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E3 Metals Arranges $1,334,700 Private Placement

Financings

E3 Metals Arranges $1,334,700 Private

Placement

/THIS NEWS RELEASE IS INTENDED FOR DISTRIBUTION IN

CANADA

ONLY AND IS NOT FOR

DISSEMINATION IN

THE UNITED STATES

OR FOR DISTRIBUTION TO

UNITED STATES

NEWSWIRE SERVICES./

CALGARY, AB

,

Oct. 16, 2020

/CNW/ - E3 METALS CORP. (TSXV: ETMC) (FSE: OU7A) (OTC:

EEMMF) (the "Company" or "E3 Metals") is pleased to announce a non-brokered private placement

(the "Offering") of 3,336,750 common shares ("Shares") of the Company at a price of

$0.40

per

Share for gross proceeds of

$1,334,700

. The Offering has been fully subscribed and will close

immediately upon conditional acceptance of same by the TSX Venture Exchange.

In connection with the Offering, the Company has agreed to pay finder's fees to certain finders of

between 3.5% and 7% of the gross proceeds derived from investors identified by such finders under

the Offering, to be paid at closing out of the gross proceeds raised from the Offering.

The net proceeds received by the Company from sale of the Shares will be used for the accelerated

development of the Company's direct lithium extraction technology, completion of a preliminary

economic assessment on E3's

Leduc

lithium bearing brine reservoir and for general working capital

purposes.

The Offering will be made by way of private placement exemptions in

Canada

,

the United States

and

certain offshore jurisdictions and is subject to a number of conditions, including receipt of all

necessary corporate and regulatory approvals, including the approval of the TSX Venture Exchange.

All securities issued pursuant to the private placement will be subject to resale restrictions of 4

months and 1 day from their date of issuance.

About E3 Metals Corp

.

E3 Metals is a lithium development company with 6.7 million tonnes of lithium carbonate equivalent

(LCE) inferred mineral resources

1

in Alberta. E3 Metals is currently advancing its proprietary direct

lithium extraction (DLE) process in partnership with Livent Corporation (NYSE:LTHM), a global

leader in lithium production, under a joint development agreement. Through the successful scale up

its DLE process towards commercialization, E3 Metals' goal is to produce high purity, battery grade,

lithium products. With a significant lithium resource and innovative technology solutions, E3 Metals

has the potential to deliver lithium to market from one of the best jurisdictions in the world. E3 Metals

also continues to work with partners at the

University of Alberta

and at GreenCentre Canada. For

more information about E3 Metals, visit

http://www.e3metalscorp.com

.

ON BEHALF OF THE BOARD OF DIRECTORS,

Chris Doornbos

, President & CEO

E3 METALS CORP.

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: E3 Metals has released information on three 43-101 Technical Reports totalling a resource of 6.7 Mt LCE. The Central Clearwater Resource Area (CCRA) Technical Report,

identifying 1.9Mt LCE (inferred) is dated effective October 27, 2017, the North Rocky Resource Area (NRRA) Technical Report identifies 0.9Mt LCE (inferred) is dated effective

October 27, 2017, and the Exshaw West Resource Area (EWRA), identifies 3.9Mt LCE (inferred) is dated effective June 4

th

2018. All reports are available on the company's

website and SEDAR (

www.sedar.com

)

SOURCE

E3 Metals Corp.

View original content:

http://www.newswire.ca/en/releases/archive/October2020/16/c5022.html

%SEDAR: 00011471E

For further information:

Chris Doornbos, Phone: (587) 324-2775, [email protected]

CO: E3 Metals Corp.

CNW 17:34e 16-OCT-20