Orocobre Limited: $37 Million Placement Completed

Orocobre Limited: $37 Million Placement Completed 
- Enables "fast track" approach to Borax Argentina expansion
initiatives  
- Enhances balance sheet and increases working capital to support
additional growth initiatives 
BRISBANE, AUSTRALIA -- (Marketwired) -- 11/13/13 -- Orocobre Limited
(TSX:ORL)(ASX:ORE) ("Orocobre" or "the Company")  is pleased to
announce that the Company's book build was significantly
oversubscribed and has raised approximately A$37.1 million in a
placement to domestic and international institutional and
sophisticated investors. 
A$20m of the proceeds of this capital raising is anticipated to be
used to fund Borax Argentina expansion and efficiency initiatives,
and A$17m for corporate working capital. 
The placement of approximately 17.66 million shares will be issued
pursuant to Orocobre's 15% capacity under ASX Listing Rule 7.1 at a
price of A$2.10 per share, being a 7.0% discount to the ASX closing
price prior to the Company entering into a trading halt on 11
November. 
The Lead Manager and Bookrunner for the placement was Canaccord
Genuity (Australia) Ltd. 
Managing Director Richard Seville said, "We are very pleased with the
strong demand and support for the placement from both our existing
shareholders and new domestic and international institutional
investors. This reflects the confidence in Orocobre and our lithium
and industrial mineral assets in Argentina. Construction of our
flagship Olaroz lithium project is running on schedule and within
budget and we are looking forward to rapidly pushing ahead with the
initiatives at Borax Argentina. The funding we have put in place will
allow us to "fast track" our plans, and to create a strong platform
for growth. Additionally, we considered it prudent to put in place a
level of working capital "buffer" at the corporate level which we
believe is appropriate for a Company of our size and opportunity." 
Borax Argentina Background and Product Portfolio 
Borax Argentina SA was acquired from Rio Tinto in August 2012. The
business has an operating history spanning 50 years. The operations,
including three open pit mines, concentrators, refining capacity and
significant land holdings, solidifies Orocobre's presence and
operational experience in northern Argentina. The mining operations
are located in Tincalayu, Porvenir and Sijes. The deposits contain
mineralisation described as historical estimates and announced at the
time of the purchase. The company is in the process of converting
these historical estimates into JORC compliant resources. 
There are three different product streams within the business. 
Borax Chemical Products  
This product group includes borax decahydrate, borax pentahydrate and
borax anhydrous. These products are produced from tincal mineral
mined and concentrated at Tincalayu and transported 350 klms to Campo
Quijano for refining. The refining plant at Campo Quijano is in the
process of being relocated to the Tincalayu mine and modified to
treat run of mine mineralisation. The capacity of the plant is 25,000
tpa of finished products and is currently only 60% utilised. The
relocation of the refining plant will result in more efficient
mineral utilisation and lower cost per unit of production. Please
refer to "Orocobre Announces Borax Plant Relocation" ASX announcement
dated 1st July 2013 for further details.  
Borax chemicals are used in: 
Boric Acid  
Currently, Borax Argentina produces boric acid from a 9,000 tonnes
per annum plant at Campo Quijano near Salta city, processing ulexite
mineralisation mined from Porvenir which is located 300kms away. The
plant is designed to treat a high grade feed of ulexite
mineralisation which has been selectively mined and then upgraded by
drying and hand sorting. The Company announced a pre-feasibility
study (4th November, 2013) to assess the feasibility of constructing
a boric acid plant with a production capacity of 16-24,000 tpa boric
acid at Olacapato, 40 kms from the Porvenir mine. The plant flowsheet
will be designed to allow treatment of lower grade run of mine
mineralisation than are currently being processed and with the aim of
obtaining higher recoveries and reduced operating costs. Based on
earlier internal company scoping studies, the estimated capital cost
of the boric acid plant is in the range of US$13-17million including
35% contingency. 
There are potential advantages to the construction of a new and
larger facility at Olacapato. In particular, by being able to process
lower grade "run-of-mine" mineralisation the costly and time
consuming process of drying and hand sorting would be eliminated and
the mining and processing recovery of mineralisation increased. In
addition, the long cartage by road transport would be eliminated and
the increased production rate would provide economies of scale
compared to current operations. 
Boric acid is used in a wide variety of applications including glass,
ceramics, fertilisers and wood preservatives. The market has a growth
profile above world GDP growth. For standard and agricultural grade
boric acid, pricing has ranged approximately between US$750/t to
$1,250/t CIF over the past 5 years. Please refer to the "Boric Acid
Prefeasibility Study" ASX announcement dated 4t h November 2013 for
further details. 
Borate Minerals  
The centre of minerals production is at Sijes where there are open
cut mines and a concentrator. The minerals produced are principally
hydroboracite and colemanite. Colemanite is supplied predominantly
into the ceramic market. Hydroboracite is a mineral almost entirely
found to Argentina and possesses some performance characteristics
that make it attractive for use in certain applications in the
ceramic and agriculture markets. 
