Mr. Keshav Kochhar reports

LI-METAL CORP. ANNOUNCES LATE FILING OF 2024 YEAR END FINANCIAL STATEMENTS

Li-Metal Corp. will be late in filing its financial statements for the year ended March 31, 2024. It anticipates being able to file its 2024 year-end financials, together with the related management's discussion and analysis, and CEO (chief executive officer) and CFO (chief financial officer) certificates (the annual documents) on or before Aug. 16, 2024.

Completion of the company's audit has taken longer than anticipated as a result of management's extensive involvement in a due diligence process with respect to a proposed acquisition with an arm's-length purchaser as previously disclosed by the company in its press release dated June 28, 2024. Notwithstanding the anticipated delay, the company continues to operate normally without disruption and is working diligently and expeditiously with its auditor to complete the audit as soon as possible.

The company has informed staff of the Ontario Securities Commission (the OSC) about the anticipated delay for filing the annual documents, and has applied to the OSC pursuant to Part 3 of National Policy 12-203 -- Management Cease Trade Orders (NP 12-203) for a management cease trade order (MCTO) pending the filing of the annual documents, which MCTO will prohibit the company's management from trading in the securities of the company until such time as the annual documents are filed. No decision has yet been made by the Ontario Securities Commission on this application. The Ontario Securities Commission may grant the application and issue the MCTO or it may impose an issuer cease trade order if the annual documents are not filed on or before the deadline of July 29, 2024.

As described herein, the company plans to file the annual documents on or before Aug. 16, 2024. The company will comply with the alternative information guidelines set out in sections 9 and 10 of NP 12-203 and will file biweekly default status reports in the form of press releases, should the annual documents not be filed at that time. If a MCTO is issued, during the period of default and until filing of the annual documents, the company intends to satisfy the provisions of the alternative information guidelines as set out in NP 12-203, including the requirement to file biweekly status reports in the form of news releases containing prescribed updating information. There can be no assurance that a MCTO will be issued.

Until the company has filed the annual documents, members of the company's management and other insiders are subject to an insider trading black-out as per its internal insider trading and reporting policy. The company confirms that, other than as disclosed in prior press releases and material change reports, there have been no material business developments since the filing on Feb. 28, 2024, of the company's latest interim financial reports for the nine-month period ended Dec. 31, 2023.

The company is not currently subject to any insolvency proceedings. If the company provides any information to any of its creditors during the period in which it is in default of filing the annual documents, the company confirms that it will also file material change reports on SEDAR+ containing such information as is required.

About Li-Metal Corp.

Li-Metal is a Canadian-based vertically integrated battery materials company and innovator commercializing technologies to enable next-generation batteries for electric vehicles and other applications. The company believes its patented lithium metal technology, next-generation battery anode technology and production methods are significantly more sustainable than existing solutions and offer lighter, more energy-dense and safer batteries. Li-Metal's battery materials support battery developers' ability to power more cost-effective electric vehicles that go farther and unlock the future of transportation.

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