Morella Corporation Limited announce that direct lithium extraction ("DLE") process development work has commenced on brine material from the Fish Lake Valley Lithium Project, located in Nevada, USA. The DLE study ("Study") is being completed by Recion Technologies ("Recion") at Recion's laboratory in Edmonton, Canada. The Study is aimed at providing a preliminary economic assessment of lithium extraction using Recion's technology solution and Fish Lake Valley brine.

The Study will be completed at benchtop scale and is expected to be completed in 10-12 weeks. To fully assess the amenability of Fish Lake Valley brine, Recion has presented a staged approach to development of the technologies to be used to successfully extract, concentrate and ultimately produce a lithium chemical product. The first stage (benchtop scale) has commenced and is expected to take 10-12 weeks to complete.

Following completion of this stage of the Study, Recion will report on operating economic factors based on feed grade of the brine sample. The economic factors will include reagent consumption, sorbent costs, recovery rates, power consumption, water consumption and tailings composition. The Study commenced this week with sieving and filtering brine material in preparation for process testwork.

5 micron filter was used first, followed by a 1 micron filter. Recion will analyse all captured deleterious elements as part of the Study to understand tailings composition and shape future management plans.