Cypress Development Provides Progress Update ON Feasibility Study and Lithium Extraction Facility

NEWS RELEASE TSXV: CYP | OTCQX: CYDVF

CYPRESS DEVELOPMENT PROVIDES PROGRESS UPDATE

ON FEASIBILITY STUDY AND LITHIUM EXTRACTION FACILITY

January 23, 2023 – Vancouver, Canada – Cypress Development Corp. (TSXV: CYP) (OTCQX: CYDVF)

(Frankfurt: C1Z1) (“Cypress” or “the Company”) is pleased to provide a progress update on its ongoing

Feasibility Study being conducted on the Company’s Clayton Valley Lithium Project (“Project”) near Silver

Peak, Nevada, and on its operational Lithium Extraction Facility (“Pilot Plant”) in Amargosa Valley, Nevada.

Highlights

• The Pilot Plant continues to function as designed, working to optimize the Project’s flowsheet.

The Plant leaches lithium-bearing claystone material, through to the production of concentrated

lithium solution using the Company’s Direct Lithium Extraction (“DLE”) process.

• Additional piloting runs will take place at Saltworks Technologies, Inc. following the successful

production of lithium carbonate (“Li2CO3”) from the Pilot Plant’s concentrated lithium solutions.

• The Project’s Feasibility Study is on schedule and is continuing to advance toward an anticipated

second quarter 2023 completion.

• Arrangements are proceeding to initiate federal, state, and local permitting for the Project, with

compilation of data and evaluation of related infrastructure, including access, water, and power

supply corridors.

• Ahead of the Feasibility Study and permitting, Cypress management is assessing personnel needs

and future Project financing opportunities and structures, which may include government grants

and loans.

Pilot Plant

Cypress continues to conduct testing at its Pilot Plant with the support of del Sol Refining, Inc. Since its

start-up, the Pilot Plant has operated in 28 cycles of continuous 24/7 operation, with minimal down-time

and maintenance matters. The test work was conducted using multiple configurations and equipment to

best replicate the Project flowsheet. In the testing to date, nearly 10,000 samples of solutions, solids and

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precipitates have been collected and analyzed. Other data collection, including recording of flow rates

and physical conditions at key sample points throughout the Pilot Plant, has been conducted, with

particular attention to the DLE section of the Pilot Plant to develop the Project’s mass-balance

calculations, and to finalize the flowsheet for the Feasibility Study.

Pilot Plant testing has achieved targets in most areas, including operating with 100% recycled solutions.

Specific challenges were addressed with sufficient results to aid in the completion of the Feasibility Study.

Further testing in 2023 is planned to confirm the overall process, continue to demonstrate the flowsheet,

and produce samples of Li2CO3. Additional 1000-liter lots of concentrated lithium solution from the DLE

section of the Pilot Plant will be shipped to Saltworks Technologies, Inc, in Richmond, B.C., Canada by

month end.

2023 plans for the Pilot Plant include testing alternate reagents and equipment, which may include

identification of potential by-products, and ways to enhance impurity removal and the DLE process area.

Additional space within the Pilot Plant building has been prepared for this work.

Feasibility Study

The Feasibility Study is advancing on schedule, with completion anticipated by mid-year. On-site

infrastructure designs, including, mine, processing plant, and tailings and waste storage facilities are

completed. Cost estimating and market studies are underway, along with assessments for construction,

component lead-time and off-site infrastructure. Completion of the Feasibility Study will then await

integration of the design and cost estimates for the acid plant underway by thyssenkrupp nucera.

In addition, Cypress management is assessing personnel needs and future Project financing opportunities

and structures, which may include government grants and loans.

About Cypress Development Corp

Cypress Development Corp. is a Canadian based advanced stage lithium company, focused on developing

its 100%-owned Clayton Valley Lithium Project in Nevada, USA. Cypress is in the pilot stage of testing on

material from its lithium-bearing claystone deposit and progressing towards completing a Feasibility Study

and permitting, with the goal of becoming a domestic producer of lithium for the growing electric vehicle

and battery storage market.

ON BEHALF OF CYPRESS DEVELOPMENT CORP.

WILLIAM WILLOUGHBY, PhD., PE

President & Chief Executive Officer

For further information, please contact:

Spiros Cacos | Vice President, Investor Relations

Direct: +1 604 764 1851 | Toll Free: 1 800 567 8181 | Email [email protected]

www.cypressdevelopmentcorp.com

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