RARE EARTHS, SPECIALITY& STRATEGIC METALSINVESTMENT SUMMIT

IRONMONGERS’ HALL, CITY OF LONDON ● TUESDAY-WEDNESDAY, 13-14 MARCH 2012

www.ObjectiveCapitalConferences.com

South American lithiumLuis Saenz – CEO, Li3 Energy

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“Advancing the Development of Lithium & other Strategic

Minerals”

March 2012

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Objective Capital Rare Earths, Specialty & Strategic Minerals

Investment SummitLondon - Edinburg

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Some of the statements contained herein may be forward-looking statements which involve known and unknown risks and uncertainties. Without limitation, statements regarding potential mineralization and resources, exploration results, financing, and future plans and objectives of the Company are forward looking statements that involve various degrees of risk. The following are important factors that could cause the Company’s actual results to differ materially from those expressed or implied by such forward looking statements: The Company’s ability to identify appropriate corporate acquisition and/or joint venture opportunities in the lithium mining sector and to establish the technical and managerial infrastructure to take advantage of, and to successfully participate in such opportunities, changes in the world wide price of mineral commodities including lithium, general market conditions, risks inherent in mineral exploration, risks associated with development, construction and mining operations, the uncertainty of future profitability and the uncertainty of access to additional capital.

Disclaimer:

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Conference Topics:

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Key Discussion Points:

Li3’s Corporate Mandate.

Li3 Overview.

Maricunga $8M Exploration & Development Plan.

Chilean Lithium Mining Law Developments.

POSCO – Pilot/Demonstration Plant.

R3 Fusion – Global Lithium Exclusivity.

New World Resource Corp.

2012 Milestone Goals.

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Today’s Lithium Environment:Li3’s mandate for success:

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Key Discussion Points: Last year Li3 stated it would…

Assemble the most experienced Management Team, Technical Team, Advisory Board & Board of Directors in the Industry.

To compete on a global scale, identify and acquire the lowest cost assets in South America.

Identify and secure Strategic Partners capable of deploying both financial and intellectual capital necessary to develop and commercialize acquired lithium assets.

Speed to market.

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Li3 Overview:

An exploration stage industrial minerals mining company, listed on the OTCBB.Future mid-tier supplier next to SQM, FMC, Talison.Proven Team, High Profile Board & Mineral Advisory Board.Worldwide demand for Lithium is forcasted to increase, driven primarily by increased use of EV.Closed Maricunga acquisition May 2011 - 60% ownership.Ranked Top 11th Lithium Salar (signumBOX) - May 2011.NI 43 -101 Property of Merit (Hains Technology Associates) - May 2011.Executed Strategic Alliance (POSCO Canada Ltd.) - August 2011.Restructured Board of Directors - October 2011.Launched $8MM Phase One of $18MM Exploration and Development Program – September 2011.Executed Strategic Agreement (R3 Fusion) – January 2012.LOI to acquire all the lithium assets of New World Resource Corp. – January 2012.

Address the growing demand for green technologies and alternative energy sources by providing low cost lithium, potassium nitrate, and other strategic minerals used in multiple

markets to global clients seeking to secure supplies while easing dependence on fossil fuels.

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Maricunga Project Highlights:

Highest potential to be exploited in the short term.

Historical work on the Salar de Maricunga calculated a non NI 43-101 compliant mineral resource of 224,300 tonnes Li and 3,274,000 tonnes potash (KCl).

Initial drilling estimated assay values of 1.1g/L lithium, 7.93 g/L potassium, 1.81 q/L boron and 6.6 g/L magnesium.

Previous studies indicate Maricunga would have a production cost lower than Salar de Hombre Muerto and slightly higher than Salar de Atacama due to net evaporation.

Close to strategic mining epicenters (Copiapo & El Salvador).

Infrastructure (road, port and power) in place to support development and operative throughout the year.

1,438 hectares in a world class mining region - situated at 3,760 m.a.s.l.

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Maricunga Project Location:

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Maricunga Historical Resource:

Historical work has been performed on the 8,000 hectare Salar de Maricunga by CORFO (State Agency of the Republic of Chile) in the 1980’s.

