E3 Lithium Outlines 2023 Company Goals and Path to First Lithium
E3 Lithium Outlines 2023 Company Goals and
Path to First Lithium
CALGARY, AB
,
March 2, 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 outline an overview of its 2023 goals and strategic vision.
Accomplishing the 2023 goals outlined below provides the necessary catalysts for E3 to move
towards producing battery-grade lithium from its significant resources in
Alberta
. By actively
evaluating commercially available, and therefore, lower risk process and design solutions, E3
believes it can reduce the project development timeframe, allowing E3 to meet its goal of a
commercial facility by 2026. Enabling the acceleration of the project development and the production
of battery-ready lithium may provide significant advantages to project economics and project
financing.
"With a clear strategy in place, this year E3 is set to deliver on the most significant milestones in the
company's history," commented
Chris Doornbos
, President & CEO of E3 Lithium. "We are confident
that successfully achieving these milestones will firmly establish E3 as a leader of sustainable, locally
supplied battery-ready lithium products, and will position E3 for success, as it looks to move from
development into commercialization following the success of our pilot."
E3's 2023 Goals and Milestones
2023 Goals
Milestones
Q1 2023: Resource Upgrade to Measured and Indicated
A Measured and Indicated (M+I) resource upgrade
increases the understanding and confidence in our brine
producibility. This enables E3 to develop more accurate
production plans and allows the Company to calculate a
reserve within its upcoming PFS.
Announce results of the Measured and Indicated upgrade
Publish the NI 43-101 report
Q3 2023: Field pilot plant
The goal of the pilot is to provide critical information for
E3 to design its commercial facility. E3 has been
developing multiple flow sheets and working with
design firms with a complementary breadth of
knowledge on various aspects of the process. E3 plans
to select the most viable, and fastest path to
commercial, direct extraction technology for Phase 1 of
its commercial production facility.
Obtain approval on facility license from the Alberta Energy Regulator
Complete Detailed Engineering and Design
Publish Key Performance Indicators (KPIs) on expected pilot performance
Commission equipment on site
Commence pilot operations
Publish results against the previously outlined KPIs
Q3-Q4 2023: Lithium hydroxide samples
Producing lithium hydroxide with industry-proven
downstream conversion processes at pilot scale allows
E3 to produce battery grade products from its Direct
Lithium Extraction concentrate. A benefit is the ability to
provide samples for potential offtake partners for
evaluation.
Initiate testing program with an industry leader for lithium hydroxide production
Publish results and specification of the lithium hydroxide produced
End of 2023: Pre-Feasibility Study (PFS)
E3 plans to complete a PFS outlining the detailed plans
for its first commercial facility and one of the first
global reserves for a DLE resource.
Engage Pre-Feasibility EPC firm
Define capacity for the first commercial facility
Publish the results of the PFS
E3's Focused Path to First Lithium
E3's primary focus is to achieve its major milestones in 2023. E3 believes that reaching these goals,
culminating with the completion of its PFS, will be the catalyst for E3 to move towards commercial
development of its first lithium production facility. The Company is focusing on assessing low-risk
processes and technologies to be included in its Pre-Feasibility design, which will result in
commercially available solutions with the potential to reduce the time to design and construct and
increase the likelihood of success of the commercial operations. This strategy should enable E3 to
move more quickly through the next stages of project development once its PFS is complete.
Following a successful PFS, E3 will aim to complete a Feasibility Study, obtain all required
regulatory approvals and deliver a project financing arrangement to enable the construction of its
first commercial facility in
Alberta
.
Producing battery-grade lithium from E3's resources involves bringing together three well known and
understood processes into a combined flowsheet. Within each of these processes are commercially
operating solutions that E3 can leverage to assist in accelerating its timeframes.
Brine Production
: A series of
Alberta
industry standard pipeline connected wells delivers the
brine from the aquifer to and from the processing facility.
Direct Lithium Extraction
: Ion-exchange and water treatment, designed specifically for the
extraction of lithium, employs solid liquid separation technology commonly used in similar
applications combined with lithium selective sorbents.
Lithium Production
: Conversion from lithium sulphate or chloride to lithium hydroxide using
conversion technology is utilized in most current lithium hydroxide and carbonate production and
will be designed for E3 by a leading industry equipment supplier.
E3's highly qualified team of process and project engineers have built facilities in
Alberta
similar in
size to E3's first commercial lithium production facility and have a clear vision for accomplishing this
goal.
De-Risking Factors for E3's Path to First Lithium
Early-To-Market Advantages
: Recent announcements of major investments in the lithium industry
highlight the advantages of E3 bringing lithium to market expeditiously. E3 predicts the early-to-
market advantage allows the potential to capture higher realized lithium prices and subsequently
better overall economics for its initial facility. Additionally, this could result in higher value offtake
contracts and potential financial support from major battery companies and automotive
manufacturers that will more likely occur during the supply/demand imbalance expected in the mid
2020s.
Working with E3's Significant Resource Base
: E3's significant resources in the Bashaw District,
and the untapped potential of the Rocky Area and north, may offer opportunities to partner with
larger companies on developing its assets that may assist in securing funding and advancing its
timeframes.
Offtake Contracts
: E3 is active in developing relationships with the battery and automotive
industries as it moves through the next phase of project development in 2023. E3's strategy has
been to develop meaningful agreements that provide binding provisions for the development of future
sales contracts. E3 has signed non-binding Memorandums of Understanding (MOU) with battery and
automotive manufacturers, however, has elected to keep such MOUs confidential to allow for the
continued negotiation with additional parties.
Local, Sustainable Lithium
: In the global landscape, the search for critical minerals to fuel the race
to electrify transport has brought the focus to the supply chain and the impacts of acquiring these
minerals. We anticipate using only about 3% of the land relative to conventional and currently
operating lithium production systems. We also operate a closed loop system that does not interact
with the local fresh water sources. Given our operations resemble those of the oil and gas industry
in
Alberta
, there is long-standing support and relationships with stakeholders where E3 will be
operating. We can potentially supply the local North American, and European markets with a high
ESG standard lithium product.
Pure Lithium
: Positioning itself for the future, E3 continues its strategic partnership with Pure
Lithium, a lithium metal and battery start up. While this will likely not produce a commercially viable
product in time for E3's first lithium facility, it has the potential to provide optionality for E3 to co-
produce a final battery in
Alberta
in the future.
E3 is very excited about the year ahead and thanks its shareholders for their continued support in
growing E3 towards its goals of first lithium production in
Alberta
.
About E3 Lithium
E3 Lithium is a development company with total of 24.3 million tonnes of lithium carbonate equivalent
(LCE) inferred mineral resources1 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
.Through the successful scale up its DLE technology towards
commercialization, E3 Lithium's goal is to produce high purity, battery grade lithium products. 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.
1: The Preliminary Economic Assessment (PEA) for the Clearwater Lithium Project NI 43-101 technical report is effective 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 July 11, 2022, identified 23.4Mt LCE (inferred). All reports are available on the E3 Lithium's website (e3lithium.ca/technical-reports) and SEDAR (
www.sedar.com
).
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.
SOURCE
E3 Lithium
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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 02-MAR-23