Salares Lithium Inc.
TSX VENTURE : LIT

Salares Lithium Inc.

March 18, 2010 09:13 ET

Salares Lithium's Geophysical Survey at 'Las Parinas' Identifies 170 Metre Thick Brine Bearing Horizon

VANCOUVER, BRITISH COLUMBIA--(Marketwire - March 18, 2010) - Salares Lithium Inc. (the "Company") (TSX VENTURE:LIT) is pleased to report the results of the transient electromagnetic survey ("TEM") completed on Salar de las Parinas. This salar is part of the Company's Salares 7 project in Region III, Chile (the "Project"). The TEM survey was carried out by Geodatos SAIC ("Geodatos") of Santiago, Chile, and was designed to define the size and extent of the brine pool within the salar. The majority of the world's lithium production comes from salars, or salt lakes, where prospective lithium mineralization is generally hosted in brine horizons.

Salar de las Parinas, approximately 6.5 kilometres ("km") southeast of the Company's Salar de la Isla, encompasses a total areal extent of 5,400 hectares. The TEM survey lines for Las Parinas were extended beyond the boundaries of the salar on to areas covered by alluvial and/or volcanic material. The survey identified a continuous brine bearing horizon that extended up to 2.5 kms from the salar edge and underneath the adjacent rocks. The three survey lines averaged approximately 9 kms long each.

Using the results obtained from the 26.5 line km survey, Geodatos has constructed a three dimensional model of the distribution of the interpreted brine bearing horizon. This horizon extends from surface to a depth of 170 metres.

Using a resistivity cut-off of 1 ohm/metre (interpreted by Geodatos as probable brine), Geodatos has calculated the brine bearing horizon within the surveyed portion of the las Parinas to have a volume of 1.177 billion cubic metres. Using a resistivity cut-off of 2 ohm/metres (interpreted by Geodatos as possible brines) the calculated volume of this horizon increases to 4.009 billion cubic metres.

In order to determine the actual brine content of this host/reservoir rock, information relating to the porosity will be required from the sample/drill program.

"We are excited about having now identified two salars (La Isla and Las Parinas) in our project area where the volume calculation by Geodatos (of the brine bearing zone) is substantial enough to warrant the Company to fast track its work program. As a result, the infrastructure development (work camp and road building) is underway for a drill/sample program. This program, which we anticipate to begin within a few weeks is to test the interpreted brine horizons for grade and porosity in order for a resource to be calculated at each salar," commented Todd Hilditch, CEO of the Company.

A gravity survey is also being initiated on Salar de las Parinas as the TEM survey was unable to penetrate to the base of the salar. The same problem was encountered at the Salar de la Isla. This indicates that the depth to basement is in excess of 200 metres. There is potential for brine bearing horizons below the depth to which the TEM was able to penetrate.

About Geodatos

The TEM geophysics programs are being carried out by Geodatos, a well known Chilean geophysics company with broad international experience. Pertinent to the Company's needs is that Geodatos has experience and has conducted surveys at the lithium rich Salar de Atacama, located approximately 200 kms north of the Company's Project.

About TEM

TEM uses electromagnetic impulse excitation to investigate the subsurface. It is a variation of the electromagnetic method in which electric and magnetic fields are induced by transient pulses of electrical current in coils or antennas instead of by continuous current. TEM surveys have become the most popular surface EM technique used in exploration for minerals and groundwater and for environmental mapping. Ohm is the unit of measurement of electrical resistance in a material. One ohm is the resistance in a circuit when one volt maintains a current of one amp.

The technical information in this release has been reviewed and approved by Luis Ignacio Silva P. (Ph.D and C.Eng.), Exploration and General Manager for Chile, as a 'qualified person', as defined by NI 43-101, Standards for Disclosure of Mineral Projects.

(Cautionary statement: At this stage there has been insufficient exploration completed such that a mineral resource may be calculated. The potential quantity and grade can only be established with further work, including sampling, which the Company is initiating shortly. It is currently not known if this additional work will result in identifying a mineral resource.)

Salares Lithium Inc.

Salares Lithium Inc. is a lithium explorer in Chile that controls the 'Salares 7' lithium project made up of seven salares (brine lakes that are prospective for sub-surface lithium and potassium) and the surrounding concessions in Region III, Chile. Five of the seven salares are clustered within 155 kilometres and are 100% owned by the Company and its Chilean partner.

For contact information please visit our web page at: http://www.salareslithium.com/

Forward-Looking Statements

Certain of the statements made and information contained herein are "forward-looking statements" within the meaning of Canadian securities legislation or "forward-looking information" within the meaning of the Ontario Securities Act and the Alberta Securities Act. This includes statements concerning the Company's plans at its mineral properties, which involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company, or industry results, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements or forward-looking information. Forward-looking statements and forward-looking information are subject to a variety of risks and uncertainties which could cause actual events or results to differ from those reflected in the forward-looking statements or forward-looking information, including, without limitation, the availability of financing for activities, risks and uncertainties relating to the interpretation of drill results and the estimation of mineral resources and reserves, the geology, grade and continuity of mineral deposits, the possibility that future exploration, development or mining results will not be consistent with the Company's expectations, metal price fluctuations, environmental and regulatory requirements, availability of permits, escalating costs of remediation and mitigation, risk of title loss, the effects of accidents, equipment breakdowns, labour disputes or other unanticipated difficulties with or interruptions in exploration or development, the potential for delays in exploration or development activities, the inherent uncertainty of production and cost estimates and the potential for unexpected costs and expenses, commodity price fluctuations, currency fluctuations, expectations and beliefs of management and other risks and uncertainties. In addition, forward-looking statements and forward-looking information is based on various assumptions. Should one or more of these risks and uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described in forward-looking information or forward-looking statements. Accordingly, readers are advised not to place undue reliance on forward-looking statements or forward-looking information. Except as required under applicable securities legislation, the Company undertakes no obligation to publicly update or revise forward-looking statements or forward-looking information, whether as a result of new information, future events or otherwise.

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

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