Lithium Amers Corp. (LHMAF)

[PLUTUS]

Lithium Americas Completes Construction of Pilot Plant


Lithium Americas Corp. (TSX:LAC)(OTCQX:LHMAF) ("Lithium Americas" or the "Company"), is pleased to announce that its lithium carbonate pilot plant, designed and constructed by SGS Minerals Services ("SGS") in Lakefield, Ontario for its Cauchari-Olaroz project, has been completed and pilot production is now underway. The pilot plant is designed to produce approximately 30 kilograms of battery grade lithium carbonate (99.5% purity) per day. Lithium carbonate will be shipped to strategic partners and potential customers to begin the specification and certification process. Once the testing period of pilot production is completed at SGS, the plant will be shipped to Lithium Americas' Cauchari-Olaroz project site, where it will be put into operation and fed with concentrated lithium brine from the Company's industrial scale evaporation ponds. It is expected that pilot production will continue throughout 2012.

"We are amongst the few lithium brine development companies to have constructed a pilot plant capable of producing battery grade lithium carbonate," said Dr. Waldo A. Perez, President and CEO of Lithium Americas. "While other companies have been able to produce lithium carbonate at lab scale, production at pilot plant scale is more complex and requires having significant evaporation ponds on-site in order to produce the necessary volume of lithium concentrate to feed the pilot plant, as well as having the technology to perform the lithium extraction process and obtain a product with the parameters required by the battery and automotive industries. The completion of the pilot plant is a major achievement and further demonstrates our leadership position within the industry."

Boron and Potash Update

Boron was extracted from the brine using a proprietary solvent extraction technology (patent pending). The commercial viability of boron by-products will be defined during the completion of the Company's definitive feasibility study.

The potash flotation studies carried out at the Saskatchewan Research Council have successfully produced 95 percent purity potassium chloride ("KCl"). As such, the process parameters and flow diagram for potash production required for the definitive feasibility study are close to being finalized.

To view photos of the lithium carbonate pilot plant, as well as photos of the solvent extraction facilities and potash concentrate, please visit the Company's website at www.lithiumamericas.com.