VANCOUVER, BRITISH COLUMBIA--(Marketwire - Aug. 13, 2010) - 

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Salares Lithium Inc. (TSX VENTURE:LIT) ("Salares") and Talison Lithium Limited ("Talison") are pleased to announce the completion of due diligence and execution of a definitive Arrangement Agreement ("Agreement") for the merger of their respective lithium assets. For details of the proposed merger please see the joint news releases dated August 9, 2010 and July 15, 2010 which are filed on SEDAR at www.sedar.com.

The execution of the Agreement clears the way for Salares shareholders to vote on and approve the merger at a special meeting of shareholders to be held on September 16, 2010. The completion of the proposed merger is anticipated to be implemented by the end of September, 2010, subject to the parties obtaining all necessary approvals and satisfaction of other conditions.

A presentation of the transaction highlights can be accessed at the Salares and Talison websites.

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

About Talison
Talison is the leading global producer of lithium. Talison mines and processes the lithium bearing mineral spodumene at the Greenbushes Lithium Operations in Western Australia. Talison has an extensive, well established global customer network and a leading position in the growing Chinese market.

This press release is for information purposes only.

Forward-Looking Statements

This release contains "forward-looking statements" which reflect the current expectations of the companies. These statements reflect management's current beliefs with respect to future events and are based on information currently available to management. Forward-looking statements involve significant known and unknown risks, uncertainties and assumptions. Many factors could cause actual results, performance or achievements to be materially different from any future results, performance or achievements that may be expressed or implied by such forward-looking statements. Should assumptions underlying the forward-looking statements prove incorrect, actual results, performance or achievements could vary materially from those expressed or implied by the forward-looking statements contained in this release. Although the forward-looking statements contained in this release are based upon what the companies believes to be reasonable assumptions, the companies can not assure investors that actual results, performance or achievements will be consistent with these forward-looking statements. These forward-looking statements are made as of the date of this release and the companies does not assume any obligation to update or revise them to reflect new events or circumstances.