Ann: Orocobre Limited - Cauchari Resource Update, page-13

Not unexpected, but a very good result for Cauchari

Orocobre Managing Director and CEO Mr. Martín Pérez de Solay commented, “Our Joint Venturepartners, Advantage Lithium have delivered a well designed and executed resource definition programthat has more than doubled the total Cauchari resource. This result provides an opportunity toreassess future development options to maximise value for shareholders”

So, AAL have been going down the path of a 25 year life, 20 ktpa facility. So what might this reassessment bring - a larger initial development? A multi stage development? We'll need to be patient on that, but certainly, it is a well endowed acreage.

It has become apparent that the Cauchari resource extends far beyond the salar itself and goes right to the northern boundary of the tenement. On the other side of that boundary is the land upon which the Olaroz plant is sitting. The Olaroz resource is defined only within the Salar proper - how much brine lies at the margins? How much beneath the ponds and plant? Might it extend through to that boundary with the Cauchari tenement? Given the large exploration target at depth below the existing resource, there is good reason to think that the Olaroz resource can grow substantially - much to look forward to.