LAKE RESOURCES N.L. — Capital/Financing Update 2016

Dec 20, 2016

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LAKE RESOURCES N.L.

ABN 49 079 471 980

ASX Market Announcements Office

21 December 2016

LAKE SECURES ADDITIONAL 3,900 HECTARES OF LITHIUM BRINE LEASES AT KACHI PROJECT

Lake Resources N.L.(ASX:LKE, “Lake”) is pleased to confirm that an additional 3,900 hectares of leases have recently been acquired contiguous to an area of active exploration for lithium brine bearing salt lakes in Catamarca, Argentina. This further consolidates title 100% controlled by Lake’s local subsidiaries.

More Leases Acquired over Actively Explored Lithium Brine Areas

Lake is pleased to advise that three leases, contiguous with current Lake leases, have been recently acquired to consolidate title in the Kachi Lithium Brine Project in Catamarca province. This area is under active exploration at present, following the Company’s recent announcement of the commencement of an aggressive exploration programme over lithium brine lease applications in Argentina. This increases the lease area either granted or under application to almost 50,000 Ha in the Kachi Lithium Brine Project area (see pale blue areas in the map below).

The rights to the leases have been transferred to Lake’s local subsidiary and payment made locally. A series of adjoining leases under Lake’s subsidiaries are expected to be granted shortly. This area has been recently recognised as a potential lithium brine bearing basin. The exploration programme will extend into the new year with grid sampling followed by geophysics and drilling aimed for early in the new year.

The Kachi Lithium Brine Project

The Kachi Lithium Brine Project is located in Catamarca province, approximately 100km south of FMC’s Hombre Muerto Lithium brine operation in production. The Kachi Lithium Brine Project overlies an area of almost 50,000 Ha of leases and lease applications, centred around a salt lake within a large basin almost 100km long. The Kachi Project is under active exploration at present, following the Company’s recent announcement of the commencement of an aggressive exploration programme over lithium brine lease applications in Argentina. The Kachi Project area was recently increased through acquisition of contiguous leases. The leases lie in the Lithium Triangle where the world’s largest and lowest cost production of lithium is located.

For further information, please contact:

Steve Promnitz Managing Director Lake Resources N.L. T: +61 2 9188 7864 E: steve@lakeresources.com.au

Lake Resources N.L. (ACN 079 471 980) ASX:LKE Suite 4, Level 9, 341 George St, Sydney NSW 2000, Australia T: +61 2 9188 7864 E: lakeresources@lakeresources.com.au

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Background on Lake Resources NL (ASX:LKE)

Lake Resources NL (ASX:LKE, Lake) is a lithium exploration company preparing to aggressively explore prime lithium basins in Argentina, among some of the largest players in the lithium sector. Lease applications are located in the Lithium Triangle which accounts for 49% of current lithium production.

Lake recently completed the acquisition of an early mover in Argentina, Lith NRG Pty Ltd, who had secured an extensive strategic package of ~90,000 Ha, prior to a significant ‘rush’ to secure projects by major companies in the sector. This is one of the largest tenement packages in Argentina, controlled 100% by Lake.

Lake has three key areas that have similar settings to major world class projects being developed – Olaroz/Cauchari, Paso and Kachi in the highly prospective Jujuy and Catamarca Provinces. Upcoming exploration in lithium brine basins, one which is adjacent to some of the leading lithium producers/developers, including Orocobre and SQM, may provide several catalysts for growth as the areas are assessed for major discoveries.

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Figure 1: Kachi Lithium Brine Project leases showing recently acquired 3,900 hectare areas in light blue

Lake Resources N.L. (ACN 079 471 980) ASX:LKE Suite 4, Level 9, 341 George St, Sydney NSW 2000, Australia T: +61 2 9188 7864 E: lakeresources@lakeresources.com.au

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Figure 2: Location map of Lake Resources lithium brine projects in NW Argentina

Lake Resources N.L. (ACN 079 471 980) ASX:LKE Suite 4, Level 9, 341 George St, Sydney NSW 2000, Australia T: +61 2 9188 7864 E: lakeresources@lakeresources.com.au

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