E3 Lithium Closes Sale of Non-Core Saskatchewan Assets

Executive Summary

• E3 Lithium closed the sale of its non‑core Estevan Lithium District assets, receiving US $4.0 million (≈ C$5.6 million) in cash.
• Net proceeds after purchase‑price adjustments total approximately US $3.7 million, providing additional non‑dilutive capital for the Clearwater Project’s demonstration program and engineering/permitting work.
• The transaction delivers an estimated three‑times return on E3 Lithium’s original cost to acquire and develop the Estevan assets.

Key Details

• Transaction: Sale of non‑core Saskatchewan‑based Estevan Lithium District assets under an Asset Purchase and Sale Agreement announced 30 Sep 2025.
• Cash Proceeds: US $4.0 million gross; net of ~US $0.3 million purchase‑price adjustments, resulting in ≈ US $3.7 million cash received.
• Use of Proceeds: Non‑dilutive funding to advance the Clearwater Project’s Demonstration Program and support engineering, permitting, and further development activities.
• Strategic Rationale: Monetizing a non‑core asset allows focus on flagship Clearwater lithium project in Alberta; enhances balance sheet without equity dilution.
• Return on Investment: Sale price represents roughly a 3× return on total cost incurred by E3 Lithium to acquire, hold, and develop the Estevan assets.
• Closing Conditions: All required third‑party consents, regulatory approvals, and satisfactory environmental/surface rights due diligence were satisfied or waived.

Notable Quotes

“This sale provides nearly a three-time return on E3 Lithium’s total cost to acquire, hold and develop the Estevan Assets,” said Chris Doornbos, Chair and CEO of E3 Lithium.
“The value realized through the sale enables E3 Lithium to focus on advancing our flagship lithium development, the Clearwater Project in Alberta…provides additional non‑dilutive capital to progress through our Demonstration Program and advance the Clearwater Project engineering and permitting.”