Zinnwald Lithium Plc provided an exploration update regarding its 100% owned Falkenhain license in Germany. These new results confirm the historic drill data, indicating the potential for an additional economic lithium resource that could provide a possible feed source for the Company's integrated lithium hydroxide project, as it advances a Bankable Feasibility Study towards completion by the end of 2023. The Falkenhain license area is located 2.5km from the proposed Zinnwald processing facility.

Geology: The Schenkenshöhe and Hegelshöhe are Li-Sn-W greisen satellite deposits of the main Zinnwald/Cinovec Li-Sn-W greisen deposits in the Eastern Erzgebirge. The deposits are characterised by several granite intrusions and greisen mineralisation comparable to the occurrence in the Zinnwald Deposit, also hosted in volcanic successions of the regional volcanic complex. 'Greisenisation' is caused by hydrothermal fluids and changes to the mineralogy and geochemistry of the rocks adjacent to fluid pathways.

A key characteristic at Falkenhain are the distinct greisen-types within the surrounding host rocks (exo-contact greisen) and the granites (endo contact greisen). The greisen ore bodies show different generations of Li-Sn-W mineralisation caused by the various granitic intrusions. These are represented by different highly specialised granite types enriched in incompatible elements like Li, Sn, W, and others.

Results from Drill hole LiSH-001 (2022): The purpose of the drill hole was to verify the historic drill-hole SnFhiDi047, which was undertaken in 1974. LiSH-001 was drilled to a total depth of 600.3m and subsequently logged and assayed using the same standards as have been applied for the Zinnwald Lithium Project. The observed lithology is identical to the historic core log of the twinned hole.

Assay results have shown a very similar grade distribution to results from Zinnwald and in general a high degree of grade continuity in both exo- and endo-contact greisens. However, in comparison to Zinnwald, the greisen mineralisation at Falkenhain extends beyond the Albite granite intrusion and into the volcanic host rocks. Additionally, whilst tin and tungsten mineralisation occur at both the Zinnwald and Falkenhain projects, recent and historic drilling results demonstrate notable high-grade zones of tin and tungsten, pointing to further upside potential at Falkenhain.

The first assay result includes long mineralised intersections above 1,500 ppm Li such as: 114m - 194m (80m); Average 2,879 ppm Li; 492 ppm Sn and 271 ppm W: Including 140m - 191m (51m); Average 3,421 ppm Li; 519 ppm Sn and 361 ppm W; 226m - 243m (17m); Average 2,486 ppm Li; 804 ppm Sn and 79 ppm W: Including 237m - 243m (6m); Average 2,842 ppm Li; 1,398 ppm Sn and 49 ppm W; 251m - 261m (10m); Average 1,788 ppm Li; 912 ppm Sn; 21 ppm W; 287m - 299m (12 m); Average 2,283 ppm Li; 264 ppm Sn and 106 ppm W; 308m - 327m (19 m); Average 2,796 ppm Li; 648 ppm Sn and 228 ppm W; 334m - 344m (10m); Average 3,206 ppm Li; > 1,924 ppm Sn and 83 ppm W: Including 334 m - 341 m (7m), Average 3,851 ppm Li, > 2,641 ppm Sn and 64 ppm W Geological interpretation of the results: The positive results indicate the presence of lithium within the Schenkenshöhe deposit. The extent and shape of the lithium mineralisation needs to be further explored by additional drilling. The corresponding geological setting for Schenkenshöhe and Hegelshöhe suggests that the geological potential for greisen style Li /Sn /W mineralisation is analogous and warrants further definition.

Whilst Falkenhain type greisen mineralisation is broadly comparable to Zinnwald type greisen ore, the Company intends to test the processing characteristics of this material further in upcoming test-work campaigns. Based on historic work, and from initial mineralogical studies undertaken by the Company, the main lithium bearing mineral at Falkenhain belongs to the Zinnwaldite Mica Group, while Cassiterite and Wolframite are respectively the main tin and tungsten ore minerals.