Mali Lithium : Signs Goulamina MOU with CHICO

29 October 2019

Mali Lithium Signs Goulamina MOU with CHICO

HIGHLIGHTS

• MOU with CHICO, a major Chinese civil and mining contractor with extensive experience in West Africa for early involvement in Goulamina Lithium Project
• CHICO to provide robust Capital Expenditure and Operating Expenditure estimates for Goulamina Lithium Project at its own cost
• Mali Lithium and CHICO working towards agreeing a formal Early Contractor Involvement Agreement

Mali Lithium Limited (ASX: MLL, Mali Lithium, or the Company) has entered a Memorandum of Understanding (MOU) with Chinese state-owned construction and engineering company China Henan International Cooperation Group Co (CHICO), for an Early Contractor Involvement Agreement at the Goulamina Lithium Project in Mali.

Under the terms of the MOU, CHICO will also provide, at its own expense, Capital Expenditure and Operating Expenditure estimates for the Goulamina Lithium Project by the end of January 2020.

These estimates will complement and validate costs being developed for the project's Definitive Feasibility Study (DFS). The DFS is scheduled for completion in the first quarter of next year ahead of a Final Investment Decision for the Goulamina Lithium Project in the second half of the year.

CHICO has extensive operations across 14 countries in Africa, including operating a major bauxite mine in Guinea. It is also active in Cote d'Ivoire from where Mali Lithium may export its product from Goulamina.

Mali Lithium managing director Chris Evans said the MOU with CHICO is of enormous benefit to the project and offers the potential to accelerate engagement with other Chinese parties.

"CHICO is an experienced contractor who is currently constructing and operating in a number of West African countries. The mutual benefit that this relationship will bring to each of our organisations will be significant" Mr Evans said.

"At its own cost it will provide us with robust Capital and Operating cost estimates for Goulamina ahead of the DFS being published, as well as advice on other early works. We will work with CHICO towards formalising our agreement to a full Early Contractor Involvement Agreement.

Mr Evans said work completed by CHICO would help streamline the Company's formal tendering process as the Goulamina Lithium Project moved closer to construction and would generate even more interest in the project from potential partners in China.

"As well as benefits such as the optimisation of the Goulamina Project, getting competitive pricing and the formal cost estimates, CHICO has extensive networks within China with prospective off take partners and investors and will work with us to leverage these networks," Mr Evans said.

The Goulamina Lithium Project is the largest uncommitted lithium resource in the world and has received all mining and environmental approvals from the Malian Government.

Further Information:
Chris Evans	Peter Kermode
Managing Director	Cannings Purple
Mali Lithium	[phone]
[phone]

About Mali Lithium

Mali Lithium Limited (ASX:MLL) is developing the world class Goulamina Lithium Project in Mali, West Africa. Goulamina is fully permitted and is the world's largest uncommitted hard rock Lithium Reserve. The company is currently completing its Definitive Feasibility Study and has released the results of its Pre-Feasibility Study (PFS) on the project to the ASX on 4 July 2018. The Company also has a diversified commodity portfolio containing prospective gold tenements in southern Mali from which it intends to generate near term value for shareholders.