 50 metres. Immature

salars (including Cauchari) often have multiple layers of clastic material (gravel, sand) and halite, and

can extend to greater depths of over 400 metres (see Figure 19). Ultimately, mature and immature

salars have pros and cons, with the commercial viability of the salar driven by the lithium resource size,

permeability, lithium concentration, impurity levels and evaporation rates.

Resource is important, but permeability rules: The ability of the salar to hold brine is

measured by its porosity, which is impacted by the grain size of the various layers of the salar.

However, the ability to extract the brine from the salar is dependent on the permeability of

the layers which tends to be reduced with small grains or by compacted halite (NaCl) crystal

formation at depth. Typically, the yield of a salar is maximized in layers of gravel and sand

which have both high porosity and permeability.

Lithium concentrations matter: This is measured in grams per litre, milligrams per litre or

ppm. Higher concentrations of lithium make it easier to extract the material from the brine,

ultimately leading to lower costs. Typically, higher concentration should also lead to higher


RUPERT MERER 27

purity (unless there are equally high levels of other materials). The highest concentration is

found in the Atacama salar, at 1.8 g/l.

Low impurity levels are desirable: Salars typically measure K/Li or Mg/Li ratios as indicators

of impurity levels. Mg and K are close to Li on the periodic table and can be difficult to

separate.

Low precipitation and high evaporation help with processing: With the salars occurring in

dry locations, the most favoured process to concentrate the brine is natural evaporation. Areas

with higher evaporation rates and lower precipitation will have higher production throughputs

and lower residence times.

FIGURE 34: YIELD IS MORE IMPORTANT THAN POROSITY

Source: Hains Engineering

FIGURE 35: WHAT MAKES A GOOD BRINE DEPOSIT?


Salar Atacama Maricunga Olaroz Hombre Muerto Cauchari

Country Chile Chile Argentina Argentina Argentina

Operator SQM, ALB, WMI BRZ, Li3 ORE FMC, GXY LAC, SQM, ORE

Lithium (g/l) 1.840 1.250 0.690 0.740 0.590

Potassium (g/l) 22.630 8.970 5.730 7.400 4.850

Magnesium (g/l) 11.740 8.280 1.660 1.020 1.420

Mg/Li (ratio) 6.400 6.630 2.400 1.400 2.430

K/Li (ratio) 12.330 7.180 8.300 9.950 8.300

K/Mg (ratio) 1.930 1.080 3.460 7.260 3.580

Elevation (m) 2,300 3,800 3,900 4,000 3,940

Precipitation (mm /yr) 20 125 100 77 223

Evaporation (mm /yr) 2,341 2,400 2,600 2,710 2,040


28 RUPERT MERER

APPENDIX 2: MANAGEMENT AND BOARD OF DIRECTORS

FIGURE 36: MANAGEMENT AND BOARD OF DIRECTORS

Source: Company Reports with NBF Analysis

David SidooPresident, CEO and

Director

Mr. David Sidoo is based in Vancouver where he oversees a private investment banking and financial management firm. Upon graduating from the University of British Columbia (UBC) in 1982, he was drafted to play professional football with the Canadian Football League. David retired from football in 1988 and was introduced to the brokerage business. From there he became a broker with Yorkton Securities where he was one of its top revenue generators. He went on to become Partner and Advisory Board Member at Yorkton Securities, consistently generating commissions that ranked in the Top Five nationally. In 1999, he left Yorkton to pursue private investment banking. He was founding shareholder of American Oil & Gas Inc. (NYSE -AEZ) which was sold to Hess Corporation in Dec 2010 for over US$630 million in an all-stock transaction. In 2008, The Vancouver Sun voted Mr. Sidoo one of the top 100 South Asians making a difference in BC. He currently sits on the Board of Governors for UBC and is one of the select few of UBC football players to be inducted into both the UBC and BC Football Hall of Fame. In 2016, David was appointed to the Order of BC, the Province’s highest form of recognition. He has also been honoured by the Government of Canada with the Queen Elizabeth II Diamond Jubilee Medal and the NRI Award, presented at the House of Lords in London, England, for his community work.

Nick Demare CFO and Director

Mr. DeMare, a chartered professional accountant, has been President of Chase Management Inc. since 1991, providing accounting, management, securities regulatory compliance and corporate secretarial services to private and public-listed companies. Mr. DeMare also serves as an officer and/or director of a number of public-listed companies. Mr. DeMare holds a Bachelor of Commerce degree from the University of British Columbia and is a member in good standing of the Institute of Chartered Accountants of British Columbia.

