Ultra Lithium Upsizes Second Tranche of Previously Announced Private Placement to Raise Up to $8.6 Million Due to Strong Investor Demand

February 14, 2022

Not for distribution to United States Newswire Services or for dissemination in the United States.

Vancouver, BC – Ultra Lithium Inc. (TSX-V:ULT, OTCQB: ULTXF and Frankfurt: QFB) (“Ultra Lithium” or the “Company”) is pleased to announce it has upsized the second tranche of its previously announced non-brokered private placement (the “Offering”) for aggregate gross proceeds to the Company of up to C$8.6 million.

The second tranche will raise up to C$5 million from the sale of 27,777,778 Units at a price of C$0.18 per Unit (increased from the previously announced $0.15 per Unit). As part of the second tranche, Zangge Mining Co., Ltd. (formerly Zangge Holdings Co., Ltd.) (“Zangge”) intends to increase its strategic investment to C$4.14 million. Zangge will participate in the private placement through its wholly owned subsidiary Zangge Mining Investment (Chengdu) Co. Ltd.

Weiguo Lang, CEO of Ultra Lithium Inc. commented, “Zangge’s agreement to increase their strategic investment reflects Zangge’s strong commitment to Ultra Lithium. We look forward to a very productive relationship following Zangge’s recent signing of an exclusive cooperation agreement for exploration and development of Ultra Lithium’s 100% owned Laguna Verde Brine Lithium Project in Catamarca Province, Argentina (see news release dated February 9, 2022).”

Each Unit will be comprised of one common share of the Company (each, a “Unit Share”) and one half of one common share purchase warrant (each whole warrant, a “Warrant”). Each Warrant will entitle the holder thereof to purchase one common share of the Company (each, a “Warrant Share”) at a price of C$0.25 for a period of 12 months following the closing date of the Offering. The net proceeds from the sale of Units will be used to fund the exploration of the Company’s properties in Argentina, Ontario and Nevada and for general working capital purposes.

The closing of the Offering is subject to receipt of all necessary regulatory approvals including the TSX Venture Exchange. The Unit Shares, Warrant Shares and any common shares of the Company that are issuable from any finder’s warrants will be subject to a hold period of four months and one day in accordance with applicable securities laws.  Finder’s fees will be payable in accordance with the policies of the TSX Venture Exchange.

The securities offered have not been, and will not be, registered under the United States Securities Act of 1933, as amended (the “U.S. Securities Act”) or any U.S. state securities laws, and may not be offered or sold in the United States or to, or for the account or benefit of, United States persons absent registration or an applicable exemption from the registration requirements of the U.S. Securities Act and applicable U.S. state securities laws. This press release does not constitute an offer to sell or the solicitation of an offer to buy securities in the United States, nor in any other jurisdiction.

Zangge Mining processing facility in China

About Zangge Mining Co., Ltd.

Zangge Mining Co., Ltd. (“Zangge”), a lithium and potassium producer listed on the Shenzhen Stock Exchange with a market capitalization of about $8 billion USD, is headquartered in Golmud of Qinghai Province of China. Currently, Zangge has the mining rights of 724 km2 in Qarhan Brine Lake. It has been developing and utilizing the brine lake for 20 years and has become the biggest private potash producer in China with an annual production output of two million tons of potassium chloride.

Zangge entered the lithium industry in 2017, using its proprietary, advanced and proven adsorption technology to extract lithium from brine. In 2020, Zangge completed construction of its lithium processing facility in Golmud, Qinghai, China and is producing 10,000 tons of lithium carbonate annually. The current Zangge’s production line has been in continuous operating for 3 years without the need to change and/or add reagents at all and with almost zero pollutants leakage to the atmosphere and ground. The Company is one of only three companies in the world with industrialized adsorption lithium extraction technology.

Since as early as 2007, the core technical team of Zangge has been engaged in technology research and development and industrialized construction for brine lithium extraction and has positioned itself as a adsorption lithium extraction technology leader in the global lithium industry.

For more information about Zangge Mining, visit their website.

About Ultra Lithium Inc.

Ultra Lithium Inc. is an exploration and development company with a focus on the acquisition and development of lithium, gold, and copper assets. The Company holds a brine lithium property in Argentina, and hard rock spodumene type lithium properties at the Georgia Lake / Forgan Lake area in northwestern Ontario, Canada, and a brine lithium property in the Big Smoky Valley, Nevada, USA. The Company also holds other gold and base metals properties in Argentina.

On behalf of the Board of Directors
Kiki Smith, CFO

For further information, please contact:
Kiki Smith, CFO
T: +1-778-968-1176
E: kiki@ultralithium.com
W: www.ultralithium.com
Or view the Company’s filings at www.sedar.com

Cautionary Statement Regarding “Forward-Looking” Information
Some of the statements contained in this press release are forward-looking statements and information within the meaning of applicable securities laws. Forward-looking statements and information can be identified by the use of words such as “plans”, “expects”, “intends”, “is expected”, “potential”, “suggests” or variations of such words or phrases, or statements that certain actions, events or results “may”, “could”, “should”, “would”, “might” or “will” be taken, occur or be achieved. Forward-looking statements and information are not historical facts and are subject to a number of risks and uncertainties beyond the Company’s control. Actual results and developments are likely to differ and may differ materially, from those expressed or implied by the forward-looking statements contained in this news release. Accordingly, readers should not place undue reliance on forward-looking statements. The Company undertakes no obligation to update publicly or otherwise revise any forward-looking statements, except as may be required by law.

Neither TSX Venture Exchange nor its Regulations Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.