Press Release by Jadar Lithium on Initial Reconnaissance Sampling on the Eastern Alps Lithium Satellite Projects of Austria and Serbian Update

Highlights

-          High-grade lithium assays of up to 3.88% Li2O turned from initial rock chip samples taken during Jadar Lithium’s initial field activities at the newly‐acquired lithium projects in Austria.

-          Project is located at the Eastern Alps close to European Lithium’s Wolfsberg Project which comprise the JORC compliant 10.98MT @ 1.00% Li2O.

-          These early stage results provide strong indications that the high‐grade lithium mineralization within the Eastern Alps is similar to that seen at the Wolfsberg Project owned by European Lithium.

-          Follow up sampling program targets extension of spodumene bearing pegmatite “swarms” along strike.

March 14, 2019 - Luke Martino, Non-Executive Chairman of the Board said “The  results from the initial rock chip sampling of pegmatite satellite projects in Austria were extremely encouraging, clearly demonstrating the potential for the projects to host very high‐grade lithium mineralization in the area surrounding European Lithium’s Wolfsberg deposit. While this in no way diminishes the potential of the Weinebene project which is still the main focus of our upcoming exploration efforts – the grade and potential of new lithium discovery is something we simply cannot ignore. Initial sampling has confirmed that this is a very large and potentially transformational exploration opportunity for the Company,” he said.

Jadar Lithium Limited (ASX: JDR) (Jadar Lithium or the Company) has received the assays results of the initial reconnaissance rock chips sampling program which was recently completed on its 80% owned Austrian satellite lithium exploration projects located in South and South Eastern Austria. These assay results are in respect of satellite lithium exploration projects consisting of 75 exploration permits “Freischurf” (39 permits acquired from Exchange Minerals as reported on 4 February 2019 and an additional 36 permits acquired directly from the Ministry), which together cover a total area of 36.63 km2 issued by Federal Ministry for Sustainability and Tourism of Austria (Figure 1 - 7).

Figure 1 - 7. License status maps showing sampling location with lithium grades (Overview map shown in Figure 8 below)

Geology

The lithium deposits of the type being explored in Austria are typically found in the form of spodumene - bearing pegmatite vein type deposits hosted by Paleozoic metamorphic formations predominantly mica schist, amphibolite and marbles. There is no evidence that pegmatites occurred in the Eastern Alps are related to granite plutons and it is believed that pegmatites are formed as a result of crustal melting (anatexis) chemistry and that lithium enriched fluids are formed during high-grade regional metamorphism (higher amphibolite to lower eclogite facies). Spodumene mineralization occurs in the form of a fine to coarse-grained mineralization associated with quartz, feldspar and muscovite. There has also been no  previous  lithium exploration on outcroping pegmatite; however, initial reconnaissance rock chips sampling has recorded lithium high-grade multiple spodumene bearing pegmatites.

Figure 8. Regional location map showing sampling location with highest lithium grades

Rock sampling

The Company initiated the technical due diligence program by initial reconnaissance rock sampling within the eastern Alps, with the objective of determining the spodumene bearing pegmatites and their grades.

The Company’s technical consultants collected 70 rock chips samples from numerous outcropping pegmatites. Initial pegmatite outcrops sampling results returned high-grade Li2O values with the highest value returning 3.88% Li2O and the average value over the 70 samples being 1.54% Li2O.

Figure 9 - Field samples with large spodumene crystals (up to 10 cm) embedded int qtz-feldspar matrix. Figure left sample 75065 2.91% Li20, Figure right sample 75091 2.06% Li2O.

Planned work

Due to the initial and encouraging assays results returned with high-grade Li2O values, the Company plans to conduct detail mapping and soil sampling to define trenching and drilling targets for  2019.

Serbian Projects Update

Jadar Lithium has reviewed all data from the Serbian projects held by the Company.  It has become apparent that in order to focus the Company’s resources, Krajkovac and Bukulja will be relinquished (totaling approximately 70km2) in accordance with local mining laws.  The remaining projects in Serbia are Cer, Rekovac and Vranje-South (totaling approximately 259km2) where further sampling will be carried out.

ENDS

Further Enquiries

Luke Martino

Non-Executive Chairman

Tel: +61 8 6489 0600

E: luke@jadarlithium.com.au

Competent Person Statement

The information in this release that relates to Exploration Results is based on information prepared by Dr Thomas Unterweissacher, EurGeol, MAusIMM. Dr Unterweissacher is a licensed Professional Geoscientist registered with European Federation of Geologists and based in Hochfilzen, Austria and The Australasian Institute of Mining and Metallurgy European Federation of Geologists and The Australasian Institute of Mining and Metallurgy are a Joint Ore Reserves Committee (JORC) Code ‘Recognized Professional Organization’ (RPO). An RPO is an accredited organization to which the Competent Person (CP) under JORC Code Reporting Standards must belong in order to report Exploration Results, Mineral Resources, or Ore Reserves through the ASX. Dr Unterweissacher has sufficient experience which is relevant to the style of mineralization and type of deposit under consideration and to the activity which they are undertaking to qualify as a CP as defined in the 2012 Edition of the JORC Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves. Dr Unterweissacher consents to the inclusion in the release of the matters based on their information in the form and context in which it appears. Dr Unterweissacher is a consultant to the Company and holds shares in Jadar Lithium Limited.

Disclaimer

Certain statements included in this release constitute forward looking information. This information is based upon a number of estimates and assumptions made on a reasonable basis by the Company in light of its experience, current conditions and expectations of future developments, as well as other factors that the Company believes are appropriate in the circumstances. While these estimates and assumptions are considered reasonable, they are inherently subject to business, economic, competitive, political and social uncertainties and contingencies, many of which are difficult to predict and generally beyond the control of the Company, that could cause actual results to differ materially from those expressed in, or implied or projected by, the forward-looking information and statements. Whilst the Company considers all the material assumptions to be based on reasonable grounds, there is no certainty that they will prove correct or that the outcomes indicated in the announcement will be achieved.

Forward-looking statements are statements that are not historical facts. Words such as “expect(s)”, “feel(s)”, “believe(s)”, “will”, “may”, “anticipate(s)”, “potential(s)”and similar expressions are intended to identify forward-looking statements. These statements include, but are not limited to statements regarding future production, resources or reserves and exploration programs and results. Many factors could cause the Company’s actual results to differ materially from those expressed or implied in any forward-looking information provided by, or on behalf of, the Company. Such factors include, among other things, risks relating to lithium and other commodity prices and currency fluctuations; exploration risks; risks relating to the interpretation of exploration, sampling, drill results, the geology, grade and continuity of mineral deposits and conclusions of economic evaluations, development risks, operating risks; competition; time delays, regulatory restrictions; environmental harm and liability and additional funding requirements. Further, despite the Company having attempted to identify all material factors that may cause actual results to differ, there may be other factors that cause results not to be as anticipated, estimated or intended. Forward-looking information is no guarantee of future performance and, accordingly, investors are cautioned not to put undue reliance on forward-looking information due to the inherent uncertainty therein. Forward-looking information is made as at the date of this release (or as otherwise specified) and except as required by applicable law the Company does not undertake any obligation to update publicly such forward-looking information, whether as a result of new information, future events or results or otherwise

Table 1. Rock Chips Samples - Batch No LR18301080

JORC Table 1.  This table applies to the Austrian lithium satellite project work program

Section 2 Reporting of Exploration Results

(Criteria listed in the preceding section also apply to this section.)