Zinnwald Lithium plc

("Zinnwald Lithium" or the "Company")

Statement re Bacanora Lithium Rule 2.7 announcement

The Zinnwald Board notes today's Rule 2.7 announcement by Bacanora Lithium plc ("Bacanora") and Ganfeng International Trading (Shanghai) Limited ("Ganfeng") regarding the recommended cash offer by Ganfeng for the entire issued and to be issued share capital of Bacanora, other than that which Ganfeng already owns (the "Offer"). The independent directors of Bacanora intend to make a distribution in specie of the shares held by Bacanora in Zinnwald to Bacanora's shareholders, including Ganfeng, subject to the Offer becoming or being declared unconditional in all respects (the "Distribution"). Bacanora currently holds 35.5 per cent. of Zinnwald's issued share capital.

The Offer and the Distribution are subject to a number of conditions as detailed in the aforementioned Rule 2.7 announcement. Zinnwald looks forward to working with potential new shareholders going forward and continues to focus on advancing its wholly owned Zinnwald Lithium Project.

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Notes

Zinnwald Lithium plc (EPIC: ZNWD.L) is an AIM quoted, German focused lithium development company focussed on becoming an important supplier to Europe's fast-growing battery sector. The Company owns the Zinnwald Lithium Project in Germany, a late-stage development project with attractive economics and approved mining licence.  A Feasibility Study, published in June 2019, highlighted a €428m pre-tax NPV, a pre-tax IRR of 27.4% and a 46% EBITDA margin for Zinnwald.  The project is located in the heart of Europe's chemical and automotive industries and has the potential to be one of Europe's most advanced battery grade lithium projects.