Orocobre considers that Borax Argentina has promising organic growth
prospects given its large asset base, strong production
infrastructure and capable management team. 
Historical Estimate for JORC Compliant Resource Conversion Programme 
The Company is currently undertaking a program of upgrading the
historical estimates of mineralisation to JORC compliant resources.  
The first to be completed is expected to be for the Porvenir Mine
where ulexite is mined. Ulexite, is used to make boric acid currently
at the chemical plant in Campo Quijano. This is expected during this
quarter. The second is expected to be the Tincalayu Mine where tincal
is mined for the production of borax chemicals. This is expected in
Q1 2014.  
Once the conversion programme is completed at Tinacalyu and Porvenir,
work will commence on the Sijes hydroboracite deposit and the other
salar hosted ulexite deposits at Diablillos and Ratones. 
To view the map associated with this release, please visit the
following link: http://media3.marketwire.com/docs/911315.pdf.  
About Orocobre Limited  
Orocobre Limited is listed on the Australian Securities Exchange and
Toronto Stock Exchange (TSX:ORL)(ASX:ORE), and is building a
substantial Argentinian-based industrial minerals company through the
construction and operation of its portfolio of lithium, potash and
boron projects and facilities in the Puna region of northern
Argentina. The Company is building in partnership with Toyota Tsusho
Corporation the first large-scale, "greenfield" brine based lithium
project in 20 years at its flagship Salar de Olaroz resource, with
projected production of 17,500 tonnes per annum of low-cost battery
grade lithium carbonate scheduled to commence in Q2, 2014. The
Company also wholly-owns Borax Argentina, an important regional
borate producer. Or
ocobre is included in the S&P/ASX 300 Index and
was named 2012 Mining Company of the Year by Argentine mining
magazine Panorama Minero and the Fundacion para el Desarrollo de la
Mineria Argentina ("Fundamin" or Foundation for Development of
Argentina Mining). For further information, please visit
www.orocobre.com. 
Technical Information, Competent Persons' and Qualified Persons
Statements  
The information in this report that relates to mineralisation at
Borax Argentina sites has been prepared by Mr Murray Brooker. Murray
Brooker is a geologist and hydrogeologist and is a Member of the
Australian Institute of Geoscientists. Murray has sufficient relevant
experience to qualify as a competent person as defined in the 2004
edition of the Australasian Code for Reporting of Exploration
Results, Mineral Resources and Ore Reserves. He is also a "Qualified
Person" as defined in NI 43-101. The information in this report that
relates to mineral processing has been prepared by Mr Peter Ehren.
Peter Ehren is a Member of the Australasian Institute of Mining and
Metallurgy and Chartered Professional and is a consulting mineral
processing engineer. Mr Ehren is also a "Qualified Person" as defined
in NI43-101. The Company confirms that it is not aware of any new
information or data that materially affects the information included
in the references above and that all material assumptions and
technical parameters underpinning the resource estimates continue to
apply and have not materially changed. The Company also confirms that
the form and context in which the Competent Person's findings are
presented have not been materially modified. Additional information
relating to the Company's projects is available on the Company's
website.  
Caution Regarding Forward-Looking Information  
This news release contains "forward looking information" within the
meaning of applicable securities legislation. Forward looking
information contained in this release may include, but is not limited
to the completion of construction at the Olaroz project and the
timing thereof, the commencement of commercial production at the
Olaroz project and the timing thereof, the cost of construction
relative to the estimated capital cost of the Olaroz project, the
conversion of historical estimates to JORCcompliant resources and the
timing thereof, the relocation of and/or potential construction of
plants in Borax Argentina SA, the timing thereof and potential future
benefits of the relocation or construction of these plants.  
The Company believes that the assumptions and expectations reflected
in such forward-looking information are reasonable. Assumptions have
been made regarding, among other things: the timely receipt of
required approvals and completion of agreements on reasonable terms
and conditions; the ability of the Company to obtain financing as and
when required and on reasonable terms and conditions; the prices of
lithium and potash; and the ability of the Company to operate in a
safe, efficient and effective manner. Readers are cautioned that the
foregoing list is not exhaustive of all factors and assumptions which
may have been used. There can be no assurance that forward-looking
information will prove to be accurate, as actual results and future
events could differ materially from those anticipated in such
information. Accordingly, readers should not place undue reliance on
forward-looking information. The Company does not undertake to update
any forward-looking information, except in accordance with applicable
securities laws. 
ABN 31 112 589 910
Contacts:
Orocobre Limited - Australia and Asia
David Hall
Business Development Manager
T: +61 7 3871 3985
M: +61 407 845 052
dhall@orocobre.com 
Orocobre Limited - North America
James Calaway
Chairman
M: +1 (713) 818 1457
jcalaway@orocobre.com
www.orocobre.com