Mr. Simon Clarke reports

AMERICAN LITHIUM ANNOUNCES 476% INCREASE IN MEASURED + INDICATED LITHIUM RESOURCES AT FALCHANI - ADDS K, CS AND RB TO BLOCK MODEL

American Lithium Corp. has released an updated mineral resource estimate (MRE) that significantly increases the contained lithium (Li) for the Falchani lithium deposit located in Puno, southwestern Peru, from the previous March, 2019, MRE. The updated MRE was completed by Stantec Consulting Services Inc. as part of the process of updating the preliminary economic assessment (PEA) for Falchani and will be incorporated into the mine plan within the updated PEA. DRA Global (lead engineer for the updated PEA and PFS (prefeasibility study) on Falchani) is now finalizing the updated PEA with completion expected during November.

Stantec is preparing a National Instrument 43-101 technical report for the updated Falchani project MRE, which is expected to be published within 45 days.

Highlights (see the tables entitled "New Falchani mineral resource estimate (Oct. 23, 2023)" and "Previous Falchani mineral resource estimate (March 1, 2019))":

• Measured and indicated -- 5.53 million tonnes (Mt) lithium carbonate equivalent (LCE) (447 Mt at 2,327 parts per million (ppm) Li) an increase of 476 per cent:
  • Measured resource -- 1.01 Mt LCE (69 Mt at 2,792 ppm Li);
  • Indicated resource -- 4.52 Mt LCE (378 Mt at 2,251 ppm Li);
• Inferred resource -- 3.99 Mt LCE (506 Mt at 1,481 ppm Li);
• Base case cut-off has been lowered to 600 ppm Li from previous 1,000 ppm cut-off based on strong project economics, specifically updated operating costs and $20,000/tonne (t) LCE selling price;
• At 1,000 ppm cut-off, the updated measured and indicated resource is 5.32 Mt LCE versus 960,000 tonnes LCE from previous March, 2019, MRE -- an increase of 455 per cent;
• Increased size and grade of resource supports long production potential at Falchani.

Simon Clarke, chief executive officer of American Lithium, states: "We are extremely pleased with the results of our EIA [environmental impact assessment] drill program and the very large increase in resources at Falchani, which includes doubling the contained lithium. Falchani is now one of the largest hard rock lithium projects globally with the ability to produce high-purity battery-grade lithium carbonate. The inclusion of potassium, cesium [Cs] and rubidium [Rb] in the resource block model provides the opportunity to include sulphate of potash (SOP) and Cs-Rb potential byproducts into future financial modelling of Falchani. DRA Global has commenced mine plan modelling, and updating capital and operating costs for the updated PEA, expected within the next several weeks. These strong and strategic updates to the PEA will enable us to fast-track the completion of the PFS."

Mineral resource estimation calculation methodology

The geologic model used for reporting of lithium resources was developed using Seequent's Leapfrog geological modelling software, Leapfrog Geo version 2023.1, and Hexagon Mining's resource modelling and mine planning software, MinePlan version 16.1.1. The geologic model from which lithium resources are reported is a 3-D block model developed using the World Geodetic System (WGS) 1984 UTM zone 19S and is in metric units. Block size is 20 metres (X) by 20 m (Y) and five m (Z). Modelling method and approach is development of a multiple ore per cent standard block model with interpretation of geologic controls on mineralization based on exploration data. A significant new addition to the resource is the recognition of an additional mineralized basement lithological unit below the lower mineralized volcanic breccia horizon.

A base case lithium resource cut-off grade has been calculated based on the economics of a medium size (100 Mtpa (million tonnes per annum)) run-of-mine (ROM) surface mining operation. Processing of the mineralized material would be on site, extracting lithium from volcanic tuffs, volcanic breccias and a coarse felsic intrusion using an acid-digestion method. Resources are reported from within an economic pit shell at 45-degree constant slope using Hexagon mining pseudoflow algorithm. Maximum pit depth is limited to 300 metres below surface. No underground mining is considered.

The following mining, processing, royalty and recovery costs were used to derive a base case cut-off grade to produce a lithium carbonate (Li2CO3) equivalent product:

• Mining costs -- $2.5 (U.S.)/tonne;
• Processing costs -- $50 (U.S.)/tonne;
• General and administration -- $1 (U.S.)/tonne; and
• Processing recovery of 80 per cent.

Revenue from a lithium carbonate product is estimated to be 20,000 (U.S.)/t for the cut-off grade calculation. Using the above inputs and Li2CO3: Li ratio of 5.32, a base case cut-off grade for lithium is estimated to be 600 ppm. The base case cut-off grade of 600 ppm lithium is lower than the previous MRE (Riordan et al., 2020) cut-off grade of 1,000 ppm lithium, mostly due to an increase in the assumed lithium carbonate price.

Resource update effective date -- Oct. 30, 2023:

• Exploration data:
  • 3,075 m of additional drilling from 15 drill holes (2022 to 2023);
  • New total of 12,317 m from 67 drill holes from 35 platforms (2017 to 2023);
  • 15 vertical piezometer core holes from 10 platforms (2022 to 2023);
  • 52 core holes (vertical and inclined) from 25 platforms (2017 to 2019).

Quality assurance/quality control and data verification

Diamond drilling is being conducted using company-owned drill rigs with local contract personnel. Drill core samples are cut longitudinally with a diamond saw, with one-half of the core placed in sealed bags and shipped to Certimin's sample analytical laboratory in Lima for sample preparation, processing and ICP-MS/OES (inductively coupled plasma mass spectrometry/optical emission spectrometry) multielement analysis. Certimin is an ISO 9000 certified assay laboratory. The program is designed to include a comprehensive analytical quality assurance and control routine comprising the systematic use of company-inserted standards, blanks and field duplicate samples, and internal laboratory standards, and has also included check analyses at other accredited laboratories. Downhole thicknesses for vertical drill holes are considered accurate true thickness intersections.

Mineral resource estimate preparation

The MRE has been prepared by Mariea Kartick, PGeo, and Derek Loveday, PGeo, of Stantec Consulting Services in conformity with CIM (Canadian Institute of Mining, Metallurgy and Petroleum) "Estimation of Mineral Resource and Mineral Reserves Best Practices" guidelines and are reported in accordance with National Instrument 43-101. Mineral resources are not mineral reserves and do not have demonstrated economic viability. There is no certainty that any mineral resource will be converted into mineral reserve.

Qualified persons

Ms. Kartick, PGeo, and Mr. Loveday, PGeo, of Stantec Consulting Services are qualified persons as defined by National Instrument 43-101 -- Standards of Disclosure for Mineral Projects, and have prepared or supervised the preparation of, or have reviewed and approved, the scientific and technical data pertaining to the MRE contained in this release, and will be preparing the NI 43-101 technical report for filing on SEDAR+ within 45 days. Ted O'Connor, PGeo, executive vice-president of American Lithium, and a qualified person as defined by National Instrument 43-101, 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 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 hard-rock lithium project and Macusani uranium project 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 is advancing well at Falchani and at TLC.

We seek Safe Harbor.