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ETL.V ·

E3 Metals Corp. News Announcement

Corporate Updates

TSXV: ETMC

FSE: OU7A

OTC: EEMMF

DATE

October 26, 2017

TITLE

E3 Metals Corp. News

Announcement

HIGHLIGHTS

Vancouver, BC – October 26, 2017 – E3 METALS CORP. (TSX-V: ETMC, FSE: OU7A, OTC:

EEMMF) (the “Company”, “E3” or “E3 Metals”) is pleased to announce, further to its news

release of October 19, 2017 disclosing initial sampling results, that results from the ongoing

lithium sampling of a further 10 wells over its permit area range from 26.7 mg/L to 77.1 mg/L.

The results provide additional confirmation that lithium concentrations are enriched

throughout the Leduc Reef Trend. Two of the sampled wells will allow E3 Metals to extend the

proposed resource area for the Company’s first National Instrument 43-101 lithium mineral

resource, which is expected to be completed in the coming months.

An additional 10 samples were collected during the Company’s continued sampling program,

including 8 from within the Leduc Formation (Woodbend Group) and 2 from within the Nisku

Formation (Winterburn Group). Both the Nisku and Leduc Formations are Devonian-aged, with

the Nisku occurring between 10-200 metres stratigraphically above the Leduc across the

sampling area. The lithium values from this sampling program range from 26.7 mg/L to 77.1

mg/L from within the Leduc Formation and 42.6 mg/L to 43.3 mg/L from within the Nisku

Formation.

Additional Sampling Results Allows E3

Metals to Extend Area for Definition of its

Initial Lithium Resource

oLithium concentrations obtained from an additional

10 wells from ongoing sampling program outline

concentrations as high as 77.1 mg/L

oResults demonstrate consistency of lithium

enrichment allowing extension of the area for the

definition of the initial lithium mineral resource,

expected in Q4 2017

oThe Central Clearwater and North Rocky areas will be

the focus for the initial lithium mineral resource

estimate

DIRECTORS

Chris Doornbos

Paul Reinhart

Jeremy Read

Mike O’Hara

Peeyush Varshney

CONTACT INFORMATION

205 – 227 10th

St NW

Calgary, AB T2N 1V5

+1 (877) 319-7634

[email protected]

e3metalscorp.com

The Clearwater area assay with an updated average 78.7 mg/L from two samples (Table 1).

These wells will allow E3 Metals to extend the proposed resource area in the Clearwater

property further south to include these new samples (Figure 1). In the Rocky area, one Leduc

well was sampled at 26.7 mg/L. Five Leduc wells were tested in Exshaw East, with an updated

average of 52.6 mg/L. Two Nisku wells were tested in the Exshaw West area, with an updated

average of 74.6 mg/L. In combination with previously announced assay results (see news

release Oct. 19, 2017), E3 Metals has selected an area of interest to focus its efforts (Figure 1),

and is developing a geological and hydrogeological model of the Clearwater Central and Rocky

North Area that will lead to the development of the Company’s initial mineral resource

estimate.

Table 1: Lithium Assay Results from Additional 10 Wells and Summary of All Results to Date

New Assay Results

Geologic

Formation

All Assay Results

E3 Metals

Project

Area

Min Li

(mg/L)

Max Li

(mg/L)

Number

of Wells

Sampled

Total

Average

(mg/L)

Total

Wells

Sampled

Clearwater

76.4 77.1 2 Leduc 78.7 6

Exshaw

West - - 0 Leduc 73.6 17

Exshaw

West 42.6 43.3 2 Nisku 74.6 4

Exshaw

East 53.5 70.7 5 Leduc 52.6 11

Rocky

26.7 26.7 1 Leduc 54.2 13

“These results further delineate that lithium in the Leduc reservoir is wide -spread, with

consistent grades over each area” said Chris Doornbos, CEO of E3 Metals. “This marks a

pivotal point for the Company, allowing us to progress our NI 43-101 lithium mineral resource

towards completion on time, and on budget.”

E3 Metals is working with oil and gas operators to plan and execute on going sampling over

the Metallic and Industrial Minerals (MIM) permit area, which is expected to take place through

the end of 2017. In addition to accessing wells in areas already sampled, E3 Metals is also

focused on high-value exploration target wells in the MIM permit area with no historical lithium

concentration data is available.

