E3 Lithium and Epsilon CAM Sign MOU for Supply of Battery-Grade Lithium Carbonate, Strengthening Battery Materials Supply Chain

E3 Lithium Ltd. entered into a non-binding Memorandum of Understanding (MOU) with Epsilon CAM Pvt. Ltd. on September 14, 2026. The framework outlines a potential multi-year supply agreement for up to 5,000 tonnes per year of battery-grade lithium carbonate from the Clearwater Project in Alberta. The proposed volume represents approximately 40% of E3 Lithium's planned Stage 1 production capacity of 12,000 tonnes per year. The agreement spans a five-year term, with final volumes and commercial terms to be negotiated in a definitive agreement.

Epsilon CAM is developing a 30,000 tonnes per year Lithium Iron Phosphate (LFP) cathode materials facility in India, with Phase 1 completion targeted for early 2028. The partnership aims to connect upstream Canadian brine resources with downstream cathode production, supporting E3's path toward a Final Investment Decision (FID).

E3 Lithium Ltd. (ETL) has entered into a memorandum of understanding (MOU) that represents a standard commercialization step for a pre-revenue lithium developer advancing toward a final investment decision (FID). As a non-binding framework agreement, the MOU carries no immediate financial obligation or guaranteed revenue stream.

The agreement provides 40% offtake coverage for Stage 1, serving as positive commercial validation. However, definitive agreements are typically required before project financing can be secured. The announcement aligns with management's stated strategy of securing offtake partners to de-risk the Clearwater Project and does not introduce unexpected market-moving catalysts. Execution risk remains high until a binding offtake contract is signed and the Feasibility Study is completed.

E3 Lithium Ltd. (ETL) is developing the Clearwater Project in the Bashaw District of Alberta, Canada. The project utilizes Direct Lithium Extraction (DLE) technology to produce battery-grade lithium carbonate from subsurface brine in the Leduc Formation. Stage 1 targets 12,000 tonnes per year of lithium carbonate, with expansion potential up to 36,000 tonnes per year.

A Pre-Feasibility Study (PFS) completed in 2024 outlines a 1.13 million tonne LCE proven and probable reserve, with an after-tax NPV(8%) of $3.7 billion USD and an IRR of 24.6%. The company has successfully commissioned Phase 1 and Phase 2 of its demonstration facility, confirming brine concentrations of 75.8 mg/L and steady-state flow rates of 1,400 m³/day. Commercial operations are targeted for 2028/2029, contingent on permitting, engineering, and financing.