Mr. Simon Clarke reports

AMERICAN LITHIUM RECEIVES FIRST OF 3 DRILL PERMITS TO COMMENCE ADDITIONAL DEVELOPMENT AND DISCOVERY DRILLING AT AND AROUND FALCHANI PERU

American Lithium Corp. has received the first of three permits from Peruvian authorities for drilling near Quelcaya, five to six kilometres west of the company's Falchani deposit, and drilling will start immediately.

Simon Clarke, chief executive officer of American Lithium, states: "This is a very significant development for the company which validates recent supportive comments from the new government in Peru and enables us to target the discovery of new lithium mineralization on some of the best previously identified targets on the Macusani Plateau. With momentum building, the company continues to advance its projects in Peru and Nevada with PFS [prefeasibility study] work being fast-tracked on both of our large-scale lithium projects."

This is a major development for the company as it represents the successful conclusion of the company's permit application process to secure this drill permit which now enables the company to drill test several new, high-priority lithium targets. It also provides validation of recent comments from the new government in Peru that the mining sector is now working as normal again and supporting the development of the company's lithium projects and the industrialization of lithium as a new mineral in Peru.

Given these recent developments, the company also anticipates final permits being approved shortly for expansion and infill drilling at both the Falchani lithium deposit and at the Macusani uranium project. The company has four diamond drills on site at Falchani where drilling related to the continuing environmental impact assessment (EIA) commenced in 2022 and is well advanced. The current intention is to complete drilling at both Falchani and Quelcaya prior to commencing drilling at Macusani, likely following completion of the intended spinout of this project into its own listed vehicle, as previously announced.

Highlights:

• Quelcaya discovery and exploration permit received from Ministry of Energy and Mines (Peru), community access agreements and other permits already in place, drilling to start immediately on priority targets;
• Final Falchani expansion and infill drill permit expected within the next few weeks;
• Up to 8,000 metres of diamond drilling (40 drill holes) planned, including:
  • Discovery/exploration diamond drilling at Quelcaya on three key target areas five to six kilometres west of the Falchani resource area, recent fieldwork located outcrop grab samples (1) of up to 3,272 parts per million lithium;
  • Deposit extension drilling on the Falchani deposit, focused west of Tres Hermanas and to the northwest of resource footprint on previously untested ground;
  • Infill drilling within the Falchani resource area for resource reclassification and expansion of the large, indicated and inferred mineral resource to measured and indicated.
• Prefeasibility study (PFS) work is well under way on Falchani with completion targeted for late 2023/early 2024, including an update to existing preliminary economic assessment (PEA) by mid-2023 which will include:
  • Cesium and potassium byproducts which are not currently included;
  • Updated long-term lithium carbonate equivalent pricing from original outdated $12,000/tonne to $20,000/t;
  • Updated mineral resource estimate from current drill program.

Notes

(1) Grab samples are selective and the selected nature of such sampling does not necessarily reflect potential lithium contents expected from future drill testing, however, they do indicate the presence of lithium mineralization and mineralizing systems in the surface rocks collected.

Market awareness program

The company also announces that it has entered into an agreement with New Era Publishing Inc., of Vancouver, B.C., to provide marketing services including content creation and distribution and market awareness and educational campaigns as featured on its channels including the Katus Research website.

The agreement contemplates a four-month time frame, with New Era providing services through Aug. 31, 2023, with a total budget of $1-million (U.S.). Prior to the commencement of services, New Era will receive an advance deposit of $250,000 (U.S.) to secure appropriate space for the campaign, with a further $250,000 (U.S.) to be paid to commence creative development and the balance of $500,000 (U.S.) to be paid to commence the outbound campaign.

New Era has advised that it does not have any equity interest in the securities of the company, or any right to acquire such an interest, and is at arm's length to the company. New Era will provide the company with an opportunity to review all content describing the company with an opportunity to review all content describing the company generated by New Era prior to its publication and New Era will not publish or distribute any content without the prior approval of the company.

The company has elected not to proceed with the engagement of Promethean Marketing Inc. previously announced in the news release issued by the company on Nov. 2, 2022.

Qualified person

Ted O'Connor, PGeo, a director of American Lithium, and a qualified person as defined by National Instrument 43-101 Standards of Disclosure for Mineral Projects, has reviewed and approved the scientific and technical information contained in this news release.

About American Lithium Corp.

American Lithium is actively engaged in the development of large-scale lithium projects within mining-friendly jurisdictions throughout the Americas. The company is currently focused on enabling the shift to the new energy paradigm through the continued development of its strategically located TLC lithium claystone project in the richly mineralized Esmeralda lithium district in Nevada, as well as continuing to advance its Falchani lithium and Macusani, uranium development-stage projects in southeastern Peru. All three projects, TLC, Falchani and Macusani have been through robust preliminary economic assessments, exhibit strong significant expansion potential and enjoy strong community support. Prefeasibility work has now commenced at TLC and Falchani.

We seek Safe Harbor.