Callum GrantDirector and Technical

Advisor

Mr. Grant graduated with B.Sc. Honours Geology from the University of Aberdeen, Scotland in 1971 followed by an M.Eng. (Mining) degree from McGill University in 1977. He is a Registered Professional Engineer (P.Eng.) in Ontario & British Columbia, Canada, has served as Qualified Person for mineral resource and mining sign-offs and delivery of scoping through feasibility studies. Mr. Grant is fluent in Spanish and English. He has broad perspective and experience of the minerals industry from exploration to production with a focus on South America and Argentina in particular. Extensive experience in the exploration, development and production of a broad range of metalliferous and industrial commodities including lithium. Technical manager for delivery of numerous scoping, pre-feasibility, bankable feasibility, and development/operating projects to NI43-101 standards.

Miguel PeralVP Exploration and

Director

Miguel has worked as a professional geologist for more than 25 years in Greenfield exploration, geological consulting, accomplished prospector and exploration manager for numerous projects including CRA / Rio Tinto, Paramount Ventures, Mansfield Minerals, Teck Cominco, Admiralty Resources (ADY), Condor Resources, Cascadero Copper, and Orocobre. Miguel’s recent focus is lithium brine deposits with an emphasis on the discovery and development of new brine deposits including Salar de Olaroz, which is now in production. The Olaroz Salar is the world’s first new production of 20,000 tons of lithium carbonate per year. Miguel is currently a Director and General Manager of South American Salars S.A. (Company Salares Exploration of Advantage Lithium Group), Managing Partner of Salta Environmental SRL and is active in managing a large private portfolio of highly prospective mineral tenures in Chile and Argentina. In 2012, Miguel was nominated as one of the most Outstanding Geologists in Argentina.

Andy RobbVP Project

Development

Mr. Andy Robb joins as Technical Advisor, Projects. Andy brings significant senior technical and management depth to the Cauchari JV. In addition to senior roles with BHP Billiton and AMC Consulting, during the period 2013-16 Andy was VP South America and Project Director for Enirgi Group Corporation. In this role Andy had responsibility for over 200 Operational and Project staff and was instrumental in the completion of the NI43-101 compliant Definitive Feasibility Study for the Rincon lithium brine project located in Salta. Following his leadership/supervision of successful exploration campaigns (drilling and pump testing) over the study period 2013 to 2015, Measured and Indicated resources increased significantly to 3.5 Mt LCE (plus Inferred resource to 4.8 Mt LCE) for the project with 50,000tpa LCE nameplate capacity. As we move into 2018, Andy will play a key role in advancing our project through the scoping study and future engineering phases of development.

Sam PigottVP Corporate Development

Mr. Pigott was appointment as a VP of Corporate Development on March 2018. He previously served as an Associate Portfolio Manager with a Toronto-based fund covering raw materials, with a focus on lithium. Mr. Pigott has more than 8 years of experience in capital markets, specificially in mining sector. He holds an MBA from Oxford University.

Richard Seville Director

Richard joined the Board of Orocobre as Managing Director in 2007, when it was an unlisted Argentinian explorer, chaired by Neil Stuart. Richard took Orocobre through to listing on the ASX in December 2007. Richard is a mining geologist and geotechnical engineer and has over 30 years’ experience in exploration, development and production, and over 20 years in the corporate field as a Director involved in resource development funding. Richard has managed Orocobre’s growth from an explorer in Argentina to become a successful producer of lithium carbonate at the Olaroz project and he was instrumental in negotiating the Toyota Tsusho Joint Venture in 2010. He is a graduate of the Royal School of Mines and James Cook University in North Queensland and holds a Bachelor of Science Degree with Honours in Mining and Geology and a Master of Engineering Science. Richard is also a director of Leyshon Resources, a small ASX listed company.

Rick Anthon Director

Rick was appointed Joint Company Secretary on 10 March 2015. Rick is a practicing lawyer with over 30 years’ experience in both corporate and commercial law. He also has extensive experience in the resource sector, as a director of a number of resource companies and as legal adviser, including project acquisition and development, capital raising and corporate governance.


Name Position Background


RUPERT MERER 29

DISCLOSURES Ratings And What They Mean: PRIMARY STOCK RATING: NBF has a three-tiered rating system that is relative to the coverage universe of the particular analyst. Here is a brief description of each: Outperform – The stock is expected to outperform the analyst’s coverage universe over the next 12 months; Sector Perform – The stock is projected to perform in line with the sector over the next 12 months; Underperform – The stock is expected to underperform the sector over the next 12 months. SECONDARY STOCK RATING: Under Review Our analyst has withdrawn the rating because of insufficient information and is awaiting more information and/or clarification; Tender Our analyst is recommending that investors tender to a specific offering for the company’s stock; Restricted Because of ongoing investment banking transactions or because of other circumstances, NBF policy and/or laws or regulations preclude our analyst from rating a company’s stock. INDUSTRY RATING: NBF has an Industry Weighting system that reflects the view of our Economics & Strategy Group, using its sector rotation strategy. The three-tiered system rates industries as Overweight, Market Weight and Underweight, depending on the sector’s projected performance against broader market averages over the next 12 months. RISK RATING: NBF utilizes a four-tiered risk rating system, Below Average, Average, Above Average and Speculative. The system attempts to evaluate risk against the overall market. In addition to sector-specific criteria, analysts also utilize quantitative and qualitative criteria in choosing a rating. The criteria include predictability of financial results, share price volatility, credit ratings, share liquidity and balance sheet quality.

General – National Bank Financial (NBF) is an indirect wholly owned subsidiary of National Bank of Canada. National Bank of Canada is a public company listed on Canadian stock exchanges.

The particulars contained herein were obtained from sources which we believe to be reliable but are not guaranteed by us and may be incomplete. The opinions expressed are based upon our analysis and interpretation of these particulars and are not to be construed as a solicitation or offer to buy or sell the securities mentioned herein.

Research Analysts – The Research Analyst(s) who prepare these reports certify that their respective report accurately reflects his or her personal opinion and that no part of his/her compensation was, is, or will be directly or indirectly related to the specific recommendations or views as to the securities or companies.

NBF compensates its Research Analysts from a variety of sources. The Research Department is a cost centre and is funded by the business activities of NBF including, Institutional Equity Sales and Trading, Retail Sales, the correspondent clearing business, and Corporate and Investment Banking. Since the revenues from these businesses vary, the funds for research compensation vary. No one business line has a greater influence than any other for Research Analyst compensation.

Canadian Residents – In respect of the distribution of this report in Canada, NBF accepts responsibility for its contents. To make further inquiry related to this report, Canadian residents should contact their NBF professional representative. To effect any transaction, Canadian residents should contact their NBF Investment advisor.

U.S. Residents – With respect to the distribution of this report in the United States, National Bank of Canada Financial Inc. (NBCFI) is regulated by the Financial Industry Regulatory Authority (FINRA) and a member of the Securities Investor Protection Corporation (SIPC). This report has been prepared in whole or in part by, research analysts employed by non-US affiliates of NBCFI that are not registered as broker/dealers in the US. These non-US research analysts are not registered as associated persons of NBCFI and are not licensed or qualified as research analysts with FINRA or any other US regulatory authority and, accordingly, may not be subject (among other things) to FINRA restrictions regarding communications by a research analyst with the subject company, public appearances by research analysts and trading securities held a research analyst account.

All of the views expressed in this research report accurately reflect the research analysts’ personal views regarding any and all of the subject securities or issuers. No part of the analysts’ compensation was, is, or will be, directly or indirectly, related to the specific recommendations or views expressed in this research report. The analyst responsible for the production of this report certifies that the views expressed herein reflect his or her accurate personal and technical judgment at the moment of publication. Because the views of analysts may differ, members of the National Bank Financial Group may have or may in the future issue reports that are inconsistent with this report, or that reach conclusions different from those in this report. To make further inquiry related to this report, United States residents should contact their NBCFI registered representative.

UK Residents – In respect of the distribution of this report to UK residents, National Bank Financial Inc. has approved the contents (including, where necessary, for the purposes of Section 21(1) of the Financial Services and Markets Act 2000). National Bank Financial Inc. and/or its parent and/or any companies within or affiliates of the National Bank of Canada group and/or any of their directors, officers and employees may have or may have had interests or long or short positions in, and may at any time make purchases and/or sales as principal or agent, or may act or may have acted as market maker in the relevant investments or related investments discussed in this report, or may act or have acted as investment and/or commercial banker with respect thereto. The value of investments can go down as well as up. Past performance will not necessarily be repeated in the future. The investments contained in this report are not available to retail customers. This report does not constitute or form part of any offer for sale or subscription of or solicitation of any offer to buy or subscribe for the securities described herein nor shall it or any part of it form the basis of or be relied on in connection with any contract or commitment whatsoever.

