Patagonia Lithium Ltd (ASX:PL3, Patagonia or Company) is pleased to advise that it has completed initial ground truth mapping, channel and road cutting sampling in the Minas Gerais and Goais state from the extensive 3,700km field trip undertaken referencing geophysics completed on the company's granted concessions.

Additional work has been completed using short wave and infrared analysis. Phillip Thomas, Executive Chairman commented 'We are delighted with the progress made and the discovery of large tracts of clays and saprolites with granites and altered metasediments on the surface in the Goias state area. The total light and heavy rare earth totals are very encouraging on the basis it was mostly sampled from road cuttings and outcrops.

The higher concentrations of REE are found at depth where there is alteration of sericite from the granites and gneiss from hydrothermal fluids which is what we are seeing evidence of. As a generalisation, REE concentrations are associated with ion adsorption clays in weathering mantle on differentiated granites (concentration in the 'B' horizon where augur is required to sample) and enrichment of LREE in fenites by metasomatism (which is evident at the Company's Goias concessions). These new geophysics techniques will assist us better target niobium and rare earths.

Considering the model of mineralisation in REE by fenitisation, the areas with the greatest potential are MC-PL-47, MC-PL-48, MC-PL-49, MC-PL-50, MC-PL-53, MC-PL-55, MC-PL-56, MCPL-57, MC-PL-58, MC-PL-59, MC-PL-60 and MC-PL-61. These points are within the context of the estimated metasomatism zone. Point MC-PL-66 also stands out for its thorium anomaly. Sample MC-PL-049 was collected on the bank of the main drainage in the area, downstream from the Mosaic mining company's tailings dam. It has a total REE content of 994.76 ppm, of which 947.38 ppm is light and 47.38 ppm is heavy. Understanding the distribution of REEs in carbonatites and associated fenitisation zones is essential for the exploration and development of REE resources. Detailed geological, mineralogical, and geochemical studies are required to characterise these distributions accurately and to assess the potential for economic REE extraction. The studies for the Goias areas were based on the ratio between the Araxa carbonatite, silicate rocks and fenitisation. Catalao I carbonatite is correlated to the same geological event as the Araxa carbonatite. Ion-adsorption deposits form when igneous rocks, usually granites, containing rare earth element (REE)-bearing minerals undergo weathering processes. The weathering breaks down REE minerals, releasing ionized REEs that are, then, absorbed by clay minerals, like halloysite and kaolinite.

Contact:

Phillip Thomas

Executive Chairman

Patagonia Lithium Ltd

Tel: +61 433 747 380

Email: phil@patagonialithium.com.au

Competent Person Statement

The information in this announcement that relates to exploration results is based on, and fairly represents information compiled by Phillip Thomas, MAIG FAusIMM, Technical Adviser of Patagonia Lithium Ltd and is Executive Chairman, who is a Fellow of the Australasian Institute of Mining and Metallurgy. Mr Thomas has sufficient experience relevant to the style of mineralisation and type of deposit under consideration, and to the activity which he has undertaken, to qualify as a Competent Person as defined in the 2012 Edition of the Joint Ore Reserves Committee (JORC) Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves. Mr Thomas consents to the inclusion in this announcement of the matters based on this information in the form and context in which it appears.

About Patagonia Lithium Ltd

Patagonia Lithium has two major lithium brine projects - Formentera/Cilon in Salar de Jama, Jujuy province and Tomas III at Incahuasi Salar in Salta Province of northern Argentina in the declared lithium triangle. It has also applied for 41,746 Has of concessions exploring for ionic REE clays, Niobium, Gallium and lithium in pegmatites. Four exploration concession packages covering 25 concessions have been applied for and 19 have been granted. The first phase of exploration was completed in June 2024. Since listing on 31 March 2023, surface sampling and MT geophysics have been completed, drill hole JAM24-01 and Jam 24-02 completed. Progress to date has been exceptional as measured by lithium assays. The MT Geophysics at Tomas III on Incahuasi salar is very prospective. In July 2023, a 10 hole drill program was approved for Formentera and a three well program for Cilon is pending. Samples as high as 1,100ppm lithium (2 June 2023 announcement) were recorded at Formentera and a Lithium value of 591ppm in well JAM 24-01 (3 May 2024 and 15 May 2024 announcements) and 582ppm in well JAM 24-02 (18 June 2024 announcement). Very low resistivities were recorded to more than a kilometre depth during the MT Geophysics survey at Formentera. The Company confirms it is not aware of any new information or data that materially affects the information in this announcement.

(C) 2024 Electronic News Publishing, source ENP Newswire