Lithium Americas Corp. · NYSE:LAC

Lithium Americas — Investor Presentation (August 2011)

27 slides from Lithium Americas's investor presentation, August 2011

1. Slide 1: Developing One of the World's Largest & Lowest Cost Lithium Operations

   www.lithiumamericas.com (TSX:LAC) (OTCQX:LHMAF) Developing One of the World’s Largest & Lowest Cost Lithium Operations August 2011

2. Slide 2: Cautionary Statements

   Cautionary Statements This presentation is intended to be strictly informational. The Company reserves the right, at its sole discretion, to modify all or any part of this presentation without any liability or notification to any person. This presentation includes statements which may be considered

3. Slide 3: Key Highlights

   Key Highlights One of the World’s Next Largest Lithium Producers  3rd largest lithium brine resource in the world  Operating costs of US$1,434 per tonne – one of the lowest in the industry  Project NPV of US$983 million pre-tax (8% discount rate)  Mine construction expected to commence in 2012 T

4. Slide 4: Achievements

   Achievements Defined Cauchari-Olaroz Lithium Project as World Class in Record Time  April 2009 Company Incorporated - Exploration Commenced  May 2010 Initial Public Offering  August 2010 Exploration Program Completed  November 2010 NI 43-101 Compliant Resource Estimate identified Cauchari-Olaroz

5. Slide 5: Fully Funded to Feasibility / Strategic Partners

   Fully Funded to Feasibility / Strategic Partners  $22.4m in cash and no debt (May 31, 2011)  Shares outstanding (May 31, 2011):  Basic - 77,215,981  Fully diluted - 87,838,504  Market Cap ~ $100m (August 8, 2011)  Magna International and Mitsubishi Corporation are strategic investors with comb

6. Slide 6: Lithium – Market Drivers

   Lithium – Market Drivers  Significant expected demand growth  Largely driven by the demand from the battery industry  Lithium demand for batteries had a 28% CAGR from 2000 to 2009  Small format lithium-ion batteries were the market driver over the last 10 years  (ie laptops, cell phones, digita

7. Slide 7: Lithium – Attractive Market Fundamentals

   Lithium – Attractive Market Fundamentals  Current lithium carbonate price is ~ $6,000 tonne  Chemetall and FMC both raised price of lithium carbonate by 20% effective July 1  Current market dominated by 4 producers (3 from Brine)  Hard rock production cost historically greater than 2x brine prod

8. Slide 8: Location

   Location  Over 80% of the world’s lithium brine reserves are located in the “Lithium Triangle”, an area that comprises parts of Argentina, Chile and Bolivia (also known as the Puna Plateau)  All the Company’s properties are located in Argentina, a country with a history of lithium production  Lar

9. Slide 9: Excellent Infrastructure & Logistics

   Excellent Infrastructure & Logistics  Transportation • Project located on a paved highway connecting Argentina to Chile • Only 550 km from Antofagasta deep sea port  Energy • Access to natural gas pipeline 50 km away  Main consumables available locally Cauchari Olaroz 8

10. Slide 10: Land Tenure

    Land Tenure  The Company controls 84 mineral properties in the Cauchari - Olaroz salt lakes, representing ~ 82,500 ha  Aggregate property payments remaining are ~ US$3 million  100% ownership or right to usufruct 100% of the brine from the ground  Environmental permits granted in 2009  Contract

11. Slide 11: Exploration Summary

    Exploration Summary  Drilling:  54 drill holes (29 DDH and 25 RC) to reconstruct the geology and the brine chemistry of the basin (9,889 m)  Sampling:  832 rock samples for porosity estimations (brine release capacity)  2,390 brine samples  Geophysics:  62.5 kilometers of detailed seismic tom

12. Slide 12: NI 43-101 Compliant Resource Estimate

    NI 43-101 Compliant Resource Estimate Significant Upside:  43 -101 Resource Estimate calculated from only ~1/3 of the principal property package Lithium Resource Estimate (in-situ) (> 500mg/L Li Cut Off Grade) Average Mass Cumulated (in tonnes) Brine Volume Concentration Category Lithium Lithium Li

13. Slide 13: Production Quality Brine

    Production Quality Brine  Lower Mg/Li ratio than Atacama  Lithium grade comparable to Hombre Muerto  Sulfate/Lithium ratio similar to Silver Peak  Conclusion: Brine chemistry is similar to producing mines m/l considering a density of 1.2 Ratio Country Company Location Li K Mg B Mg/Li SO4/Li Boli

