Xantippe Resources : Exercise of Option to Acquire Rita & Rita I Tenements

22 April 2022

Xantippe confirms development path in Lithium Triangle through the exercise of option to acquire Rita and Rita I

HIGHLIGHTS

•  Option to acquire Rita and Rita I tenements at the Carachi Pampa Lithium Project exercised

•  Rita and Rita I cover over 6,000ha on Carachi Pampa salt flat directly north east of Lake Resources (ASX:LKE)

•  Drilling by Lake Resources (ASX: LKE) on the area surrounding the Rita and Rita I properties, reports lithium rich brine, just 0.5 kilometres away from the areas under consideration

•  Limited exploration work has been carried out at the properties; no drilling to date

•  Exploration activities expected to commence in Q3 2022

Xantippe Resources Limited (ASX: XTC) (Xantippe, XTC, or the Company) is pleased to advise it has exercised its option to acquire the Rita and Rita I tenements, part of the Company's broader Carachi Pampa Lithium Project (Carachi) situated in the Lithium Triangle of Argentina.

Xantippe Resources Managing Director, Richard Henning, commented:

"In exercising the option to acquire both Rita and Rita I, Xantippe is one step closer to realising our vision to become a lithium brine producer in the heart of the prolific Lithium Triangle of South America. We are delighted to have acquired such high quality projects, located next to Tier One clean lithium developers. Following the finalisation of the remaining tenement options, we will commence exploration activities. We look forward to keeping shareholders updated on our progress."

Rita and Rita 1 ‐ Carachi Pampa Lithium Project

The target is a paleo salt flat and lithium brine at depths of 180‐200m and 140‐230 mgLi/l, covering 9,100 hectare and is suitable for Direct Lithium Exchange processing (DLE).

The Carachi Pampa Lithium Project comprises the Rita and Rita I properties, which cover over 6,000ha on Carachi Pampa salt flat north of Lake Resources' (ASX:LKE) project in Catamarca Province, Argentina. Both are located within the Carachi basin and the main outcropping units are alluvial fan and recent thin lava flows. The presence of a paleo salar at depth is backed up by the available information in the area.

The lithium brine target in Carachi Pampa is a paleo salar found at depth and which continues under a more recent alluvial fan cover to the northeast of licences currently owned by Lake Resources. Many tenements in this area are in the salt lake and are prone to flooding whereas the XTC target areas are covered by alluvial fans and easy to access.

Figure 1: Carachi Pampa Licences

Figure 2: Geomorphological units showing alluvial cover and continuation of brine saturated level (subject areas in red). Wells confirming Li bearing brine in blue.

Figure 3: VES profile southwest of Rita I area showing conductive zone (pink) that continues into target areas.

The acquisition consists of two rectangular mining properties known as Rita (3,000 hectares) and Rita I (3,000 hectares), which are registered to Fabiana Rita Ramos. The properties are duly registered at the Juzgado Electoral y de Minas of Catamarca. Both properties are free and clear from any liens, charges, or encumbrances. XTC has signed an agreement which gives XTC the right to enter Exploration and Purchase Agreements - the subject of satisfactory completion of due diligence and making a series of payments set forth in the offer agreement (refer ASX release 29 November 2021).

Historical exploration for lithium was conducted in the Carachi Pampa basin by Marifil Mines Ltd (2009), Eramet (2012), Lithium South (former NGR Metals Inc., 2016‐19) and later Lake Resources (2016 onwards). The conceptual model of a paleo‐salar has been confirmed at depth by wells drilled up to 400m. Lake Resources has completed a PFS for a DLE project (25,500 tpa LCE) based on over 3,000m of drilling, 15 holes and 1 million tonnes at 290mg/L Lithium (Indicated) and 3.4M tonnes @210mg/L lithium (Inferred) (ASX: LKE 27 November 2018).

The properties under considerations have not been subject of exhaustive exploration activities, only a small portion of Rita I was covered by Eramet survey. No drilling has been performed in the properties. An affidavit for mining prospecting at the Rita & Rita I properties has been submitted. This statement allows surface tasks such as geological mapping, rock chip sampling, auger sampling and surface geophysical work. This statement is valid until 13 April 2022 and an extension has been submitted.

No environmental impact reports (IIA) for drilling have yet been submitted to the Mining Environmental Authority of the Province of Catamarca for either Rita or Rita I. The IIA is required for exploration of lithium brine (drilling) and will be submitted to obtain the "Declaración de Impacto Ambiental" ("DIA"). The DIA constitutes the permit for drilling, pilot plant, etc.

Geophysical surveys and historical information suggest a northeast structure affecting the structuralsetting of the properties hence a comprehensive geophysical survey will be carried out to determine the subsurface structure and define drilling targets. This survey will cover the properties to evaluate the existence of the geo electric units already identified in the basin and the general structure.

Xantippe, through its subsidiary Arlupo SA will establish the company in Catamarca, present the company and project to the government authorities and communities, evaluate the purchase of available geophysics, carry out a geophysical survey on the properties and evaluate to start the IIA studies to drill regarding the geophysical survey results.

About the Carachi Pampa Lithium Project

The lithium brine target in Carachi Pampa is a paleo salar found at depth and which continues under recent alluvial fan cover to the northeast and west of tenements currently owned by Lake Resources whose concessions are over the centre and southern extensions of the Carachi pampa salt lake. The two concessions offered by Arlupo are located to the north east of the Lake Resources concessions.

The LKE resources of 4.4 million tons LCE were defined after studying an area of 172 Km2 with 14 wells and includes a pyroclastic complex (ASX: LKE 27 November 2018). The Lake Resources PFS is on its Kachi project.

The resource estimate at Kachi is reported as 1M tonnes at 290mg/L Lithium (Indicated) and 3.4M tonnes @210mg/L lithium (Inferred) (ASX: LKE 27 November 2018).

Kachi lithium brine is hosted in a 700‐800m deep depression filled with brine salt water, salts, capped by salt crust and small lake.

The Carachi pampa salt lake is rhomboidal in shape with a NW‐SE axis and covers a known surface area of about 135km2. The salt lake area is bounded to the east and west by NNE‐SSW trending mountain range. The target area is over 95Km2 offering potential to host similar resources to surrounding reserves; expanding the footprint in the salt flat will grow to a bigger project. The Xantippe local partners are already starting negotiations to study more areas in the salt flat.

It is anticipated that Carachi Pampa may possibly host a feasible project and by working in collaboration with Arecco Ingenieria, a significant shareholder in Xantippe, the Company is confident to secure further deal flow from the Argentinian portion of the South American Lithium Triangle.

The target area is a proven paleo salt flat with lithium brine potential. XTC currently has option agreements covering 12,400 Ha suitable for Direct Lithium Exchange processing (DLE) (Tenements) and is part of an XTC strategy to acquire 17,000 Ha within the Catamarca region.

The Rita and Rita I properties cover over 6,000ha on the Carachi Pampa salt flat north east of Lake Resources' project. Both are located within the Carachi basin and the main outcropping units are alluvial fan and recent thin lava flows.

The La Sofia property lies some 200 metres south of Rita and will add another 3,000ha to the Xantippe land package. La Sofia geological structure is expected to be the continuation of Rita. This represents a unique opportunity to extend Xantippe's footprint in the Salt Flat and improve the feasibility of a Direct Lithium Exchange (DLE) project.

The Luz Maria property covers over 3,383Ha on Carachi Pampa salt flats adjacent to Lake Resources' project (ASX:LKE) also in Catamarca Province. It lies in the centre of the Carachi basin and the main

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