LAKE RESOURCES N.L. — Capital/Financing Update 2018

Apr 11, 2018

==> picture [144 x 85] intentionally omitted <==

LAKE RESOURCES N.L. (ASX:LKE)

ASX Market Announcements Office

12 April 2018

ADDITIONAL DRILL RIG AT KACHI LITHIUM BRINE PROJECT

• A third drill rig has started at Lake’s 100%-owned Kachi Lithium Brine Project in Catamarca Province, Argentina.

• The additional diamond drill rig will assess the geology and stratigraphy while the other drill rigs are rotary rigs.

• Drilling was completed in the first rotary drill hole to a depth of 240 metres with encouraging indications of conductive brines in thick sandy aquifers. Testing and results will be reported in the coming weeks.

• Lake’s Olaroz-Cauchari Project continues to look promising given the recent results from the adjoining leases showing high grade lithium with high flow rates. Lake has progressed with the process to have drilling approved adjacent to this area.

Kachi Lithium Brine Project, Catamarca – Update on drilling

Lithium exploration company Lake Resources N.L. (ASX:LKE, “Lake” or “LKE”) has completed the first rotary drill hole to 240 metres with slotted casing in place to 237 metres to allow testing and sampling at the Company’s 100%-owned Kachi Lithium Brine Project in Catamarca province, Argentina. Conductive brines were intersected in two thick sandy aquifers but these horizons have proven challenging to drill with rotary and diamond drill rigs. Testing and results will follow in the coming weeks.

Based on the solid progress being made at Kachi, a third rig – a diamond drill rig - has been deployed and commenced operations adjacent to the second rotary drill rig, 11 kilometres to the south east of the recently completed rotary drillhole to assess whether the same conductive sandy aquifers can be intersected. The diamond drilling company has an excellent track record of drilling brines under salt lakes in Argentina. The intention is to assess which of the three rigs produces the best results and the drilling programme will then be extended based on these outcomes.

Olaroz - Cauchari Lithium Brine Project, Jujuy – Update on nearby drilling results

Further high-grade lithium brine results averaging 476 mg/L lithium with other holes up to 720 mg/L lithium with high flow rates of brines were reported from the leases immediately adjoining Lake’s leases at the Cauchari Lithium Brine Project in Jujuy province by Advantage Lithium and Orocobre (ASX:ORE). Lake’s subsidiaries have progressed with the process to have drilling approved adjacent to this area and it is Lake’s intention to target the same aquifers.

For further information please contact:

Steve Promnitz Follow Lake Resources on Twitter: Managing Director https://twitter.com/Lake_Resources +61 2 9188 7864 steve@lakeresources.com.au http://www.lakeresources.com.au

Released through: Henry Jordan, Six Degrees Investor Relations: +61 (0) 431 271 538

Lake Resources N.L. (ABN 49 079 471 980) ASX:LKE Suite 2, Level 10, 70 Phillip St, Sydney NSW 2000, Australia T: +61 2 9188 7864 E: lakeresources@lakeresources.com.au

1

==> picture [495 x 155] intentionally omitted <==

----- Start of picture text -----

25km
Drill holes New Rotary/Diamond Drill holes
CPD01 JV03
----- End of picture text -----

==> picture [166 x 206] intentionally omitted <==

==> picture [291 x 205] intentionally omitted <==

==> picture [206 x 164] intentionally omitted <==

==> picture [252 x 163] intentionally omitted <==

==> picture [159 x 130] intentionally omitted <==

==> picture [301 x 130] intentionally omitted <==

Images of the larger rotary drill rig in the south east of Kachi; the recent rotary drillhole undergoing testing and geophysics in the west of Kachi; the diamond rig in the south east and side-by-side of the rotary and diamond rigs and an indicative map/image of the Kachi project

Lake Resources N.L. (ACN 079 471 980) ASX:LKE Suite 2, Level 10, 70 Phillip St, Sydney NSW 2000, Australia T: +61 2 9188 7864 E: lakeresources@lakeresources.com.au

2

==> picture [331 x 482] intentionally omitted <==

----- Start of picture text -----

Initial Diamond
shallow hole #1
Rotary
Drillhole #2
Completed
Rotary &
Diamond
Drillhole #3
Underway
----- End of picture text -----

Location of drill holes at the Kachi project over satellite image with near surface auger samples

Background on Lake Resources NL (ASX:LKE)

Lake Resources NL (ASX:LKE, Lake) is a lithium exploration and development company focused on developing its 3 lithium brine projects and 1 hard rock project in Argentina, owned 100%. The leases are in a prime location among the lithium sector’s largest players within the Lithium Triangle where half of the world’s lithium is produced. Lake holds one of the largest lithium tenement packages in Argentina (~170,000Ha) secured in 2016 prior to a significant ‘rush’ by major companies. The large holdings provides the potential to provide security of supply demanded by battery and electric vehicle manufacturers located.

The three key brine projects, Olaroz/Cauchari, Paso and Kachi, are located adjacent to major world class brine projects being developed in the highly prospective Jujuy and Catamarca Provinces. The Olaroz-Cauchari project is located in the same basin as Orocobre’s Olaroz lithium production and adjoins SQM/Lithium Americas Cauchari project, where high grade lithium with high flow rates have been drilled immediately across the lease boundary. The Kachi project covers 50,000 Ha over a salt lake south of FMC’s lithium operation and near Albemarle’s Antofalla project.

Drilling at Kachi has shown conductive brines in thick porous sands with results are anticipated over the coming months. Surface sampling has revealed positive lithium results which will be expanded through the drilling program and geophysics. Drilling over Kachi and future drilling at Olaroz-Cauchari will provide several catalysts for the company’s growth. Scope exists to unlock considerable value through partnerships and corporate deals in the near-term.

Significant corporate transactions continue in adjacent leases with development of SQM/Lithium Americas Olaroz/Cauchari project with an equity/debt investment over $300 million and Advantage Lithium’s equity transaction in some of Orocobre’s leases. LSC Lithium has also raised over $60 million on a large lease package in similar areas as Lake’s properties. Nearby projects of Lithium X were recently acquired via a takeover offer of C$265 million completed March 2018.

Lake Resources N.L. (ACN 079 471 980) ASX:LKE Suite 2, Level 10, 70 Phillip St, Sydney NSW 2000, Australia T: +61 2 9188 7864 E: lakeresources@lakeresources.com.au

3