Great American Energy, Inc. Reports on Growth and Projected Expansion of Lithium Market and Demand

Great American Energy, Inc. (OTCBB: SRBL; "Great American Energy" and/or "the Company") is pleased to report on the positive condition of the lithium industry in 2012, as well as projected forecasts of ongoing market expansion and demand.

According to the May 2013 report "Research on Global and China Consumer Electronics Lithium Battery Industry, 2013-2017" by Huidian Research, the capacity of the global lithium battery market experienced a growth rate of 30% in 2012 while the growth rate for consumer electronics was 23%. Worldwide output of lithium-ion batteries reached 5.7 billion units. Of that total output, 2.5 billion units were produced in China alone for an increase of 10% year-on-year over that country's 2011 output.

Looking forward, Huidian Research forecasts that, over the next 5 years, mobile devices such as tablet PCs and ultrabooks will act as drivers of steady growth in the traditional small lithium-ion battery market. Huidian further estimates that by 2017, China's lithium battery market in particular will reach roughly USD$32.22 billion while reaching a compound growth rate of over 30%.

The research firm also foresees the power battery and energy storage battery markets becoming new growth points in the lithium-ion battery industry. As of 2012, large scale energy storage and UPS (uninterruptable power supply) only accounted for 1% of the lithium battery market while consumer electronics accounted for 88% and electric vehicles accounted for 11%.[1]

A report by Navigant Research on lithium-ion battery technology, meanwhile, forecasts that the global capacity of lithium-ion batteries used in transportation applications in 2020 will be over 10 times greater than the expected capacity forecast to be produced in 2013 (i.e., 49,000 MWh in 2020 versus 4,400 MWh in 2013). David Alexander, senior research analyst with Navigant Research, further underscores the positive condition of the lithium industry by pointing out the following:

• Lithium-ion technology continues to improve (i.e., increased energy densities translating into smaller and lighter battery packs with increased power);
• Leading manufacturers have built new battery factories that represent greater automation and faster throughput;
• Superior manufacturing will reduce cost per kilowatt-hour over the next few years, provided that production volumes continue to grow.

In particular, Navigant indicates that battery electric vehicles (BEVs) will drive the expansion of lithium battery demand within the automotive market due to BEVs tending to use higher capacity battery packs than plug-in hybrid electric vehicles (PHEVs).[2]Nissan, the industry leader in BEVs with its all-electric Leaf vehicle, is investing appropriately to meet this automotive-related demand for lithium batteries. Nissan's massive new battery plant in Smyrna, Tennessee, is the largest lithium-ion automotive battery assembly plant in the US. The plant's battery production can be scaled up to 200,000 battery packs per year, and once it reaches full capacity, Nissan estimates the plant will represent an investment of $1.7 billion.[3]

Great American Energy's CEO, Felipe Pimienta, commented: "Between the ongoing growth in the consumer electronics market and the electric and hybrid vehicle market, and the significant upside growth potential of the large scale energy storage sector, the outlook for lithium demand is certainly bright. That growing demand, both internationally and here in America, only increases our motivation and urgency to develop our domestic lithium project."

MORE INFORMATION

Learn more about the lithium market, the Company, and its recent news at Great American Energy’s website: http://www.gamericanenergy.com.

ABOUT GREAT AMERICAN ENERGY, INC.

Great American Energy, Inc. is a publicly traded (OTCBB: SRBL) mineral exploration and development company focused on supporting America’s growing clean energy and clean tech industries. Based in Denver, Colorado, Great American Energy is dedicated to responsibly identifying, acquiring and developing mineral assets in America and US-friendly countries. The Company’s portfolio of projects currently targets lithium and rare earth element production, both of which are essential to America's clean energy and clean tech industries. For more information on the Company and its activities, visit Great American Energy’s website at http://www.gamericanenergy.com.

ON BEHALF OF THE BOARD OF DIRECTORS,

Great American Energy, Inc.
Felipe Pimienta, CEO

999 18th Street
Suite 3000
Denver, Colorado
80202

OTCBB: SRBL

This press release includes certain statements that are forward-looking in nature and that involve a number of uncertainties and risks. Such forward-looking statements are within the meaning of that term in Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. The forward-looking statements in this press release are based on Great American Energy, Inc.'s current expectations and projections regarding future events, which are based on currently available information. The forward-looking statements in this press release may also include statements relating to Great American Energy Inc.'s anticipated new developments, business prospects, financial performance, strategies and similar matters. Great American Energy, Inc. disclaims any obligation to update any of its forward-looking statements, except as may be required by law.

SOURCES:
1. ReportsnReports website, June 3, 2013.
2. Inside EVs website, June 3, 2013.
3. Hybrid Cars website, Apr. 23, 2013.