Mr. Douglas Fulcher reports

ONE WORLD LITHIUM SIGNS DEFINITIVE AGREEMENT TO ACQUIRE TWO PATENT APPLICATIONS FOR A LITHIUM EXTRACTION TECHNOLOGY

Subsequent to its press release of Feb. 21, 2023, One World Lithium Inc. has signed an assignment and licence agreement (the definitive agreement) with MatterGreen LLC (MG), an arm's-length Oregon limited liability company, pursuant to which MG shall file and assign to One World Lithium two separate patent applications for lithium carbonation (together, the One World patent applications), which is a lithium extraction technology. Following the assignment, One World will be the sole and exclusive owner of the One World Lithium patent applications and, under the terms of the definitive agreement, MG will continue to develop the technology on behalf of One World to commercialize One World Lithium's ability to extract lithium in a commercial and cost-effective producing plant.

The One World patent applications are for natural brine, and for slurries made from pegmatite, clay, volcanic rock and sediment. Additional patents may be filed in the future as a result of the research and development (R&D) work to be carried out with MatterGreen.

More specifically, MG will conduct and manage the development, testing and R&D laboratory work associated with the commercialization of the technology and the associated patent applications. This is a major milestone for One World to be part of these R&D operations related to the One World Patent Applications, which will be conducted with MG. Accordingly, One World has agreed to finance a portion of MG's development to assist in the furtherance of the R&D laboratory work. One World has also agreed to file for an extension of its non-exclusive research and evaluation with an option from the United States Department of Energy (DOE) National Energy Technology Laboratory which One World has filed. For more information on the DOE option, please see One World's news releases dated March 23, 2022, April 28, 2022, and May 17, 2022, filed under its profile on SEDAR.

MG states: "The objective is to commercialize the OWL patent application technology which seeks to rapidly, economically and environmentally extract lithium, and to generate lithium carbonate directly from a brine while reducing presently common consumables in existing production practices, including adsorbents, absorbents, membranes and electrodes, and environmental burdens originating from substantial uses of local fresh water, acids and solid chemicals."

Basic terms of the definitive agreement

Pursuant to the terms of the definitive agreement, One World will acquire the One World patent applications in consideration for:

• A 5-per-cent gross royalty payable to MG during the pendency of the One World patent applications and for all times before they are issued from all income received by One World for the removal of any substance, that is, removal of lithium and/or any byproducts utilizing the One World patent applications, during the term of the patents issued in connection with the One World patent applications, which royalty shall increase to 7 per cent following the issuance of at least one of the patents under the One World patent applications;
• The issuance of up to two million common shares in the capital of One World at a deemed price per common share equal to the greater of: (a) the price per share on the last trading day before the issuances described below; and (b) the lowest price per share permitted by the policies of the Canadian Securities Exchange as follows: one million shares as of the date of the assignment of the One World patent applications; 500,000 shares upon receipt by One World of the first deliverable of a small-scale demo unit that will produce lithium carbonate; and 500,000 shares upon completion of a pilot site demo unit that will produce lithium carbonate from brine and/or slurries;
• 5 per cent of the net proceeds from the sale of One World patent applications and the technology developed by the project during the pendency of the One World patent applications, and for all times before they are issued, which amount shall increase to 7 per cent following the issuance of at least one of the patents under the One World patent applications;
• The payment by One World of 50 per cent of the legal costs of MG associated with the completion of the assignment, capped at $22,500 (U.S.).

Following the assignment, One World has also agreed to licence back to MG perpetual, non-exclusive, royalty-bearing worldwide licence to use the One World patent applications and any technology or improvements from MG's lab work. In consideration for the licence back, MG shall pay One World a 5-per-cent gross royalty back from all income received by MG from the use, sale or licence from the licence back during the pendency of the One World patent applications and for all times before they are issued, which amount shall increase to 7 per cent following the issuance of at least one of the patents under the One World patent applications. The licence back may not be used in connection with any activities directly related to the extraction of lithium and related elements from natural brines, and from slurries made from pegmatite, clay, volcanic rock and sediment.

Closing of the assignment remains subject to a number of conditions, including, among others, receipt of all requisite regulatory, including the CSE, shareholder and third party consents, if required, waiver and approvals for the assignment, as applicable, and other conditions customary for transaction of this nature. There can be no assurance that the assignment will be completed as proposed or at all.

MatterGreen's founder

Dr. Jinichiro Nakano, who specialized in material science and engineering, graduated with a PhD from McMaster University. Prior to founding MG, Dr. Nakano was a principal scientist and technical fellow with the DOE National Energy Technology Laboratory in Oregon, where he developed novel energy and material technologies that resulted in eight patents and 12 international recognitions.

About One World Lithium Inc.

One World Lithium remains focused on properties of merit that may contain lithium in a brine. The company is also focused on commercial application of its direct lithium extraction technology. One World intends to licence or joint venture its technology to current and future lithium carbonate producers and consumers.

We seek Safe Harbor.