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E3 Lithium Begins Field Pilot Plant Site Construction

Mine Development & Operations Metallurgy & Processing

E3 Lithium Begins Field Pilot Plant Site

Construction

CALGARY, AB

,

May 16, 2023

/CNW/ - E3 LITHIUM LTD. (TSXV: ETL) (FSE: OW3) (OTCQX:

EEMMF), "E3" or the "Company,"

Alberta's

leading lithium developer and extraction technology

innovator, is pleased to provide a progress update on its field pilot plant. Since receiving the

approval of its Facility Licence on

April 11, 2023

, E3 has been advancing preparation activities to

ensure the site is ready for pilot operations.

On-site work is focused on the installation and operation of the downhole equipment in preparation

for brine production for the pilot. E3 will also conduct a pre-pilot reservoir test that will add to our

understanding of the reservoir fluid characterization for future development work. The site is also

being graded and prepared in advance of equipment arriving. The next stage includes installation of

the piping and protective structure over the next 4-6 weeks.

Manufacturing of the lithium extraction process equipment and E3's sorbent continues offsite and is

on track to arrive in early Q3. The Company anticipates it will require approximately 4 weeks to

install and commission the equipment once on site prior to full operations commencing.

E3 will share Key Performance Indicators for the lithium extraction processes at the pilot plant prior

to commissioning. The Company remains committed to industry-leading environmental and safety

standards and has practices, policies and procedures in place ensure the site operates safely

throughout 2023.

"We are happy to remain on track and on budget for a successful pilot beginning operations in Q3 of

2023," said

Chris Doornbos

, President and CEO of E3 Lithium. "Protecting the environment and

ensuring the health and safety of all those working on site is of fundamental importance to us

throughout the construction and operation of our pilot plant, and this begins with thoughtful and well-

executed site preparation."

Pilot Plant Funding

E3 would like to thank

Alberta Innovates

, the Government of

Canada's

Strategic Innovation Fund

and

Critical Minerals Research, Development and Demonstration Program

for providing funding towards

E3's 2023 pilot plant.

About E3 Lithium

E3 Lithium is a development company with a total of 16.0 million tonnes of lithium carbonate

equivalent (LCE) Measured and Indicated and 0.9 million tonnes LCE Inferred mineral resources

1

in

Alberta

. As outlined in E3's Preliminary Economic Assessment, the Clearwater Lithium Project has

an NPV8% of

USD 1.1 Billion

with a 32% IRR pre-tax and

USD 820 Million

with a 27% IRR after-

tax

1

. E3 Lithium's goal is to produce high purity, battery grade lithium products to power the growing

electrical revolution. With a significant lithium resource and innovative technology solutions, E3

Lithium has the potential to deliver lithium to market from one of the best jurisdictions in the world.

ON BEHALF OF THE BOARD OF DIRECTORS

Chris Doornbos

, President & CEO

E3 Lithium Ltd.

Forward-Looking and Cautionary Statements

This news release includes certain forward-looking statements as well as management's objectives,

strategies, beliefs and intentions. Forward looking statements are frequently identified by such

words as "may", "will", "plan", "expect", "anticipate", "estimate", "intend" and similar words referring

to future events and results. Forward-looking statements are based on the current opinions and

expectations of management. All forward-looking information is inherently uncertain and subject to a

variety of assumptions, risks and uncertainties, including the speculative nature of mineral exploration

and development, fluctuating commodity prices, the effectiveness and feasibility of emerging lithium

extraction technologies which have not yet been tested or proven on a commercial scale or on the

Company's brine, competitive risks and the availability of financing, as described in more detail in our

recent securities filings available at

www.sedar.com

. Actual events or results may differ materially

from those projected in the forward-looking statements and we caution against placing undue

reliance thereon. We assume no obligation to revise or update these forward-looking statements

except as required by applicable law.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in

the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of

this release.

1

: The Preliminary Economic Assessment (PEA) for the Clearwater Lithium Project NI 43-101 technical report is amended Sept 17, 2021. The mineral resource NI 43-101 Technical

Report for the North Rocky Property, effective October 27, 2017, identified 0.9Mt LCE (inferred). The mineral resource NI 43-101 Technical Report for the Bashaw District Project,

effective March 21, 2023, identified 16.0Mt LCE (measured & indicated). All reports are available on the E3 Lithium's website (e3lithium.ca/technical-reports) and SEDAR (

www.sedar.com

).

SOURCE

E3 Lithium

View original content to download multimedia:

http://www.newswire.ca/en/releases/archive/May2023/16/c3872.html

%SEDAR: 00011471E

For further information:

E3 Lithium - Investor and Media Relations, Greg Foofat, Manager,

Investor Relations, [email protected], 587-324-2775

CO: E3 Lithium

CNW 03:05e 16-MAY-23