CORFO performed a sampling program and calculated the following non NI 43-101 compliant mineral resource at the Salar:

- 224,300 tonnes of Li; or- 600,000 tonnes of Recoverable Li2CO3

(utilizing a 50% recovery factor); or- 30,000 tonnes per year of Lithium Carbonate for 20 years

- 3,274,000 tonnes of KCl (potash); or- 2,300,000 tonnes of KCl (utilizing a 70% recovery factor); or- 115,000 tonnes per year of KCl for 20

years

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Maricunga Operational Update: $8M Phase One Exploration & Development Plan Completed as Planned:

Key Points: Sonic & Reverse Circulation Well Drilling

MARICUNGA K Li Mg Ca SO4

Ratios

(ppm) K/Li Mg/Li SO4/Li

Average 7,490 1,033 6,903 10,438 598 7.2 6.7 0.6

Maximum 12,224 1,708 12,583 26,333 2,466 7.2 7.4 1.4

Boart Longyear:Carried out sonic drilling for the collection of undisturbed samples from continuous core for porosity determinations and brine samples for laboratory chemical analyses. 

Six sonic boreholes for a total of 900m were drilled and completed to a depth of 150m each.

Rock Drilling S.A.:Carried out reverse circulation well drilling with isolated brine sampling.

A total of 884 meters of 6-inch monitoring wells were drilled, and a total of 300 meters of 17-inch production wells were drilled.

Drilling Summary:A total of 431 samples were taken during the drilling and were submitted to the University of Antofagasta in Antofagasta, Chile for analysis.

The preliminary laboratory analysis of the 431 Maricunga brine samples, demonstrated the following values and characteristics:

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Maricunga Operational Update:

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Additional Updates:Environmental Baseline for Salar and base Camp sites completed.Preliminary information from GHD indicates no issues, proposal is being reviewed.Anion Balance and TDS QA/QC checks show good quality and repeatability.Internal Hydrogeological Model to be completed by February 24th.R3 Fusion Lab Demonstration for conventional process to be completed by week of February 28th.300 Core Samples to be completed by March 15th.University of Antofagasta Lab Process Demo for conventional process to be completed by March 15th.Li3 QP Don Hains to complete NI 43-101 Compliant Resource Report by March/April 2012.

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Chilean Lithium Mining Law Developments:

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Office of Competitiveness (Ministry of Economy) announced 10 new initiatives, including:

Re-launching the Chilean Lithium Industry.

Unlocking its restrictions and implementing mechanisms to improve competitiveness within the industry, promote further investment and protect the country’s global market share.

Vice Minister of Mining outlined the basis to allow the exploitation of lithium with the objective of maintaining Chile’s leading lithium producer status:

Conduct an auction for lithium production quotas and licenses (Special Lithium Operations Contracts – CEOL’s).

530K tonnes of lithium carbonate equivalent, valid for 20 years and a 7% annual royalty on revenues.

Additional details on auction to be released late Q1 or early Q2 2012, first CEOL to be issued late in 2012.

Li3 Energy created an “action group” formed by management, Board, shareholders, and outside consultants to monitor the process and developments.

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Li3’s First Commercial DealValidation:

– (NYSE:PKS)

August 11: Executed “SPA” with POSCO Canada Ltd:

$18MM investment commitment.

$8MM invested to fund exploration at Maricunga (9% stakeholder).

$10MM investment upon achieving milestones in March/April 2012.

Why this Strategic Alliance is important for Li3:

Global Fortune 500 Leader.

Long-term partnership to develop a lithium business that brings together financial, intellectual and technical capital.

Strategic Alliance with one of the world’s largest steel manufactures, Poised for active partnering with substantial follow on possibilities:

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Li3’s Second Commercial DealFurther Validation:

March 2012: Executed non-binding “MOU” with POSCO:Design, build and operate demo plant for recovery of lithium and other products at its sole expense.

Non-dilutive.

Li3 to provide technical support.

Site to mutually determined, preferably Maricunga.

Lithium recovered will be for testing purposes only.

Efforts to obtain necessary permits in 2012, targeted to be operational in 4 th quarter 2012.

Technology may be used by POSCO on other Li3 projects.

Li3 and POSCO will negotiate an off-take agreement for percentage of future lithium at market rate.

Why this Strategic Alliance is important for Li3:

Developed Advanced Process Technologies for lithium extraction.Possibly improves lithium recovery yields and shortens time to production.Further demonstrates a committed long-term partnership to develop a lithium business that brings together financial, intellectual and technical capital.

