Lithium Chile Inc. Contracts Ausenco Engineering to Complete its Prelinary Economic Assesment Report on the Salar de Arizaro, Argentina

Lithium Chile Inc. ("Lithium Chile" or the "Company") (TSX:LITH) (OTC:LTMCF) is pleased to announce that AUSENCO Engineering ("AUSENCO") has been selected to co-ordinate and produce the Company's Preliminary Economic Assessment ("PEA") report. The PEA is designed to define the economic parameters and commercial potential for Lithium Chile's Argentinian based Salar de Arizaro project (the "Project"). The PEA will investigate all aspects of going into production including lithium carbonate plant construction, metallurgy, resources quantities and production potential. The PEA will be based on a first 25,000 metric tonne per year production plant with design focused on the ability to double production via a second 25,000 tonne/year module. AUSENCO will require approximately six months to complete the PEA with results expected to be published during Q3 2023. The second 25,000 metric tonne per year module will be included in the study for implementation after the plant has reached steady-state production.

The PEA is designed to provide important pieces of information pertaining to the economic potential of the Salar de Arizaro Project, enabling Lithium Chile to transition from a resource to production company. Obtaining a clear idea of the Salar de Arizaro's commercial potential will contribute significantly to shareholder value.

The PEA will provide the basis, along with an Environmental Impact study, for Lithium Chile to file for production permits for the Arizaro project. Lithium Chile anticipates that in conjunction with the PEA's completion, permitting applications will be filed with the Ministry of Mining Salta, Argentina early in Q3 as well.

Steve Cochrane, CEO, comments "This is a significant step forward in the evolution of Lithium Chile from an early-stage exploration story to a significant lithium production company after only 18 months of commencing work on the property. We are advancing the Project with the cooperation and participation of local communities to establish a sustainable project that benefits those local communities and Lithium Chile stakeholders together. AUSENCO Engineering has been involved in the preparation of numerous PEA reports in South America and has both the people and experience to produce a world class report. We are very pleased to be working with AUSENCO and their South American team".

The Company also announces it has engaged the services of Global One Media Limited ("Global One Media") to manage social media on the Company's behalf, including the distribution of news releases, interviews, and other similar services.

Commenting on the engagement, Bastien Boulay, Managing Partner at Global One Media, said, "We are very excited to be able to introduce and enhance Lithium Chile's exposure to Millennial and Gen Z investors in particular, who consume investment information on digital sources. We aim to help Lithium Chile develop a dynamic online following across their social media channels."

Global One Media does not have any interest, directly or indirectly, in the Company or its securities, or any right or intent to acquire such an interest. Global One Media may provide additional services in the future.

The Company is also pleased to announce that over the past 3 weeks it has received approximately $6,000,000 dollars from the exercise of its outstanding $0.60 warrants. The Company would like to remind shareholders that the balance of the $0.60 warrants outstanding are due to expire Thursday February 23, 2023.

Additionally, Lithium Chile announces, subject to regulatory approval, that it has granted 400,000 stock options to consultants of the Company. The stock options are issued with an exercise price of $0.86, being the closing price of the Company's Common Shares on the TSX-V on February 21, 2023. All Options are subject to the terms of the applicable grant agreements.

ABOUT AUSENCO:

AUSENCO Engineering is an infrastructure consulting and engineering firm offering asset operations, EPC and project management services to multiple industries worldwide. AUSENCO has a 30 year track record of delivering innovative, value added, asset operation and maintenance solutions to the mining, oil and gas sectors.

ABOUT GLOBAL ONE MEDIA:

Global One Media is an innovative investor-focused digital marketing agency solving the needs of small and mid-cap listed companies. We deliver creative and effective solutions for brand positioning and strategic communications across all industries, specializing in investor engagement and growth marketing for listed and pre-IPO companies. Using our global network, we help public companies dominate their sector amid the web and social media landscape, tell their story in an engaging manner, and reach millions of investors around the world.

ABOUT LITHIUM CHILE:

Lithium Chile is advancing a lithium property portfolio consisting of 111,978 hectares in Chile and 20,800 hectares in Argentina.

The Company has a NI 43-101 report with an indicated and inferred resource of 2,587,000 tonnes of lithium carbonate equivalent (LCE) from its Salar de Arizaro, Argentina project. The Phase 2 development program on the Salar de Arizaro is underway with results to be included in an updated NI 43-101 report which can be found on SEDAR.

Lithium Chile also owns 5 properties, totaling 21,329 hectares, that are prospective for gold, silver and copper. Exploration efforts are continuing on Lithium Chile's Carmona gold/silver/copper property which lies in the heart of the Chilean mega porphyry gold/ silver/copper belt.

Lithium Chile's common shares are listed on the TSX-V under the symbol "LITH" and on the OTC-QB under the symbol "LTMCF".

To find out more about Lithium Chile Inc., please contact Steven Cochrane, President and CEO via email: steve@lithiumchile.ca or Michelle DeCecco, Vice President and COO, via email michelle@lithiumchile.ca or at 403-390-9095.

NEITHER THE TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.

FORWARD LOOKING STATEMENTS:

This news release may contain certain forward-looking information and forward-looking statements within the meaning of applicable securities legislation (collectively "forward-looking statements"). Generally, forward-looking statements can be identified by the use of forward-looking terminology such as "expected", "anticipated", "aims to", "plans to" or "intends to" or variations of such words and phrases or statements that certain actions, events or results "will" occur. Such forward-looking statements are based on various assumptions and factors that may prove to be incorrect, including, but not limited to, factors and assumptions with respect to: the general stability of the economic and political environment in which the Company operates and the timely receipt of required regulatory approvals. You are cautioned that the foregoing list of material factors and assumptions is not exhaustive. Although Lithium Chile believes that the assumptions and factors on which such forward-looking statements are based upon reasonable assumptions, undue reliance should not be placed on the forward-looking statements because Lithium Chile can give no assurance that they will prove to be correct or that any of the events anticipated by such forward-looking statements will transpire or occur, or if any of them do so, what benefits Lithium Chile will derive therefrom. Lithium Chile does not undertake to update any forward-looking statements herein, except as required by applicable securities laws. All forward-looking statements contained in this news release are expressly qualified by this cautionary statement.