Standard Lithium Signs Letter of Intent with Koch Minerals

Key points:

  • Develop a market-based pricing mechanism for Koch Minerals & Trading to obtain drawdowns from the company’s Southwest Arkansas project
  • Leverage Koch’s global sourcing capabilities to assist in sourcing key raw materials
  • The Letter of Intent will not affect the Company’s existing or proposed arrangements with LANXESS.

VANCOUVER, British Columbia, Jan. 25, 2022 (GLOBE NEWSWIRE) — Standard Lithium Ltd. (“Standard Lithium” or the “Company”) (TSXV: SLI) (NYSE.A: SLI) (FRA: S5L), an innovative technology and lithium project development company, has signed a letter of intent (“Letter of Intent”) with Koch Minerals & Trading LLC (“KM&T”) for the purchase of lithium chemicals and the supply of essential raw materials. The primary objective of the LOI is to develop a market-based pricing mechanism for KM&T to source lithium hydroxide (and other lithium-based chemicals) produced by Standard Lithium from the project. South West Arkansas (see November 26 press releaseand 2021). KM&T is also expected to help the company efficiently source key raw materials and chemical reagents by leveraging Koch’s expertise, networks and global scale.

With respect to future chemical lithium offtakes, this does not affect existing or proposed offtake agreements with LANXESS related to the proposed future commercial plant(s) at their operating facilities.

Koch is a significant investor in Standard Lithium, and we are excited to develop this strategic relationship. Developing a market-based pricing structure with KM&T on our Southwest Arkansas project will allow the company to benefit from the high prices expected for lithium chemicals over the next decade and beyond. of the,said Robert Mintak, CEO of Standard Lithium. “In addition, the ability to leverage KM&T’s extensive raw materials purchasing and trading capabilities to optimize the price, quality and quantity of reagents needed to operate the plants in the future, which is significant both for funding these projects and for their successful operation.

KM&T is focused on applying its existing sales, marketing and logistics capabilities to lithium and other critical materials of the future. These capabilities help producers optimize the supply of key raw materials and the marketing of valuable finished products. We are excited about the strategic relationship with Standard Lithium and believe our combined capabilities will create superior value across the lithium value chain,said Jon Chisholm, vice president of business development at KM&T.

Standard Lithium’s flagship project, located in southern Arkansas, is testing and proving the commercial viability of mining lithium from more than 150,000 acres of licensed brine operations. Standard Lithium’s technology-driven approach to developing sustainable projects sets it apart from other lithium mining companies. Its state-of-the-art DLE “LiSTR” process is key to unlocking a globally significant Smackover lithium resource that is fast, efficient and environmentally friendly.

About Standard Lithium Ltd.

Standard Lithium is an innovative lithium technology and development company. The company has commissioned its first utility-scale direct lithium extraction demonstration plant at the Lanxess South Plant in southern Arkansas. The demonstration plant uses the company’s proprietary LiSTR technology to selectively extract lithium from Lanxess tail brine. The demonstration plant is used for proof of concept and commercial feasibility studies. The scalable, environmentally friendly process eliminates the use of evaporation ponds, reduces processing time from months to hours, and dramatically increases efficient lithium recovery. The Company is also pursuing resource development of more than 30,000 acres of separate brine leases located in southwest Arkansas, referred to as the Southwest Arkansas Lithium Project, and approximately 45,000 acres of mining claims located in the Mojave Desert of San Bernardino County, California.

Standard Lithium is jointly listed on the TSX Venture Exchange and the NYSE American under the symbol “SLI”; and on the Frankfurt Stock Exchange under the symbol “S5L”. Please visit the Company’s website at https://www.standardlithium.com.

On behalf of the Board of Directors of Standard Lithium Ltd.

Robert Mintak, CEO and Director

About Koch Minerals and Trading

KM&T is one of the largest trading companies in the world, handling marketing, trade and logistics for millions of tons of products each year. KM&T products include fuels, sulfur, pulp, fertilizers, metal products, paper products and other vital substances traded through a global network of terminals, ports and other assets reviews needed to deliver products to over 50 countries. KM&T’s cross-product resources bring scale and competitive advantage to marketed products, creating superior value.

https://www.kochind.com/

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) nor NYSE American accepts responsibility for the adequacy or accuracy of this communicated. This press release may contain certain “forward-looking statements” within the meaning of the United States Private Securities Litigation Reform Act of 1995 and applicable Canadian securities laws. When used in this press release, the words “anticipate”, “believe”, “estimate”, “expect”, “target”, “plan”, “expect”, “may”, “schedule” and other similar words or expressions identify forward-looking statements or information. Such forward-looking statements or information may relate to the Company’s future plans and objectives, including, without limitation, the implementation of the Option Plan and the Incentive Plan, future commodity prices, the accuracy of mineral or resource exploration activities, reserves or resources, accuracy of preliminary economic assessments, including net present value, internal rate of return, capital and operating costs, production life of the mine, the progress of the project, including up to a pre-feasibility study, regulatory or governmental requirements or approvals, the reliability of third-party information, continued access to mining properties or infrastructure, fluctuations in the market for lithium and its derivatives, changes in exploration costs and government regulations in Canada and the United States, and other factors or information. These statements represent the Company’s current views with respect to future events and are necessarily based on a number of assumptions and estimates which, although considered reasonable by the Company, are inherently subject to important commercial, economic, competitive, political and social risks, contingencies and uncertainties. Many factors, known and unknown, could cause actual results, performance or achievements to differ materially from the results, performance or achievements that are or may be expressed or implied by such forward-looking statements. The Company does not intend, and undertakes no obligation, to update such forward-looking statements or information to reflect changes in assumptions or changes in circumstances or any other event affecting such statements and information other than those required by laws, rules and regulations.


        

Margie D. Carlisle