Mr. Steven Cochrane reports

LITHIUM CHILE PROVIDES UPDATE ON PROPOSED "SPIN-OUT TRANSACTIONS" INVOLVING TWO NEWLY FORMED SUBSIDIARIES: KAIROS GOLD INC. AND LITHIUM CHILE 2.0 INC.

Lithium Chile Inc. has provided an update on the proposed spinout transactions involving two newly formed subsidiaries: Lithium Chile 2.0 Inc. and Kairos Gold Inc. It is intended that Lithium Chile will continue to hold its advanced Salar de Arizaro lithium project while the remaining lithium salar properties will be transferred to Lithium Chile 2.0 and the properties that are prospective for gold, copper and silver will be transferred to Kairos Gold. The shares of both Lithium Chile 2.0 and Kairos Gold are intended to be spun out to the company's shareholders after a special meeting of shareholders to approve the proposed transaction. Materials enabling shareholders to make an informed decision on the merits of the spinout transactions have been filed with the TSX Venture Exchange, with first comments having been received on July 31, 2024.

The time required to complete National Instrument 43-101 compliant technical reports, together with independent valuations of the company's properties -- amongst numerous other documents and the need to obtain exchange approval -- has required that the company delay the special meeting of shareholders until Oct. 7, 2024.

Lithium Chile has applied to list the common shares of Kairos Gold on the exchange with that spinout transaction occurring immediately after the Oct. 7, 2024, special shareholder meeting.

Completion of the transaction involving the spinout of Lithium Chile 2.0 remains subject to the company having successfully concluded the strategic process involving its Arizaro property. Negotiations in that respect are continuing and have been aided by the completion of the prefeasibility study announced by the company on July 23, 2024, which confirmed the robust economics of the Arizaro project.

About Lithium Chile Inc.

Lithium Chile is an exploration company with a property portfolio consisting of 11 properties encompassing 106,136 hectares in Chile, together with 29,245 hectares on the Salar de Arizaro in Argentina. The company has completed and filed an NI 43-101 compliant resource report as well as an NI 43-101 compliant preliminary economic assessment (PEA) on the company's profile on SEDAR+. The company recently completed an NI 43-101 compliant prefeasibility study (PFS), which is expected to be filed on the company's profile on SEDAR+ within the following two weeks.

Lithium Chile also owns four properties in Chile totalling 22,433 hectares that are prospective for gold, silver and copper.

Lithium Chile's common shares are listed on the TSX-V under the symbol LITH and on the OTCQB under the symbol LTMCF.

We seek Safe Harbor.