Lepidico Ltd. announced it has entered into a formal mandate (Mandate) with the United States International Development Finance Corporation (DFC) to undertake an in-depth analysis and evaluation of the Karibib Phase 1 Project (Phase 1 Project) for the purpose of determining whether the Phase 1 Project qualifies for DFC financing. This follows receipt by the Company of an indicative, non-binding term sheet from DFC in respect of the requested debt funding for the Phase 1 Project in Namibia. Under the Mandate, the DFC will undertake detailed due diligence to ensure the Phase 1 Project meets DFC's criteria, including DFC's requirements regarding the Phase 1 Project's creditworthiness, its developmental benefits to Namibia, and its effects on the environment. The Phase 1 Project encompasses the re-development of the open pit mines at Rubicon and Helikon 1, the development of a new mineral concentrator and working capital through to commercial operation. The Phase 1 Integrated Project will have operations across two jurisdictions: Namibia and Abu Dhabi; and potential offtake partners across further jurisdictions resulting in various regulatory and fiscal regimes. The structure of the Phase 1 Integrated Project therefore requires separate legal entities to be established in each operating jurisdiction. Lepidico Chemicals Namibia (Pty) Ltd. (LCN), an 80% owned subsidiary, will develop and operate the Karibib Phase 1 Project while the newly formed, Lepidico Chemical Manufacturing Ltd. (LCM), a 100% owned Abu Dhabi subsidiary will develop and operate the Phase 1 Chemical Plant. LCM will enter into a Concentrate Sales Agreement with the LCN to acquire concentrate on commercial terms. LCM will enter into various offtake/sales Agreements for the sale of lithium hydroxide and various by-products as illustrated. As Lepidico is looking to develop project, LHGP believe a bespoke financing structure is likely to provide an overall reduced cost of funding and bring strategic investors to the Phase 1 Project. Therefore, the financing strategy has been to target investors with a strategic interest in financing the two different components of the Phase 1 Project, composed of the two separate jurisdictions.