Figure 1: E3 Metals permit areas (red outline) with previously announced sampling results

(circles) and new sampling results (triangles). Blue indicates the Leduc Reservoir and green

indicates the Nisku Reservoir. Mineral resource areas are indicated with black dashed lines.

CENTRAL

CLEARWATER

NORTH

ROCKY

6

3

2

5

4

1

4

1 CLEARWATER

2 EXSHAW WEST

3 EXSHAW EAST

4 ROCKY

5 SUNBREAKER

6 DRUMHELLER

2

4

7

10

63

8

1

12

11

9

2

3

1

8

13

19

17

12

16

5

14

1

2

4

376

1510

9

18

11

4

2

1

5

6

3

5

4

84.81

76.64

75.77

75.210

74.313

71.816

77.12

76.15

75.58

74.911

73.914

69.217

76.73

75.86

75.39

74.612

72.615

61.31

57.44

56.77

54.710

58.92

57.15

56.38

53.411

58.23

56.76

55.59

52.212

49.91

45.64

48.02

37.15

46.23

29.16

84.61 77.8379.92

76.24

26.713

70.77 67.98

64.410 53.511

77.15 76.46

66.19

46.719

LEDUC

PREVIOUS RESUL T

NEW RESUL T

NISKU

68.118

41.42144.020

RESOURCE AREA

E3 Metals Corp.

13

6

5

22

23

21

20

11

8 7

10

9

43.322 42.623

E3’s Alberta Petro-Lithium Project

Petro-Lithium is a new source of lithium from formation water in massive reservoirs well

understood through the exploration of oil and gas in Alberta. When the oil is pumped out of

these maturing reservoirs by oil and gas operators, ~98% of the fluid that comes with it is

water and must be separated from the oil in a separation facility. Not all oil and gas reservoirs

contain lithium, which distinguishes E3’s 1.4M acres of permits over the prolific Leduc

Reservoir. E3’s permit area has now been tested and shown to contain significant

concentrations of lithium in sampled brines. The rapidly growing electric car and power

storage industries have increased lithium demand in a supply -constrained growing industry,

creating an opportunity for Petro-Lithium to be an important source to the supply chain in the

future.

E3 has demonstrated the ability to leverage the existing oil and gas fields’ infrastructure to

reduce the exploration costs and development risks compared to conventional exploration for

lithium in salars or hard rock deposits. No new drilling and infrastructure building is required

for current and proposed exploration. With the trend of decreasing oil and gas production in

the area, E3 may be able to acquire infrastructure for minimal cost. While lithium

concentrations found in Petro-Lithium projects are generally at the lower end of the current

lithium industry production grade curve (around 80 mg/L) it is important to understand that

the Leduc Reservoir has the capacity to contain tens of billions of liters of lithium bearing

brines with extremely high flow rates. It is estimated that one well can produce up to

20,000,000 liters of water per day from the reservoir. These high brine flow rates combined

with new direct lithium extraction technologies currently under development by various entities

has potential to create a new source of lithium to supply the expanding lithium industry.

About E3 Metals

E3 Metals is a publicly listed company in the emerging Petro-Lithium space (TSXV: ETMC). E3

has brought together an experienced team that has secured the lithium (and other mineral)

rights to over 570,000 hectares (~1.4 million acres) in Alberta covering the prolific Leduc

Reservoir. Over 60 years of reservoir data from the oil and gas operators is readily available,

and E3 has acquired this data to target its own sampling of the brines from existing wells. It is

expected that repurposing existing infrastructure and historical data will allow E3 to cost

effectively and rapidly define a lithium mineral resource prepared in accordance with NI 43-

101. E3’s focus is to develop a sizable lithium resource that can be exploited by direct lithium

extraction technologies currently under development by industry leaders. More information

about E3 Metals can be found our website by visiting: 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.

Chris Doornbos (P.Geo), CEO and Director of E3 Metals Corp., is a Qualified P erson a as defined by

National Instrument 43-101 and has read and approved the technical information contained in this

announcement

This news release includes certain forward -looking statements concerning the development of the

Company’s Alberta Petro-Lithium Project, the Company’s intention to establish a mineral resource

estimate in respect of its Alberta Petro-Lithium Project and the results thereof, the reliability or accuracy

of sampling results, the anticipated results of future sampling programs, the future performance of our

business, its operations and its financial performance and condition, 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, results of current and future testing, 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.