Bradda Head Lithium Ltd. announced that it has received conditional permission to begin a drilling programme at its Basin North (BN) sedimentary claims in Arizona. Background: BN and BEE are in close proximity to BE, the Company has an updated Resource at BE. The updated Mineral Resource Estimate ("MRE") at Basin East, which has been reported by SRK Consulting (UK) Ltd. ("SRK") in accordance with the terminology and definitions given in the JORC Code (2012), comprises: an Indicated Mineral Resource of 17.6 Mt at an average grade of 912 ppm Li and 3.4% K for a total of 85 kt LCE and an Inferred Mineral Resource of 57.6 Mt at an average grade of 717 ppm Li and 3.3% K for a total of 220 kt LCE.

The 2022 Mineral Resource update followed the completion of a 10 hole 1,110m diamond core drilling programme which was completed in November 2021 (RNS dated 17/11/2021). The 185kt LCE 2018 MRE was calculated based on a 14-hole 924m reverse circulation ("RC") programme. The drilling coverage at BE has increased by c.20% in area since 2018 and has provided some deeper intersections to add some previously missed Lower Clay.

Furthermore, newly acquired geophysical data has allowed extrapolation of the MRE further from the drillholes than was possible previously. The combination of these changes has resulted in an increase in the MRE. In the MRE model, the Upper Clay zone and higher-grade zone are thickest at the northwestern edge, whilst remaining open to the west and northwest, and are expected to continue under cover in the adjacent BEE claim.

Geological mapping and geophysical surveys indicate similar clay layers are present in Bradda Head's other claims beyond BEE in BW and BN. As such, with further drilling see excellent potential to increase the resource base substantially. It's important to note that some 75% of the updated total LCE is in the Upper Clay which has a grade of c.850 ppm and c.20% of the updated total LCE sits within a newly defined High-Grade layer within the Upper Clay which has a grade of c.1,300ppm Li.

The High-Grade and Upper Clay zones thicken towards the northwest extent of the drilled area into BHL's BEE claim and could potentially form part of a higher-grade mining operation than previously planned. This could be mined early in the mine plan as the High-Grade zone sits in the upper part of the deposit. An Exploration Target for the Basin Project of between 300 to 1,300 Mt of material grading between 600 to 850 ppm Li, equivalent to between 1 and 6 Mt LCE, has been identified covering the claims BN, BE, BEE and BW and BWE.

This is based on an assessment of the updated Mineral Resource LCE per unit area, an estimated range of likely grades based on the MRE and an assessment of the extent of mapped clay and hangingwall lithologies in the undrilled parts of the Basin Project licence areas. The Company is currently in the process of obtaining permits for 120 holes at BEE, of which it expects to drill 20 holes in Second Quarter 2022. The Company has received conditional permission to drill 10 holes at its BN Claim, and anticipates that drilling will commence in Second Quarter 2022.

The difference in the scale of the programmes is that BEE is a state lease, whereas BN is a Bureau of Land Management (BLM) claim. An additional 14-hole sonic drill programme (1,175m) has been approved at BE which will form part of the expected resource estimate at BEE and BN when they are permitted and drilled later this year. BEE is adjacent to BE, and BN joins with BEE's northern border.