Executed Memorandum of Understanding for Pilot/Demonstration Plant:

– (NYSE:PKS)

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R&D MOU signed June’11:

Positive laboratory results 4th QTR 2011.

Jan’ 2012 - Signed macro agreement with higher Li3 commitment and global lithium exclusivity.

Why this Partnership is important for Li3:

Time savings.

Reduced evaporation ponds.

Improved processes.

Water, water, water….

Agreement to explore use of intensified evaporation technology, poised for active partnering with substantial follow on possibilities:

Li3’s First Technology DealStrategic Value Add:

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New World Resource Corp:

On January 2012, Li3 signed a letter of intent to acquire all of the lithium assets of New World Resource Corp. (TSX.V: NW) (“New World”), a Canadian mineral exploration company.

The lithium assets of New World include rights to 100% of the Pastos Grandes project and New World’s 19% interest in Perfect Lithium, a developmental stage company formed to fund the improvement of lithium powders used in rechargeable batteries.

In consideration for the sale of its lithium assets, which is subject to due diligence, New World would receive 22.5% of Li3’s outstanding equity.

As part of the transaction, Li3 would become a British Columbia Corporation.

Potential Benefits:Upon sucessfull closing of Pastos Grandes, Li3 plans to develop a similar exploration program, applying new evaporative and advanced processing technologies currently being evaluated and tested at Maricunga.

Li3 could gain existing New World institutional shareholder base interested in lithium mining projects in South America.

Pastos Grandes Salar would allow to geographically diversify political risk.

Gaining a second Salar, which is believed to hold brine of relatively high quality for lithium and potassium recovery.

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New World Resource Corp., through its wholly owned subsidiary New World Bolivia S.A. (“New World” or “NW”), has several Joint Venture agreements in the Pastos Grandes Project.

New World’s total position at Pastos Grandes is 7,512 hectares.

Located in the Sud Lipez province, in Potosi, Bolivia, and situated on an elevation of approximately 4,200 m.a.s.l.

The Pastos Grandes Salar is located in a basin surrounded by mountainous terrain with rivers and thermal springs.

Pastos Grandes is accessible via good gravel road and dirt roads, with services available from the town of Uyuni, located 100 miles northeast.

Pastos Grandes Overview:

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On August 24, 2011, New World announced mid program results from its 1,500 meter work program, the highlights of the drill program include:

High lithium content in the drill holes:

Max depth to date is 83m.

1,395 ppm Li and 7,495 K at 42m depth.

Mg/Li ratios, ranging from 2.0 - 3.3.

Expansion and construction of onsite laboratory, offices and accomodations are completed.

Drill program is over 50% complete and will resume once environmental conditions improve.

The second phase of the program includes hydrological tests, initial brine chemistry and evaporation tests.

Pastos Grandes ProjectExploration Program:

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Li3 Milestones and Benchmarks:

• Environmental Impact Study• Permits for Drilling Program• Seismic Survey & Modeling• Core Sample Drilling• Well Drilling• Sample Analysis

COMPLETED

• Feasibility Study

Property Acquisition and Improvements

• Preliminary Economic Assessment

• Lab Process Simulation• Pilot Plant Testing• R3 Technology Lab

Demonstration

Progress & Timelines: Q3 2011 – Q4 2012

3rd Quarter 2011 4th Quarter 2011 1st Quarter 2012 2nd Quarter 2012 3rd Quarter 2012 4th Quarter 2012

• NI 43-101 Compliant Resource Report• POSCO Second Funding Tranche• Li2CO3 produced from Pilot Plant

*Note: Timeline is subject to change.

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Position Li3 as Global Leader in Lithium and other Minerals:Substantially de-risked the Maricunga Asset:

Completion of the Exploration & Development Program on Plan.

Accelerated Development Plan allowed Li3 to catch peer group from a technical project development standpoint.

Executed in 4 months with $8M what peer group took on average 2 years to complete and spent $50M.

Pilot/Demonstration facility clarifies POSCO relationship and future funding needs.

Attaining Geography and Political diversification:Own, control and commercialize the strongest lithium assets in the world; Leverage Li3 – POSCO political capital (Chile & Bolivia).

Paradigm shift - Advanced Process Technologies that will Revolutionize the industry substantially increase lithium recovery and accelerate commercialization process times that significantly improve ROI.

Lowest cost producer in the world.

Strongest management team, board, strategic partners and advisory board.

Command higher valuation against peer group as result.

The Li3 Way Forward: