Li-FT Announces $7 Million Private Placement of Flow-Through Shares

/THIS NEWS RELEASE IS NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES FOR DISSEMINATION IN THE UNITED STATES/

VANCOUVER, BC, Oct. 13, 2022 /CNW/ - Li-FT Power Ltd. ("Li-FT" or the "Company") (CSE: LIFT) (Frankfurt: WS0) is pleased to announce that it has entered into an agreement with Canaccord Genuity Corp. on behalf of a syndicate of agents (collectively, the "Agents") in connection with a "best efforts" private placement (the "Charitable Flow-Through Offering") of 428,400 common shares of the Company (the "Charitable Flow-Through Shares"). The Charitable Flow-Through Shares will be issued at a price of $16.34 per Charitable Flow-Through Share (the "Charitable Flow-Through Offering Price") for aggregate gross proceeds of up to $7.0 million.

The Charitable Flow-Through Shares will qualify as "flow-through shares" (within the meaning of subsection 66(15) of the Income Tax Act (Canada) and section 359.1 of the Taxation Act (Québec)). The gross proceeds from the Charitable Flow-Through Offering will be used by the Company to incur eligible "Canadian exploration expenses" that qualify as "flow-through mining expenditures" (as both terms are defined in the Income Tax Act (Canada)) (the "Qualifying Expenditures") related to the projects of the Company in Québec. The Qualifying Expenditures will be renounced in favour of the subscribers of the Charitable Flow-Through Shares with an effective date no later than December 31, 2022 and in the aggregate amount of not less than the total amount of the gross proceeds raised from the issuance of the Charitable Flow-Through Shares.

The Charitable Flow-Through Offering is being made by way of private placement in Canada. The Charitable Flow-Through Shares will be subject to a four month hold period under applicable securities laws in Canada. The Charitable Flow-Through Offering is expected to close on or about November 3, 2022 (the "Closing Date"), subject to the satisfaction or waiver of the customary closing conditions, including the conditional listing approval of the Canadian Securities Exchange.

About Li-FT

Li-FT is a mineral exploration company engaged in the acquisition, exploration, and development of mineral properties, specifically lithium pegmatite projects located in Canada. The Company currently holds a 100% interest on the Rupert Project, which is a 155,000 hectare greenfield lithium pegmatite exploration initiative, and has recently signed an option agreement for a 15,323 hectare project with 70% interest on the Pontax Property. On September 21, 2022 The Company additionally entered into an option agreement for a 18,535 hectare property with a 100% on the Lac des Montages Project. All properties are located in the James Bay region in Quebec, Canada.

Cautionary Statement Regarding Forward-Looking Information

Certain statements included in this press release constitute forward-looking information or statements (collectively, "forward-looking statements"), including those identified by the expressions "anticipate", "believe", "plan", "estimate", "expect", "intend", "may", "should" and similar expressions to the extent they relate to the Company or its management. The forward-looking statements are not historical facts but reflect current expectations regarding future results or events. This press release contains forward looking statements. These forward-looking statements are based on current expectations and various estimates, factors and assumptions and involve known and unknown risks, uncertainties and other factors.

Forward-looking statements are not a guarantee of future performance and involve risks, uncertainties and assumptions which are difficult to predict. Factors that could cause the actual results to differ materially from those in forward-looking statements include the continued availability of capital and financing, and general economic, market or business conditions, including the effects of COVID-19. Forward-looking statements contained in this press release are expressly qualified by this cautionary statement. These statements should not be read as guarantees of future performance or results. Such statements involve known and unknown risks, uncertainties and other factors that may cause actual results, performance or achievements to be materially different from those implied by such statements. Although such statements are based on management's reasonable assumptions, there can be no assurance that the statements will prove to be accurate or that management's expectations or estimates of future developments, circumstances or results will materialize. The Company assumes no responsibility to update or revise forward-looking information to reflect new events or circumstances unless required by law. Readers should not place undue reliance on the Company's forward-looking statements.

Neither the Canadian Securities Exchange (the "CSE") nor its Regulation Services Provider (as that term is defined in the policies of the CSE) accepts responsibility for the adequacy or accuracy of this release.

This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities in the United States of America. The securities have not been and will not be registered under the United States Securities Act of 1933 (the "1933 Act") or any state securities laws and may not be offered or sold within the United States or to U.S. Persons (as defined in the 1933 Act) unless registered under the 1933 Act and applicable state securities laws, or an exemption from such registration is available.

SOURCE Li-FT Power Ltd.

Julie Hajduk, Chief Executive Officer, Tel: [phone], Email: [email protected], Website: www.li-ft.com