This information is only for distribution to Eligible Counterparties and Professional Clients in the United Kingdom within the meaning of the rules of the Financial Conduct Authority. National Bank Financial Inc. is authorised and regulated by the Financial Conduct Authority and has its registered office at 71 Fenchurch Street, London, EC3M 4HD.. National Bank Financial Inc. is not authorised by the Prudential Regulation Authority and the Financial Conduct Authority to accept deposits in the United Kingdom.

HK Residents – With respect to the distribution of this report in Hong Kong by NBC Financial Markets Asia Limited (“NBCFMA”)which is licensed by the Securities and Futures Commission (“SFC”) to conduct Type 1 (dealing in securities) regulated activity, the contents of this report are solely for informational purposes. It has not been approved by, reviewed by, verified by or filed with any regulator in Hong Kong. Nothing herein is a recommendation, advice, offer or solicitation to buy or sell a product or service, nor an official confirmation of any transaction. None of the products issuers, NBCFMA or its affiliates or other persons or entities named herein are obliged to notify you of changes to any information and none of the foregoing assume any loss suffered by you in reliance of such information.

The content of this report may contain information about investment products which are not authorized by SFC for offering to the public in Hong Kong and such information will only be available to, those persons who are Professional Investors (as defined in the Securities and Futures Ordinance of Hong Kong (“SFO”)). If you are in any doubt as to your status you should consult a financial adviser or contact us. This material is not meant to be marketing materials and is not intended for public distribution. Please note that neither this material nor the product referred to is authorized for sale by SFC. Please refer to product prospectus for full details.

There may be conflicts of interest relating to NBCFMA or its affiliates’ businesses. These activities and interests include potential multiple advisory, transactional and financial and other interests in securities and instruments that may be purchased or sold by NBCFMA or its affiliates, or in other investment vehicles which are managed by NBCFMA or its affiliates that may purchase or sell such securities and instruments.

No other entity within the National Bank of Canada group, including NBF, is licensed or registered with the SFC. Accordingly, such entities and their employees are not permitted and do not intend to: (i) carry on a business in any regulated activity in Hong Kong; (ii) hold themselves out as carrying on a business in any regulated activity in Hong Kong; or (iii) actively market their services to the Hong Kong public.


30 RUPERT MERER

Copyright – This report may not be reproduced in whole or in part, or further distributed or published or referred to in any manner whatsoever, nor may the information, opinions or conclusions contained in it be referred to without in each case the prior express written consent of National Bank Financial.

NBF is a member of the Canadian Investor Protection Fund.

NBF quarterly ratings summary and the total ratings by month can be found on our website under Research and Analysis/Equities/About NBF Research/Quarterly Ratings Summary (link attached) http://www.nbcn.ca/cmst/site/index.jhtml?navid=803&templateID=249

The NBF Research Dissemination Policy is available on our website under Legal/Research Policy (link attached) http://www.nbcn.ca/cmst/site/index.jhtml?navid=712&templateid=243

Click on the following link to see the company specific disclosures http://www.nbcn.ca/contactus/disclosures.html

Click on the following link to see National Bank Financial Markets Statement of Policies http://nbfm.ca/en/statement-of-policies/

If a company specific disclosure is not found herein for a listed company, NBF at this time does not provide research coverage or stock rating for the company in question.

ADDITIONAL COMPANY RELATED DISCLOSURES AAL A redacted draft version of this report has been shown to the issuer for fact checking purposes and changes may have been made to the report before publication. The analyst attended a site visit to Jujuy, Argentina on November 8, 2017. A portion of the analyst's travel expenses were paid for by the issuer. LAC The analyst attended a tour of the Cauchari-Olaroz salar, the Orocobre production facility, the Advantage Lithium drill holes and LAC construction camp on Nov. 8, 2017. A portion of the analyst’s expenses were paid for by the issuer.


RUPERT MERER 31

NOTES


32 RUPERT MERER

NOTES

Research Analysts—

Ihor Danyliuk 416-869-7522Head of Research

Caroline Jukes 416-869-8039Administrative Manager

Tanya Bouchard 416-869-7934Supervisory Analyst

Research PublicationsVanda Bright 416-869-7141Manager, Publishing Services

Wayne Chau 416-869-7140Publishing Associate

Economics and Strategy Stéfane Marion 514-879-3781Chief Economist and Strategist Paul-André Pinsonnault 514-879-3795Senior Fixed Income EconomistKrishen Rangasamy 514-879-3140Senior EconomistMarc Pinsonneault 514-879-2589Senior EconomistMatthieu Arseneau 514-879-2252Senior EconomistAngelo Katsoras 514-879-6458Geopolitical Analyst

EnergyEnergy Services and Agriculture

Greg Colman 416-869-6775Assoc.: Westley MacDonald-Nixon 416-507-9568Assoc.: Michael Storry-Robertson 416-507-8007

Junior & Intermediate Oil and Gas

Dan Payne 403-290-5441Associate: Mitch Mastel 403-441-0952Associate: Andrew Nguyen 403-290-5445

Brian Milne 403-290-5625Associate: Brad Lenz 403-441-0928

Large Cap Oil and Gas

Travis Wood 403-290-5102Associate: John Hunt 403-441-0955Associate: Alex Reid 403-290-5627

Pipelines, Utilities & Energy Infrastructure

Patrick Kenny 403-290-5451Associate: Dave Nielsen 403-355-6643Associate: Chris Chow 403-290-5624

Banking, Insurance & Diversifi ed FinancialsGabriel Dechaine 416-869-7442Associate: Ganesh Kannan 416-507-9555Associate: Mateen Latif 416-507-8006

Jaeme Gloyn 416-869-8042Associate: Victor Dri 416-869-7495

Healthcare & BiotechnologyEndri Leno 416-869-8047Associate: Ammar Shah 416-869-7476

Industrial Products Maxim Sytchev 416-869-6517Associate: Adam Staszewski 416-869-7937Associate: Troy Sun 416-869-6754

Merchandising & Consumer ProductsVishal Shreedhar 416-869-7930Associate: Ryan Li 416-869-6767

Metals & MiningShane Nagle 416-869-7936Associate: Lola Aganga 416-869-6516Associate: Alex Bauer 416-869-7535

Mike Parkin 416-869-6766Associate: John Sclodnick 416-869-8044Associate: Jonathan Egilo 416-507-8177

Don DeMarco 416-869-7572Associate: Rabi Nizami 416-402-1260Associate: Towaki Dojima 416-869-8045

Real EstateMatt Kornack 416-507-8104Associate: Hussam Maqbool 416-507-8108

Tal Woolley 416-507-8009Associate: Salman Chattha 416-507-8102

Special SituationsLeon Aghazarian 514-879-2574Associate: Karim Meneeim 514-390-7825Associate: Zachary Evershed 514-412-0021

Sustainability & Clean Tech Rupert Merer 416-869-8008Associate: Steven Hong 416-869-7538Associate: Adnan Waheed 416-869-6763

Technology Richard Tse 416-869-6690Associate: Andrew McGee 416-869-8049Associate: Steven Walt 416-869-7938

Telecom, Media & GamingAdam Shine 514-879-2302Associate: Ahmed Abdullah 514-879-2564Associate: Luc Troiani 416-869-6585

Transportation & Industrials Cameron Doerksen 514-879-2579Associate: Umayr Allem 416-869-8577

Technical AnalysisDennis Mark 416-869-7427

ETFs & Financial Products Daniel Straus 416-869-8020Ling Zhang 416-869-7942Associate: Linda Ma 416-507-8801Associate: Tiff any Zhang 416-869-8022

Branches—

InternationalNBF Securities UK(Regulated by The Financial Services Authority)71 Fenchurch Street, 11th floorLondon, England EC3M 4HDTel.: 44-207-680-9370Tel.: 44-207-488-9379

New York65 East 55th Street, 31st FloorNew York, NY 10022Tel.: 212-632-8610

National Bank of Canada Financial Inc.New York65 East 55th Street, 34th FloorNew York, NY 10022Tel.: 212-546-7500

Member of Montreal Exchange Toronto Stock Exchange Winnipeg Commodities Exchange Securities Industry Association CNQ Investment Dealers Association of Canada Canadian Investor Protection Fund Securities Investor Protection Corporation

