At a 1000ppm cut-off, the average assigned specific gravity is 1.56. Estimation: Wireframe surfaces were generated for the top and bottom of the paleo-lake sediments and used to constrain the estimate into three domains (sediments, colluvium, and basement). Sample data were composited to 2m for analysis and grade estimate as this is the dominant sample length.

There were no extreme values present in statistical data analysis so no treatment for outliers was required. Lithium was estimated using Ordinary Kriging (OK) for all domains. The infill drilling supports previous variogram modelling indicating mineralisation may be trending NW-SE direction which also corresponds to drainage in the claim area.

Continuity has strengthened with the infill drilling, resulting in significantly longer horizontal ranges. Block size for estimation was 200mE by 200mN by 5mRL with sub-celling permitted to 40mE by 40mN by 1mRL. Validation: The model was validated in several ways including visual comparison of block and drill hole grades, statistical analysis, examination of grade tonnage data and comparison with previous models.

No material issues were identified. Classification: Mineral Resources were classified based on consideration of data quality and spacing as well as geological and grade continuity. Indicated Mineral Resources are confined to an area of closer spaced drilling with holes nominally drilled 400m apart, while Inferred Mineral Resources were restricted to blocks within 1,000m of the nearest hole.

Additional material was added to the Mineral Inventory by the extension of Mineral Resource classification from 100m from surface in the previous resource update to 120m below surface. This was supported by the positive open pit optimisation work completed as part of the Scoping Study, which was demonstrated potential economic extraction could occur at these depths. All blocks within the Mineral Resource are informed by at least 3 holes and 12 samples as a minimum.

Metallurgy: There are two potential pathways for the extraction of lithium from sedimentary deposits such as McDermitt: sulphuric acid leaching of both whole and beneficiated ore and sodium sulphate roasting. Jindalee has not committed to a particular route but continues to focus studies on optimising the most cost and energy efficient flow sheet. Initial work completed by Jindalee focussed on beneficiation and sulphuric acid leaching at Hazen Research labs similar to the flowsheet proposed by the nearby Thacker Pass project.

The results of the acid leach testwork to date have been successful with highlights including: Lithium recoveries in excess of 95% with sulphuric acid (H2SO4) leach at moderate temperatures and atmospheric pressure on whole of ore samples. Increase of lithium content in the <0.01mm fraction by more than 50% (from 0.22% to 0.34%) via beneficiation of McDermitt ore (attrition scrubbing) at 20% solids which also reduced carbonate and analcime (both acid consuming minerals). Further attrition scrubbing test work demonstrated an increase in the lithium content in the <0.01mm fraction by 60.9% (from 0.23% to 0.37%).

Leaching experiments on beneficiated samples demonstrated lithium extraction rates of 94%-97% with 26% less acid consumed per lithium unit than for previous similar experiments on non-beneficiated ore. The metallurgical modelling work completed as part of the preliminary Scoping Study determined: that more optimal lithium recoveries may be achieved using whole of ore sodium sulphation roasting. Sulphation roasting is the processing route proposed for the Sonora Lithium Project, recently acquired by acquisition by Ganfeng Lithium.

The beneficiation step explored as part of the acid leach flow sheet is not required in the proposed sulphation roast flow sheet. Jindalee has engaged Lithium Consultants Australasia to manage ongoing metallurgical test work programs at Nagrom, Perth, with an immediate focus on the roasting flow sheet. A series of tests are currently underway, and the market will be informed as results come to hand.