ELEVRA LITHIUM LIMITED — Capital/Financing Update 2017

Oct 23, 2017

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24 OCTOBER 2017

SIGNIFICANT PROGRESS ACHIEVED PROGRESSING AUTHIER LITHIUM PROJECT ENVIRONMENTAL STUDIES AND PERMITTING

Highlights

• Hydrogeology drilling program completed. Pump testing programs underway

• Biological survey for environmental permitting completed. No major issues raised

• Mining Lease ground survey completed

• Stakeholder engagement programs in progress

Sayona Mining Limited (ASX: SYA) ("Sayona" or the "Company") is pleased to announce that it’s making excellent progress advancing the Authier environmental and mining lease work programs. The Company remains focused on rapidly developing Authier and capitalising on the strong concentrate pricing window available for new project entrants in the short-tomedium term. The Company is currently finalising Pre-Feasibility Study inputs and assumptions for the Definitive Feasibility Study, targeted for completion in the second quarter of calendar 2018.

Hydrogeological Survey

A ten-hole drilling program for the hydrogeology study has now been completed. The drill holes will be used to assess hydrogeological conditions prevailing in the project area. The information will be used to assess the current quality of the groundwater and to make the assessment of the potential projects impact on the ground water regime and quality in the area.

In addition, the data will be used to plan the pumping activities for the mine, and to provide information for the geotechnical engineering and geo-mechanics of the project. The program will improve the understanding of the project groundwater environment and is expected to mitigate the environmental risks attributable to the operation.

Environmental Survey Update

The autumn flora and fauna field survey has now been completed. The survey included:

• Creating a vegetation inventory, including wetlands and species with special status;

• Inventory of fish and fish habitat;

• Inventories of wildlife species with special status; and

• Assessment of surface water quality.

No major issues have been identified. Final environmental reports will be completed by the first quarter of 2018.

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Mining Lease Application Process

The Company has now completed the project survey which is required for the Mining Lease approval process. The final three steps required to complete the Mining Lease application include, completion of Definitive Feasibility Study, environmental certification and rehabilitation plan. This is largely complete.

Stakeholder Engagement

The Company has commenced its recently designed local community and First Nations stakeholder engagement program. The program aims to sure all environmental, social and economic concerns raised by stakeholders are integrated into the project development. Early discussions with the local La Motte council have not flagged any major issues and the council is looking forward to new investment and job creation for the region.

For more information, please contact:

Chief Executive Officer Phone: +61 (7) 3369 7058 Email: info@sayonamining.com.au

Sayona Mining Limited is an Australian, ASX-listed (SYA), company focused on sourcing and developing the raw materials required to construct lithium-ion batteries for use in the rapidly growing new and green technology sectors.

The Company’s primary focus is the development of the advanced stage Authier lithium project in Quebec, Canada. Authier mineralisation is hosted in a spodumene-bearing pegmatite intrusion with more than 22,000 metres of drilling in 139 holes.

The Authier JORC (2012) compliant Ore Reserve and Mineral Resource estimates are tabulated below at a 0.45% Li20 cut-off grade.

Authier JORC Ore Reserve	Authier JORC Ore Reserve	Estimate (0.45% Li20 cut-off grade)	Estimate (0.45% Li20 cut-off grade)
Category	Tonnes(Mt)	Grades(%Li20)	Contained Li20
Proven Reserve	4.9	0.97%	47,821
Probable Reserve	5.3	1.06%	55,904
Total Reserves	10.2	1.02%	103,725
Note: The Ore Reserve is based on the February 2017 Mineral Resource estimate and February 2017
FeasibilityStudy

Authier JORC	Mineral Resources	Estimate(0.45% Li20 cut-offgrade)	Estimate(0.45% Li20 cut-offgrade)
Category	Tonnes(Mt)	Grades(% Li20)	**Contained Li20 **
Measured	5.62	1.01%	56,762
Indicated	9.57	1.03%	98,571
Inferred	2.21	0.99%	21,879
Total Resources	17.4	1.02%	177,212

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Authier is amenable to simple open-cut mining and processing methods, and is situated in close proximity to development infrastructure. The Company is currently completing an updated Pre-feasibility Study, due for completion in 3Q0217, prior to the commencement of a Definitive Feasibility Study which is planned to be completed in early 2018.

In addition, the Company controls a portfolio of lithium and graphite exploration projects in Western Australia.

Reference to Previous ASX Releases

This document refers to the following previous ASX releases:

• Expanded Authier JORC Resource, 14 June 2017

• Authier maiden JORC Ore Reserve estimate, 17 February 2017

• Authier Pre-Feasibility Study” 17 February 2017

The Company confirms that it is not aware of any new information or data that materially affects the information included in the original market announcement and all material assumptions and technical parameters continue to apply and have not materially changed. The Company confirms that the form and context in which the Competent Person’s findings are presented have not been materially modified from the original market announcements.

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