Ancaster • 911, Golf Links Road, Suite 201, Ancaster, ON, L9K 1H9 • 905-648-3813Baie-Comeau • 337, boulevard Lasalle, Baie-Comeau, QC, G4Z 2Z1 • 418-296-8838 Barrie • 126 Collier Street, Barrie, ON, L4M 1H4 • 705-719-1190Beauce • 11505, 1re Avenue est, Bureau 100, St-Georges, QC, G5Y 7X3 • 418-227-0121Berthierville • 779, rue Notre-Dame, Berthierville, QC, J0K 1A0 • 450-836-2727Bin-Scarth • 24 Binscarth Rd, Toronto, ON, M4W 1Y1 • 416-929-6432Brampton • 10520 Torbram Road (at Sandalwood Parkway), Brampton, ON, L6R 2S3 • 905-456-1515Brandon • 633-C, 18th Street, Brandon, MB, R7A 5B3 • 204-571-3200Calgary • 239 8th Ave., SW, Suite 100, Calgary, AB, T2P 1B9 • 403-476-0398Calgary - Southport • 10655 Southport Road SW, Suite 1100, Southland Tower, Calgary,AB, T2W 4Y1 • 403-301-4859Charlottetown • BDC Tower, 310-119 Kent Street, Charlottetown, PEI, C1A 1N3 • 902-569-8813Chatham • 380 St. Clair, Street, Chatham, ON, N7L 3K2 • 519-351-7645Chicoutimi • 1180, boulevard Talbot, Suite 201, Chicoutimi, QC, G7H 4B6 • 418-549-8888DIX30 • 9160, boulevard Leduc, Bureau 710, Brossard, QC, J4Y 0E3 • 450-462-2552Drumheller • 356 Centre Street, PO Box 2176, Drumheller, AB, T0J 0Y0 • 403-823-6857Drummondville • 150, rue Marchand, Bureau 401, Drummondville, QC, J2C 4N1 • 819-477-5024Duncan • 2763 Beverly Street, Suite 206 Duncan,BC, V9L 6X2 • 250-715-3050Edmonton • 10175 – 101 Street NW, Suite 1800, Edmonton, AB, T5J 0H3 • 780-412-6600Edmonton-North • 10088-102 Avenue, Suite 903, TD Tower, Edmonton, AB, T5J 2Z1 • 780-421-4455Eglinton • 295 Eglinton Avenue East, Delaware Square, Mississauga, ON, L4Z 3K6 • 905-507-4883 Fredericton • 551 King Street, P.O. Box 252, Suite B, Fredericton, NB, E3B 1E7 • 506-453-9040Gatineau • 920, St-Joseph, Bureau 100, Hull-Gatineau, QC, J8Z 1S9 • 819-770-5337Granby • 150, rue St-Jacques, Bureau 202, Granby, QC, J2G 8V6 • 450-378-0442GTA North • 9130 Leslie Street, suite 200, Richmond Hill, ON, L4B 0B9 • 416-756-4016Halifax • Purdy's Wharf Tower II, 1969 Upper Water Street, Suite 1601, Halifax, NS, B3J 3R7 • 902-496-7700Halifax-Spring Garden • 5670 Spring Garden Road, Suite 901, Halifax, NS, B3J 1H6 • 902-425-1283Joliette • 40, rue Gauthier Sud, Bureau 3500, Joliette, QC, J6E 4J4 • 450-760-9595Kelowna • Suite 500 - 1632 Dickson Avenue, Kelowna, BC, V1Y 7T2 • 250-717-5510Kentville • 402 Main Street, Kentville, NS, B4N 3X7 • 902-679-0077Kingston • 2628 Princess Street, Kingston, ON, K7P 2S8 • 613-544-0939La Pocatière • 608 C, 4e Avenue Painchaud, La Pocatière, QC, G0R 1Z0 • 418-856-4566Lac-Mégantic • 3956, rue Laval, suite 100, QC, G6B 2W9 • 819-583-6035Laval • 2500, boulevard Daniel Johnson, Bureau 610, Laval, QC, H7T 2P6 • 450-686-5700Lethbridge • 404, 6th Street South, Lethbridge, AB, T1J 2C9 • 403-388-1900Lévis • 1550, boulevard Alphonse-Desjardins, Bureau 110, Lévis, QC, G6V 0G8 • 418-838-0456 London • 333 Duff erin Avenue, London, ON, N6B 1Z3 • 519-439-6228London-City Centre • 802-380 Wellington Street, London, ON, N6A 5B5 • 519-646-5711Metcalfe • 1155, rue Metcalfe, Suite 1450, Montréal, QC, H3B 2V6 • 514-879-4825Mississauga • 350, Burnhamthorpe road West, Suite 603, Mississauga, ON, L5B 3J1 • 905-272-2799Moncton • 735 Main Street, Suite 300, Moncton, NB, E1C 1E5 • 506-857-9926Mont Saint-Hilaire • 436, boulevard Sir-Wilfrid-Laurier, Suite 100, Mont Saint-Hilaire, QC, J3H 3N9 • 450-467-4770Mont-Laurier • 906, Albiny-Paquette, Mont-Laurier, QC, J9L 1L4 • 819-623-6002Montréal 5 • 1155, rue Metcalfe, Bureau 1438, Montréal, QC, H3B 4S9 • 514-843-3088Montréal International • 1155, rue Metcalfe, Suite 1438, Montréal, QC, H3B 4S9 • 514-879-5287Montréal L'Acadie • 9001, boulevard de l’Acadie, Bureau 802, Montréal, QC, H4N 3H5 • 514-389-5506Montréal Siège Social • 1155, rue Metcalfe, 23e étage Montréal, QC, H3B 4S9 • 514-879-2512Nanaimo • 75 Commercial Street, Nanaimo, BC, V9R 5G3 • 250-754-1111North Bay • 680 Cassells Street, Suite 101, North Bay, ON, P1B 4A2 • 705-476-6360Oak Bay • #220 - 2186 Oak Bay Avenue, Victoria, BC, V8R 1G3 • 250-953-8400Oakville - Robinson St. • 105 Robinson Street, Oakville, ON, L6J 1G1 • 905-842-1925Ottawa • 50 O'Connor Street, Suite 1602, Ottawa, ON, K1P 6L2 • 613-236-0103Outremont • 1160, boulevard Laurier Ouest, App. 1, Outremont, QC, H2V 2L5 • 514-276-3532

