Galan Lithium Limited announced the successful completion of the 2022 brine pumping test campaign at its flagship Hombre Muerto West Project in Catamarca Province, Argentina. Strong extraction and production well chemistry results from all three long-term brine pumping tests support the Definitive Feasibility Study as it approaches completion. Further exploration drilling and sampling has continued across the HMW Project tenements to complement surface geophysical work.

A total of three production pumping wells were completed during the second half of 2022 - two at Pata Pila and one at Rana de Sal. Each production pumping well was constructed at previous exploration platforms and included diamond drill holes to confirm the stratigraphic characteristics of the reservoir, production capacity, and optimum design for production wells. Each test consisted of an initial step test, a 72-hour constant rate and recovery test, and then a long-term pumping and recovery test period.

Brine levels were constantly monitored through multiple monitoring wells, each of which was specifically designed to monitor the brine levels response of individual hydrogeological units (shallow and deep). Brine chemistry was also analysed from each pumping well. The results from the three production wells tested at HMW, confirm that the HMW Project is ready to provide the brine flow and quality for the 4Ktpa LCE pilot development, expecting construction in H2 2022.

The third and final long-term pumping test at the HMW Project was undertaken on well PPB-02- 22 between 8 November and 8 December 2022 (30 days). The average flow rate over the duration of this test was 21.2 L/s, with a range between 19.0 and 23.2 L/s. A total of 121 samples were recovered during the LTPT test and chemical analysis was undertaken at Alex Stewart NOA laboratory in Jujuy, Argentina. The average extracted lithium grade was 838 mg/L, with a range between 815 and 866 mg/L. During the LTPT, measured drawdown at observation well PP-02-22 reached less than 6 metres, indicating the presence of a highly transmissive zone.

Subsequent analysis of the aquifer transmissivity is higher when compared to the previous LTPTs at Pata Pila and Rana de Sal. This was expected due to the coarser sediments recovered during PPB-02-22 drilling and its more proximal location along the alluvial fan. A new surface geophysical survey at the HMW Project was conducted by Quantec Geoscience Argentina during November and December 2022.

This new survey used the Transient Electromagnetic Method and consisted of 13 lines which spanned more than 23 km. With this new data, the deposit has been fully constrained within the resource area, providing a better geometric resolution. Additionally, this work provides further confidence in exploration targeting future resource expansion - for example, in the Santa Bárbara tenements where drilling is now in progress at drillhole, SB-01-22.

With the aim of expanding the HMW Project resource and reserves, exploration well PS-01-22 has been drilled at Pucara del Salar. This diamond drill hole is 300m deep with recovered core indicating the presence of highly fractured rock, expected to be associated with a high permeability zone. Airlift results from PS-01-22 indicate the presence of high-grade brine, with lithium concentrations reaching up to 988 mg/L and averaging 974 mg/L.