Smackover Lithium Receives Key Final Integration Approval from the Arkansas Oil and Gas Commission for South West Arkansas Project

Executive Summary

• The Arkansas Oil and Gas Commission (AOGC) unanimously approved Standard Lithium’s Integration Application for the Reynolds Brine Unit, a critical regulatory step that de‑risks the flagship Southwest Arkansas (SWA) lithium project.
• Prior AOGC approvals included unitization of 20,854 acres (April 24) and a 2.5% lithium royalty (May 29), the first such royalty for lithium brine in Arkansas.
• The SWA Project targets an initial annual production capacity of 22,500 t of battery‑grade lithium carbonate, with first production anticipated in 2028, moving the JV toward a Final Investment Decision (FID).

Key Details

• Integration Approval: AOGC granted unanimous approval for the Integration Application, allowing Standard Lithium to amalgamate non‑leased mineral interests into an approved brine production unit and secure access to the brine resource.
• Unitization Scope: 20,854 acres of the Reynolds brine production area were unitized on April 24, 2025.
• Lithium Royalty: A 2.5% lithium royalty was unanimously approved on May 29, 2025 – the first lithium‑brine royalty in Arkansas.
• Project Capacity: Planned initial annual capacity of 22,500 tonnes of battery‑quality lithium carbonate.
• Production Timeline: First production is expected in 2028, contingent upon completion of a Final Investment Decision (FID).
• JV Ownership: Smackover Lithium JV – Standard Lithium holds 55%, Equinor holds 45%; Standard Lithium serves as operator.
• Strategic Impact: The approval removes a major regulatory hurdle, providing certainty on the underlying resource and supporting progression toward FID.

Notable Quotes

“We thank the AOGC for its attention and support in granting integration approval for our Project,” said Dr. Andy Robinson, President & COO of Standard Lithium. “With this key regulatory milestone behind us, we can continue to push towards a Final Investment Decision for the SWA Project as soon as practical.”

“Arkansas continues to be focused on driving economic growth through regulatory certainty,” said Allison Kennedy Thurmond, VP for US Lithium at Equinor. “The unanimous approvals from AOGC for our unitization, royalty and now integration applications provide confidence for the SWA Project to move forward.”