Peterborough • 201 George Street North, suite 401, Peterborough, ON, K9J 3G7 • 705-740-1110Plessisville • 1719, rue St-Calixte, Plessisville, QC, G6L 1R2 • 819-362-6000Pointe-Claire • 1, rue Holiday, Tour est, Suite 145, Pointe-Claire, QC, H9R 5N3 • 514-426-2522PVM Montréal • 1, Place Ville-Marie, Bureau 1700, Montréal, QC, H3B 2C1 • 514-879-5200Québec • 500, Grande-Allée Est, Bureau 400, Québec, Qc, G1R 2J7 • 418-649-2525Québec - Sainte-Foy • Place de la Cité, 2600, boulevard Laurier, Bureau 700, Québec, QC, G1V 4W2 • 418-654-2323Red Deer • 4719 48th Avenue, Suite 200, Red Deer, AB, T4N 3T1 • 403-348-2600Regina • 1770-1881 Scarth Street, 17th Floor, McCallum Hill Centre - Tower II, Regina, SK, S4P 4K9 • 306-781-0500Repentigny • 534, rue Notre-Dame, Bureau 201, Repentigny, QC, J6A 2T8 • 450-582-7001Richmond • 135-8010 Saba Road, Richmond, BC, V6Y 4B2 • 604-658-8050Richmond Hill • 500 Highway 7 East, Gr. Floor, Richmond Hill, ON, L4B 1J1 • 905-477-2002Rimouski • 127, boulevard René-Lepage Est, Bureau 100, Rimouski, QC, G5L 1P1 • 418-721-6767Rivière-du-Loup • 10, rue Beaubien, Rivière-du-Loup, QC, G5R 1H7 • 418-867-7900 Rouyn-Noranda • 104, 8e rue, Rouyn-Noranda, QC, J9X 2A6 • 819-762-4347Saint John • 72 Prince William Street, Saint John, NB, E2L 2B1 • 506-642-1740Sainte-Marie-de-Beauce • 249, Du Collège, Bureau 100, Ste-Marie, QC, G6E 3Y1 • 418-387-8155Saint-Félicien • 1120, boulevard Sacré-Cœur, Saint-Félicien, QC, G8K 1P7 • 418-679-2684Saint-Hyacinthe • 1355, rue Johnson, Suite 4100, Saint-Hyacinthe, QC, J2S 8W7 • 450-774-5354Saint-Jean-sur-Richelieu • 395, boul. du Séminaire Nord, Suite 201, Saint-Jean-sur-Richelieu, QC, J3B 8C5 • 450-349-7777Saint-Jérôme • 265, rue St-George, Suite 100, Saint-Jérôme, QC, J7Z 5A1 • 450-569-8383Saskatoon - 8th St. • 1220 8th Street East, Saskatoon, SK, S7H 0S6 • 306-657-3465Saskatoon - Downtown • 410-22nd Street East, Suite 1360, Saskatoon Square, Saskatoon, SK, S7K 5T6 • 306-657-4400Sept-Îles • 805, boulevard Laure, Suite 200, Sept-Îles, QC, G4R 1Y6 • 418-962-9154Shawinigan • 602, avenue de Grand-Mère, 2e étage, Shawinigan, QC, G9T 2H5 • 819-538-8628Sherbrooke • 1802, rue King Ouest, Suite 200, Sherbrooke, QC, J1J 0A2 • 819-566-7212Sidney • 2537, Beacon Avenue, Suite 205, Sidney, BC, V8L 1Y3 • 250-657-2200Sorel • 