Risk Factors Update Summary

• Mineral projects will be subject to significant government regulations, increasing compliance costs substantially.
• The Company will not disclose, publicize, or discuss any terms of the Agreement except with attorney or accountant.
• The Equity Compensation Plan was updated in 2023, with significant changes to the Stock Incentive Plan and the number of equity compensation plans.
• Exploration campaign expanded with 16 geologists, 13 technicians, and machinery operators added. This could enhance lithium resource identification.
• Options granted to purchase 105,000 fewer shares in 2023 compared to 2022.
• Changes in executive compensation structure, including stock options and grants, with significant monetary values.
• Company granted LRC an option to purchase additional royalty interest in Brazilian mineral rights. This could impact future revenue significantly.
• The company will receive fully vested shares of Common Stock equivalent to 0.20% of outstanding shares for reaching milestones of $200 million, $300 million, $400 million, $500 million, $600 million, $800 million, and $1 billion in market capitalization.
• Net proceeds from sale of common stock increased from $31 to $902. This change might result in increased liquidity.
• Demand and market prices for lithium greatly affect future revenues and profitability, with prices fluctuating significantly.
• Lithium drilling campaign results show significant Li2O grades, e.g., 2.71% Li2O over 14m. This indicates potential resource richness.
• Related parties outstanding amounts and expenses disclosed for December 31, 2023 and 2022.
• Board approved a reverse stock split at a ratio of 1-for-750, increasing authorized shares to 4,000,000,000.
• Introduction of new agreements for named executive officers, impacting base salary, bonuses, and stock grants.
• The compensation arrangement for Ambassador Noriega changed, receiving options to purchase 6,000 shares of Series D Convertible Preferred Stock in 2023.
• Added valuation models for stock options and restricted stock awards, impacting fair value determination.
• The Company will recover Erroneously Awarded Compensation from Executive Officers in case of an Accounting Restatement.
• The company engaged RTEK International for mining services, with an estimated payment of $1,449,000 and up to 410,000 restricted share units issued.
• Ms. Olson and Mr. Petersen opted to receive shares of common stock instead of cash for director services in 2023.
• Ownership structure with CEO owning over 50% of voting securities may discourage change in control.
• The company entered into agreements with Martin Rowley, issuing convertible promissory notes totaling $10,000,000 and up to 100,000 restricted shares for advisory services.
• ITK will be reimbursed for expenses up to $1,000 without prior authorization, including airfare, transportation, accommodations, and meals during travel.
• Cash received upon issuance of debt increased significantly from $10 to $600. This change impacts financing activities.
• Rectified Reverse Stock Split corrected inaccuracies, retroactively effective as of December 20, 2022.
• Material changes to named executive officers' compensation, including base salary adjustments and performance bonuses.
• ITK will not participate in any mining or mineral exploration business in Brazil during the Employment Period and for one year after.
• New ASU 2023-07 requires additional segment disclosures, affecting segment profit or loss reporting.
• Early-revenue strategy aims for spodumene concentrate production by Q4 2024, with a $49.5 million estimated expenditure.
• Options were valued at $115,707 in 2023, an increase from $103,707 in 2022.
• The Company will not indemnify any Executive Officer against loss of Erroneously Awarded Compensation or claims related to enforcement of the Policy.
• Amendments to director compensation plan, introducing options to purchase 10,000 shares of common stock.
• Proceeds from convertible notes payable decreased from $200 to $125. This change affects financing activities.
• Changes were made to the Security Ownership disclosure, including updated information on stockholders and related matters, with significant changes in the number of outstanding shares and ownership percentages.
• Increased accumulated deficit from $58.7 million to $101.7 million as of December 31, 2023.
• Gross loss decreased by 75.9%, from $235.6 million to $56.8 million, indicating improved operational efficiency.
• Authorized Capital Increase Amendment increased authorized common stock to 4,000,000,000 shares retroactively.
• Enhanced disclosure on outstanding equity awards, detailing options and stock awards for executives.
• ITK will be reimbursed for Portuguese language tutoring expenses up to $200 per month.
• The company disclosed delinquent Section 16(a) reports for various individuals, including late Form 4 filings for stock transactions.
• Plan to fund operations through equity issuances, royalty agreements, and debt financing, with specific agreements in place.
• Cash and cash equivalents at end of period increased from $280,525 to $29,549,927. This change reflects improved cash position.
• Series D Stock conversion ratio changed to 13 and 1/3 shares of common stock per share.
• Operating expenses increased by 40.49%, from $35.3 million to $42.6 million, potentially impacting profitability.
• Exploration activities may require additional capital, potentially leading to dilution through equity or debt issuances.
• Stock-based compensation expense surged by 588%, from $2.27 million to $15.61 million, impacting financials.
• Mineral rights payable decreased from $2,367,600 to $1,080,783. This change may impact liabilities.
• Private Placement raised $10,009,000 by issuing 526,317 shares at $19.00 per share.
• Implementation of a new ERP system may impact operations, financial results, and require significant investments.
• Derivative liability - conversion feature on the convertible debt increased from $486,303 to $1,000,060. This change affects financial liabilities.
• Stock Incentive Plan approved with various stock-based awards and 523,710,635 shares issued.
• Net cash used in operating activities increased by 240%, from $1.48 million to $5.03 million, affecting liquidity.
• Convertible debt increased from $0 to $9,770,724. This change indicates increased debt obligations.