• Higher brine grades - 249 mg/L Design Basis
• DLE technology improvements
• New high-quality resource and reserve data

The DFS Addendum for Lake Resources' Kachi project incorporates several positive updates that have improved the project's economics and reduced execution risk. Key improvements include: higher brine grades with an average lithium concentration increased from 205 mg/L to 249 mg/L, enabling more efficient lithium extraction; transition to Lilac's Gen4 Ion Exchange (IX) technology, which has increased recovery rates from ~80% to ~90%, greater throughput, longer IX media lifecycle, and fewer IX modules required, resulting in a 39% lower DLE Capex and 40% lower DLE Opex; a ~22% reduction in the number of wells, representing 35% and 44% improvement in well Capex and Opex, respectively; a ~50% reduction in the number of DLE modules; and a ~15-20% reduction in plant footprint. These improvements have led to a 16% reduction in Capex compared to the original DFS, with Capex now estimated at US$1,157M. Opex has also improved, with an estimated US$5,895/t LCE, one of the lowest on the industry cost curve. The project's robust financials include an estimated NPV10% of US$1,469M pre-tax and US$1,011M post-tax, and an IRR of 22.5% pre-tax and 19.7% post-tax. The DFS Addendum also reduces execution risk through various de-risking measures, including a transition to a single-phase construction approach, a better-understood and technically viable power solution, and the incorporation of Lilac's next-generation DLE technology.

The DFS Addendum estimates a Capex of US$1,157M and an Opex of US$5,895/t LCE based on Benchmark Mineral Intelligence's Q2 2025 average price of ~US$20,500/t for battery grade lithium carbonate over the life of mine.

Lake Resources is focused on obtaining EIA approval, completing the Kachi strategic review, continuing to optimize technical and commercial power solutions, and working towards a final investment decision in 2025.