Argentina’s Changes Have Limited Impact on Lake Resources

• Argentina has announced restrictions on travel and movements of non-essential personnel
• The impact on Lake’s operations is limited with field camps having been reduced in line with the guidelines
• Lake’s current focus is on the pilot plant in the USA for the production of lithium chloride for conversion into high purity, battery grade lithium carbonate

Lithium explorer and developer Lake Resources NL (ASX: LKE) has announced that the impact is limited on the operations of Lake’s subsidiaries due to the new restrictions on travel and movements set out recently by the government in Argentina. On 20 Mar 2020, due to a potential health crisis created by COVID-19, the Argentine government released social isolation guidelines (Decreto N° 297/2020), which includes the restriction of movement of people and goods until 31 March 2020, with a number of exemptions, such as fuel and supplies.

Lake’s focus has been on progressing of lithium brine samples from Lake’s Kachi Lithium Brine Project in Argentina using its U.S. technology partner Lilac Solutions’ direct extraction ion exchange pilot plant module in Oakland, California. Lilac will process the brine to produce high-purity lithium chloride for conversion to battery- grade lithium carbonate for prospective off-takers. COVID-19 restrictions may delay this delay this process.

Argentina has previously announced incentives to support the lithium sector and the oil & gas sector via presidential commentary on 1 March and 3 March 2020. It is the company’s intention to follow up on the possibilities available to assist in future financing for construction.

WATCH: Lake Resources CEO Stephen Promnitz: Drilling Could Double or Triple the Kachi Resource

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