Latin Resources Limited provided the following update on the preliminary "sighter" metallurgical test work completed on drill core from the Company's 100% owned high-grade Salinas Lithium Project. Colina Prospect - Metallurgical Test Work Results Latin commissioned SGS GEOSOL laboratories (SGS), Belo Horizonte Brazil to undertake a program of "sighter" bench scale metallurgical test work on drill core from its Salinas Lithium Project. Results have been independently reviewed and interpreted by Australian BHM Process Consultants (BHM), whose key personnel have significant experience in spodumene processing, metallurgy, and process plant design.

Results of the test work has shown that simple Heavy Liquid Separation (HLS), was able to recover 78.72% of the Li2O into a concentrate grading a very high 6.57% Li2O. For the purposes of summarising and qualifying the HLS data, BHM have provided a mass balance extrapolation to a potential process scenario. BHM have combined the +6.3 and 6.3-1.7mm size fractions to represent a "Coarse DMS" process and report the -1.7 - 0.5mm as "FinesDMS" processing, and the -0.5mm fraction as "Sand Processing" relating to potential Spiral and Tabling recovery.

This balance only takes into account the "sinks" material recovered at greater than the 2.85 g/cm3 specific gravity mark and may be conservative in relation to overall recovery. The coarse concentrates that have been generated from this preliminary round of test work are interpreted by BHM to be considered as a widely acceptable industry standard, by which ingress of penalty and deleterious elements such as iron are below cut-off at 0.45 - 0.61% Fe (0.64 - 0.88% Fe2O3), well below the tolerable level of 1% Fe contained. Colina Prospect - Metallurgical Test Work Details: The Company submitted approximately 44 Kg of ½ NTW drill core sourced from the Colina Prospect (Colina), drill hole SADD023 (26.88m: 94.00-120.88m), which is a twin hole to SADD016 which returned an intersection of 25.24m @ 1.25% Li2O.

The sampled intersection represents a complete profile of the Colina pegmatite from the central portion of the current resource definition drilling grid. The supplied drill core was stage crushed using 31.5mm, 25.4mm, 12.5mm and 9.5mm jaw crusher openings with the objective to generate 100% of material passing in 9.5mm. Granulometric analysis of the crushed samples proved the following size distributions.

Following the separation of each size fraction, a 2kg composite sample was prepared for head grade chemical analysis using a sodium peroxide fusion with ICP-AES (ICP90A/ICP90Q). SGS then undertook a staged Heavy Liquid Separation (HLS) process on the four separate size ranges, across three separate solutions with specific gravities of 3.0, 2.85 and 2.70 g/cm3. These preliminary results show that it is possible to produce an industry standard spodumene concentrate using simple HLS processing alone, and that the coarse nature of the spodumene at the Salinas Project has resulted in high recovery rates at the higher crush size.

Both of these preliminary findings have significant positive implications on potential future operational scale processing options and driving strong economics for the project. The Company acknowledges that this bench scale laboratory test work only provides an indication of the expected processing performance. Furthermore, this test work does not account for changes in performance that may occur at a full-scale operational process facility.

Additional test work is required before the expected recovery across the deposit for an operating plant to be estimated. Colina Prospect - Studies: As previously announced, the Company has engaged SGS Geological Services, Canada (SGS) to commence and manage a Preliminary Economic Assessment (PEA) on the Company's Colina Prospect, including: Develop the process definition and description based on metallurgical test work results for a process flowsheet; Prepare mine optimisation parameters for open pit design; Prepare production schedule; Define equipment requirements; Access roads review and upgrade; Assess power supply and distribution, fuel storage facilities; Assess water management facilities (reclaim water, fresh water,potable water); Estimation of capital expenditure and operational expenditure for the process plant and surface infrastructures, including general and administrative costs, according to an AACE Class 4 estimate with an accuracy of +/-40%; Produce pre-tax project economic evaluation results (IRR, NPV, payback).