26, Pl. Charles-de-Montmagny, Suite 100, Sorel , QC, J3P 7E3 • 450-743-8474 St. Catharines • 40 King Street, St. Catharines, ON, L2R 3H4 • 905-641-1221Sudbury • 10 Elm Street, Suite 501, Sudbury, ON, P3C 1S8 • 705-671-1160Thedford Mines • 222, boulevard Frontenac Ouest, bureau 107, Thedford Mines, QC, G6G 6N7 • 418-338-6183Thunder Bay • Hydro BLG 34 Cumberland Street North, 7th Fl., Thunder Bay, ON, P7A 4L3 • 807-683-1777Toronto 1 • Exchange Tower, 130 King Street West, Suite 3200, Toronto, ON, M5X 1J9 • 416-869-3707 Toronto Downtown • 121 King Street West, Toronto, ON, M5H 3T9 • 416-864-7791Trois-Rivières • 7200, rue Marion, Trois-Rivières, QC, G9A 0A5 • 819-379-0000Val d'Or • 840, 3e avenue, Val d'Or, QC, J9P 1T1 • 819-824-3687Valleyfi eld • 1356, boulevard Monseigneur-Langlois, Valleyfi eld, QC, J6S 1E3 • 450-370-4656Vancouver - Bentall V • 550 Burrard Street, Suite 1028, Vancouver, BC, V6C 2B5 • 604-685-6371Vancouver - Broadway • 1333 West Broadway Avenue, Suite 1488, Vancouver, BC, V6H 4C1 • 604-738-5655Vancouver - PB1859 • 1076 Alberni Street, Suite 201, Vancouver, BC, V6A 1A3 • 778-783-6420Vancouver 1 • Park Place, 666 Burrard Street, Suite 3300, Vancouver, BC, V6C 2X8 • 604-623-6777 Vancouver 2 • Park Place, 666 Burrard Street, Suite 3300, Vancouver, BC, V6C 2X8 • 604-643-2774 Vernon • 3100-30th Avenue, Suite 101, Vernon, BC, V1T 2C2 • 250-260-4580Victoria • 700-737 Yates Street, Victoria, BC, V8W 1L6 • 250-953-8400Victoria - Fort • 1480 Fort Street, Victoria, BC, V8S 1Z5 • 250-475-3698Victoriaville • 650, boulevard Jutras Est, Bureau 150, Victoriaville, QC, G6S 1E1 • 819-758-3191Waterloo • 180 King Street South, Suite 340 Allen Square, Waterloo, ON, N2J 1P8 • 519-742-9991West Vancouver • Suite 202, 545 Clyde Avenue, West Vancouver, BC V7T 1C5 • 604-925-5640White Rock • 2121 160th Street, Surrey, BC, V3Z 9N6 • 604-541-4925Windsor • 1 Riverside Drive West,Suite 600, Windsor, ON, N9A 5K3 • 519-258-5810Winnipeg • 200 Waterfront Drive, Suite 400, Winnipeg, MB, R3B 3P1 • 204-925-2250Yorkton • 89 Broadway Street West, Yorkton, SK, S3N 0L9 • 306-782-6450

Date post:	31-Mar-2020
Category:	Documents
Upload:	others
View:	0 times
Download:	0 times

ADVANTAGE LITHIUM CORP.Mar 26, 2018 · AAL’s Cauchari project is located adjacent to Lithium...

Documents