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BRISBANE, AUSTRALIA -- (Marketwired) -- 05/06/13 -- Orocobre Limited (TSX: ORL)(ASX: ORE) ("Orocobre" or "the Company") provides an update of the equity finance contributions for its Olaroz Project and additional information on the recently released Quarterly Cashflow Report.

Finance for Olaroz Lithium Project

Equity Contributions

Both Orocobre and Toyota Tsusho Corporation (TTC) completed their equity contributions to the Singapore joint venture vehicle, Sales de Jujuy Pte Ltd on 1st February 2013. The equity contributions totaled a combined US$75.8m, US$26.92 m by Orocobre and US$48.88m by TTC.

Cash held by Singapore Joint Venture

Currently, Sales de Jujuy Pte Ltd holds US$30.27m pending receipt of cash calls from Sales De Jujuy SA (Argentina). Shares in SDJ Pte Ltd are held by Orocobre as to 72.68% and TTC as to 27.32%.

Loan Financing

Mizuho Bank has provided a US$192m project loan facility to Sales de Jujuy SA. To date no funds have yet been drawn down on the finance.

Loan Agreement with JEMSE

Under the terms of Orocobre's agreement with Jujuy Energia y Minera Sociedad del Estado (JEMSE), Orocobre is to provide a total of US$7.04m in loans to JEMSE so it can meet its funding commitments for its 8.5% interest in the Olaroz project. To date Orocobre has advanced US$4.24m to JEMSE.

The final US$2.8m of this loan is expected to be provided by Orocobre to JEMSE in the current quarter. Funds advanced to JEMSE are treated as loans pursuant to the agreements entered into between the Company and JEMSE and will be repaid to Orocobre from dividends received by JEMSE from the Olaroz operations.

Cash Flow Report

The Quarterly Cashflow Report for the Company released on 30 April 2013 detailed anticipated cash outflows in the April-June quarter of A$9m. This figure has been reported on as a gross outflow basis. There is no provision within the Appendix 5B for cash inflows and any potential cash inflows have not been accounted for in this figure.

As detailed in the Quarterly Cashflow Report, the final fund transfer of A$2.8m from Orocobre to Sales de Jujuy SA is expected to occur in the Apr-Jun 2013 quarter.

Olaroz Lithium Project

The Olaroz lithium project is being developed by Orocobre (66.5%) with is partners Toyota Tsusho Corporation ("TTC") (25%) and the Jujuy Province mining and energy company, JEMSE (8.5%) with a construction budget of US$229m including contingency. The project is fully funded with up to US$275m of funding available via US$82.8m of equity funding from TTC and Orocobre and US$192m of project finance from Mizuho Corporate Bank. First production is scheduled for the end of the second quarter, 2014.

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. Orocobre has recently been 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 le Mineria Argentina ("Fundamin" or Foundation for Development of Argentina Mining). For further information, please visit www.orocobre.com.