14. Slide 14: Production Summary: Pond Process

    Production Summary: Pond Process The brine is extracted from wells and sent to a 3 step pond process: BRINE FROM 1. Preconcentration WELLS PRE CONCENTRATION Ponds: where PONDS 160-180 days NaCl sodium chloride Na2SO4 10H2O and sodium sulphate precipitates 2. Decanting Ponds: CaO where Mg is LITHIUM

15. Slide 15: Production Summary: Lithium Carbonate Processing

    Production Summary Lithium Carbonate Processing From the ponds Process involves taking the Fresh Water concentrated brine at 4% Li into a multi step refining process: 1. Solvent extraction process to extract the boron 2. Adding soda ash to precipitate the lithium carbonate Lithium Carbonate Plant 3.

16. Slide 16: PEA Base Case Highlights

    PEA Base Case Highlights  Based on producing 40,000 tonnes per year (TPA) of lithium carbonate (LCE) – built in two stages of 20,000 tonnes each  Stage 1 construction begins in 2012, with revenue generation commencing in 2014  Stage 2 construction begins in 2016, with revenue generation commencin

17. Slide 17: PEA Valuation – Sensitivity Analysis

    PEA Valuation – Sensitivity Analysis  Independent Market Long Term Price Scenario High Medium * Low (per tonne of LCE) $6,300 $5,500 $4,100 Study prepared by (US#039;s in millions) GEM identifies 3 Annual Revenue (post 2020) 252 220 164 long term price Before Tax: scenarios NPV (6%) 1,660 1,331 755 

18. Slide 18: Capital Costs

    Capital Costs  Capital costs for the full facility are US$399 million  Phase 2 expected to have lower capital cost requirements due to synergies in plant construction and infrastructure costs  Main capital cost driver is pond construction  Company currently has one of the largest testing ponds i

19. Slide 19: Operating Costs

    Operating Costs  Low operating cost is related to low consumption US#039;s per Tonne of Total Operating Costs of reagents Lithium Carbonate %  Highest reagent cost is Direct Costs Soda Ash, followed by Li Plant Chemical Reactives and Reagents 510 36 Lime, and Calcium Pond Chemical Reactives and Reage

20. Slide 20: Pilot Plant Facility

    Pilot Plant Facility Lithium Americas has one of the largest testing facilities in the region – integral step to achieve commercial production 19

21. Slide 21: On-Site Evaporation Ponds

    On-Site Evaporation Ponds  Process adjustments on-site required to define commercial scale production path and advance project to feasibility  Evaporation pans used to produce lithium carbonate at lab scale  Larger ponds used to produce pilot scale production 45m x 14m Pond Evaporation Pans 100m

22. Slide 22: Pilot Plant

    Pilot Plant  Currently producing lithium carbonate at lab scale on-site  SGS Lakefield contracted to build pilot scale lithium carbonate plant scheduled to be completed in Q4 2011  Pilot plant will be supplied brine from recently completed pilot scale (1 ha) pond 21

23. Slide 23: Production Drilling & Aquifer Testing

    Production Drilling & Aquifer Testing  Large diameter production drilling program ongoing for aquifer testing and pond filling  Data will be used to design the wells required for  All tests scheduled for completion in Q3 2011  Two wells completed, third well under construction PB4 pumping 20 l/s

24. Slide 24: Timeline

    Timeline 2011 2012 2013 2014 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Preliminary Economic Assessment G e Pump Tests on Production Wells o Environmental Base Line Program l o Hydrology Model g y Reserve Estimation Lithium Carbonate Pilot Plant Bench Studies E n Lithium Carbonate Pilot Plant C

25. Slide 25: Conclusions

    Conclusions  World’s third largest lithium brine resource  OPEX is one of the lowest in industry  Independent PEA values the project at ~ $1 billion before tax at 8% discount rate  Strategic investors in place  Fully funded to feasibility  Track record of delivering on milestones 24

26. Slide 26: Management

    Management Waldo A. Perez, Ph.D., P. Geo. President, CEO, Director • Dr. Perez has 24 years of academic and industry experience in mineral exploration in South America • Has directed project generation for Barrick Gold Corp and IAMGold Inc., throughout South America, including Peru, Chile, Paraguay

27. Slide 27: Board of Directors

    Board of Directors  W. Thomas Hodgson, MBA (Independent Chairman) • Independent Financial Consultant and Chairman of Greenbrook Capital Partners Inc  Waldo A. Perez, Ph.D, P.Geo • President, CEO, and Director of Lithium Americas Corp  David D’Onofrio, CA • CFO of PowerOne Capital Markets Limited

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