LibertyStream Announces Lithium Carbonate Offtake Milestone with U.S. Industrial Customer and Provides Operations Update

Executive Summary

• LibertyStream has executed a term sheet for a long-term lithium carbonate offtake agreement with a leading U.S. industrial customer, with a definitive agreement expected within 30 days.
• The multi-year supply relationship will commence in 2027 with initial deliveries of 600 tonnes per annum from Facility 1 in Texas, with pricing locked for the first two years.
• The company provided an operations update estimating all-in operating costs of ~US$6,200 per tonne for a 1,000-tonne-per-annum facility and highlighted a demand pipeline exceeding 10,000 tonnes/year through 2029.
• A consulting agreement with the off-take partner will be formalized alongside the issuance of restricted share units (RSUs) to support scale-up and quality control.

Key Details

• Agreement Type: Term sheet for a long-term lithium carbonate offtake agreement with a leading American industrial customer.
• Definitive Agreement Timeline: Expected to be finalized and entered into within 30 days of the announcement.
• Supply Terms: Multi-year relationship for U.S.-produced lithium carbonate from Facility 1 (Howard County, Texas).
• Delivery Schedule: Initial delivery of 600 tonnes per annum beginning in 2027, delivered in quarterly shipments of 150 tonnes.
• Pricing: Pricing has been set for the first two years of the agreement.
• Operating Cost Estimate: A 1,000-tonne-per-annum facility is estimated to achieve all-in operating costs of approximately US$6,200 per tonne at steady-state commercial scale (includes royalties payable to Select Water Solutions).
• Cash Flow Expectation: Management expects each 1,000-tonne facility to generate standalone positive operating cash flow, subject to realized pricing, operating performance, ramp-up timing, and financing costs.
• Demand Pipeline: LibertyStream has delivered samples to groups representing an anticipated demand pipeline in excess of 10,000 tonnes per annum through 2029.
• Facility Integration: Facility 1 will integrate LibertyStream’s direct lithium extraction (DLE) and refining platform with Select Water Solutions’ existing oilfield water infrastructure.
• Consulting Agreement & RSUs: LibertyStream expects to enter into a consulting agreement with the Offtake Partner (or affiliate) for advisory services to support scale-up and QC. In connection, the Company will issue restricted share units (RSUs) to the partner/affiliate under its amended omnibus security-based incentive plan, to be formalized within 30 days.

Notable Quotes

• “This is the plan coming together,” said Alex Wylie, President and CEO of LibertyStream. “Our team has spent years doing the hard work required to move from field validation to commercial supply - operating in real-world conditions, producing lithium carbonate, moving product through customer channels, and building the partnerships needed to scale. This next step represents a significant advancement in establishing a fully domestic lithium carbonate supply chain for U.S. lithium carbonate customers.”