Mr. Ali Haji reports

LITHIUM ION ENERGY ANNOUNCES DEBT SETTLEMENT AND GRANT OF STOCK OPTIONS

Lithium Ion Energy Ltd. has negotiated debt settlement agreements with certain arm's-length and non-arm's-length creditors. Pursuant to the debt settlement agreements, and subject to acceptance by the TSX Venture Exchange, the company has settled an aggregate amount of $143,669 in debt, in consideration for which it will issue an aggregate of 606,675 common shares of the company at a deemed price of 24 cents per share.

All shares issued in relation to these debt settlements will be subject to a hold period expiring four months and one day after the date the shares are issued, in accordance with applicable securities laws and the policies of the TSX-V.

The company also announces that it has granted to certain consultants and insiders of the company an aggregate of 1.25 million incentive stock options to purchase common shares under the company's incentive stock option plan. Each stock option is exercisable into a common share of the company at a price of nine cents for a period of two years from the date of grant. The stock options will vest immediately and be subject to the terms and conditions of the plan and the policies of the TSX Venture Exchange.

About Lithium Ion Energy Ltd.

Lithium Ion Energy is committed to exploring and developing high-quality lithium resources in strategic jurisdictions. Ion's flagship, 81,000-plus-hectare Baavhai Uul lithium brine project represents the largest and first lithium brine exploration licence award in Mongolia. Ion also holds the 29,000-plus-hectare Urgakh Naran highly prospective lithium brine licence in Dorngovi province in Mongolia. With the acquisition of the Bliss Lake and Little Nahani projects in North West Territories, Canada, Ion has enhanced its lithium asset and jurisdiction profile. Ion is well poised to be a key player in the clean energy revolution, positioned well to service the world's increased demand for lithium.

We seek Safe Harbor.