Geophysical Survey at Basin Results

'Geophysical Survey at Basin Reveals Significant Gravity Low, New Drill Targets. Issue of Options'

announcement released on 14th February 2024 at 07:00 under RNS No 0406D:

"The Company also announces that it has issued to certain of the Company's Directors and Operational Team (together the "Recipients") an aggregate of 2,850,000 new Options representing 0.73% of the Company's issued share capital, each at an exercise price of £0.015 (or C$0.034), representing a 33% premium to market close on AIM and the TSXV on Tuesday, 13 February 2024."

to

"The Company also announces that it has issued to certain of the Company's Directors and Operational Team (together the "Recipients") an aggregate of 2,850,000 new Options representing 0.73% of the Company's issued share capital, each at an exercise price of £0.02 (or C$0.034), representing a 38% premium to market close on AIM and the TSXV on Tuesday, 13 February 2024."

All other details remain unchanged.

The full amended text is shown below.

Bradda Head Lithium Ltd

("Bradda Head", "BHL" or the "Company")

Geophysical Survey at Basin Reveals Significant Gravity Low, New Drill Targets.

Issue of Options

Bradda Head Lithium Ltd (AIM:BHL, TSX-V:BHLI), the North America-focused lithium development group, announces results from a gravity survey conducted at its Basin clay project in Arizona. The gravity survey was completed in late 2023 and post-processing has revealed a significant gravity low over the Basin North area, interpreted as a deep, depositional centre for sedimentary rocks and a deep basement rock geological setting. See Figure 1 below.

Figure 1: Residual gravity cbg survey, property boundary, drill holes, access. Gravity low (dark blue) corresponds to thickening of the Upper Clay, contours lines are 0.25mGal, density is 2.50 gr/cc. Red colors on the image correspond to basement rock, Precambrian granodiorite and granitic rocks.

Summary:

• Results and location of gravity low (deep blue) have been interpreted to represent thicker clay beds, in both the Upper and Lower Clay sequences - potentially substantially thicker than the previous reported lithium-in-clay intersections from our current 43-101 compliant Resource.
• Gravity results also led to the reconnaissance on ground 1.6km to the north but contiguous to our existing Basin licences where new clay and distinct marker bed silica nodules were discovered, indicating the entire clay sequence sits in a shallow setting below post-mineral tuffs and basalt layers.
• The results of the gravity survey and field reconnaissance prompted the staking of 2.8km2 of new lode and placer claims to the north on open BLM land, expanding the clay potential significantly.
• Excellent opportunity to grow the clay deposit to the north and especially to the west where Bradda has over 11km2 of property to explore, and adds confidence to our intent to reach a new resource of +2.5mt of Lithium Carbonate Equivalent (LCE) at the end of the upcoming drilling campaign.

The survey was the first-ever gravity geophysical survey of this kind conducted at Basin and covers the entire property, having collected 130 points across approximately a 32km2 area. Sample stations were collected into basement rock, which consists of Precambrian granites and granodiorite, and then across the center of the Basin property which consists largely of clays, tuffs, and basalt layers. Most importantly, the gravity low corresponds to the thickening of the Upper Clay horizon and potentially the Lower Clay horizon, providing encouragement that the Upper Clay continuing with similar thickness to the north for another 2.7km from the last drill hole (BES23-14) in 2023.

An additional 39 lode claims (2.6km2) were added further to the north, in order to secure opportunities across Basin North. These cover potentially thick clay sequences and, in the process, discovered clay outcrops in the northeastern portion of the newly added claims (see Figure 1 above). The clays have similar attributes to what is visually seen at Basin East and Basin West with silica nodules giving us confidence that the Upper and possibly Lower Clays continue uninterrupted under tuffs, basalts, and fluvial conglomerates.

The gravity survey also covers Basin West, showing gravity lows corresponding to lithium anomalous, >1,000ppm Li in clay outcrops, providing confidence of extensive clay extent throughout the property to the west and northwest.

The survey was conducted by consultant Tom Carpenter, an expert in gravity data collection for the last 35 years throughout North America. The data was collected with a LaCoste and Romberg Model-G gravity meter number G-230. This instrument is capable of sensitivities of +/- 0.005 mGal and had excellent repeatability on 8 stations. A total of 130 gravity station locations were collected with a Leica GPS Model GS15 to +/- 0.001 to 0.032 meters and processed the data, producing excellent elevation control data. All information was reduced and processed by Mr. Carpenter, who used his knowledge and Geosoft Oasis montaj software to correct the data for terrain (elevation changes) and removed all regional effects to produce complete bouguer and residual gravity maps, and at different densities, to better reflect the variable lithologic host rocks on the property.

Ian Stalker, Executive Chairman, commented:

"The results from this first-ever gravity based geophysical survey in our Basin district in Arizona USA add to our confidence to reach our new target resource no. of 2.5mt of LCE with a limited amount of further drilling. This cost-effective campaign is designed to allow us to unlock a further US$3m payment from LRC, the royalty company that has an existing royalty agreement with us.

"The potential existence of thicker clay beds in both Upper and Lower Clay sequences is hugely encouraging and reaffirms our understanding of our Basin Project as an important resource for lithium-in-clay. The additional discovery of the new clay and silica nodule beds to the north is indicative of favourable open pit based mining conditions, further promoting the value of this project.

"We look forward to commencing our new Basin focussed drilling campaign in the very near future."

Issue of Options

The Company also announces that it has issued to certain of the Company's Directors and Operational Team (together the "Recipients") an aggregate of 2,850,000 new Options representing 0.73% of the Company's issued share capital, each at an exercise price of £0.02 (or C$0.034), representing a 38% premium to market close on AIM and the TSXV on Tuesday, 13 February 2024.

Options awarded are subject to the following conditions (and the other terms of the Stock Option Plan of Bradda Head (the "Plan")):

• Options vest immediately following approval;
• No performance or non-performance conditions attached to them;
• Options are exercisable for a period of five years from date of issue; and
• The Options issued to each participant will lapse upon any participant no longer being an employee or connected person remunerated by the Company.

Directors and persons discharging managerial responsibilities ("PDMRs") included in the award are detailed in the table below:

For further information please visit the Company's website: www.braddaheadltd.com.

Qualified Person (BHL)

About Bradda Head Lithium Ltd.

The Basin East Project has an Indicated Mineral Resource of 17 Mt at an average grade of 940 ppm Li and 3.4% K for a total of 85 kt LCE and an Inferred Mineral Resource of 210 Mt at an average grade of 900 ppm Li and 2.8% K (potassium) for a total of 1.09 Mt LCE. In the rest of the Basin Project SRK has determined an Exploration Target of 250 to 830 Mt of material grading between 750 to 900 ppm Li, which is equivalent to a range of between 1 to 4 Mt contained LCE. The Group intends to continue to develop its three phase one projects in Arizona, whilst endeavouring to unlock value at its other prospective pegmatite and brine assets in Arizona, Nevada, and Pennsylvania. All of Bradda Head's licences are held on a 100% equity basis and are in close proximity to the required infrastructure. Bradda Head is quoted on the AIM of the London Stock Exchange with the ticker of BHL, and on the TSX Venture Exchange with a ticker of BHLI.

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