The SWA Property is being assessed by Standard Lithium for its lithium-brine potential. The brine is situated within an aquifer associated with the Late Jurassic Smackover Formation, which has produced hydrocarbons since the 1940s on the Property and brine to the east of the Property since the late 1950s. Hyper-saline brine (total dissolved solids of 293,000 to 448,000 mg/L) with elevated lithium has been verified in the 2018 brine sampling programs conducted by Standard Lithium.

The Smackover Formation in south Arkansas consists of a shoaling-upward cycle capped by ooidal/oncolitic packstone and grainstone (Vestal, 1950), with a maximum thickness of 365 m (1,200 feet). It has been interpreted as a low-gradient slope (<1°) homoclinal ramp succession due to its series of strike-oriented, relatively narrow depositional lithofacies belts across Texas, Arkansas, Louisiana, and Mississippi (Ahr, 1973; Bishop, 1968; Handford and Baria, 2007. These belts include evaporite and redbed sequences in the north that change basin-ward into ooidal (inner ramp beaches and shoals) peloidal facies belt (mid-outer ramp), and laminated mudstone (basin).

During rifting phases, evolving grabens were filled with the earliest Late Triassic-Early Jurassic red-bed sedimentary sequences of the Eagle Mills Formation. This unit comprises a variety of terrestrial sedimentary rocks including red, reddish-brown, purplish, and greenish-gray coloured shale, mudstone, siltstone, and less ........

Brine extraction and disposal will occur using a conventional brine supply and injection wellfield. A network of twenty-three (23) brine supply wells will produce from the Smackover Formation in the South resource area. The brine supply wells will produce between 200 m3/day and 2,100 m3/day with an average rate of 1,715 m3/day. The average brine production rate will be 1,800 m3/hr (7,925 US gallons per minute) during the 8,000 hours in the operational year. The supply wells, as modelled, are grouped into five (5) multi-well pad facilities to minimize initial capital expenditure and improve long-term maintainability. Brine from the supply facilities will be conveyed from the five multi-well pads to the single processing facility by a network of underground fiberglass pipelines totaling approximately 18.3 km (11.4 miles) in length. After processing, the lithium-depleted brine will be returned to the North resource area by a pipeline system 20.3 km (12.6 miles) in length to a network of 24 brine injection wells completed in the Smackover Formation. As with the supply wells, the injection wells are proposed to be grouped into five (5) multi-well pad facilities. All extraction and reinjection will occur in the single unitized area to maintain reservoir pressures.

The brine supply wells will extract the raw brine from the Smackover Formation on a continuous, 24-hour, 365 days per year operation. Operational time has been estimated to be 8,000 hours per year to account fo ........

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