E3 Metals' Lithium Extraction Technology Poised To Capitalize On Booming EV Market

• E3 Metals (ETMC) is a lithium technology and resource company located in Calgary, Alberta.
• They possess a 7 million ton lithium carbonate equivalent inferred mineral resource and have developed a Direct Lithium Extraction (DLE) technology to remove lithium from brines globally.
• The company aims to create a 20,000 ton per annum lithium project by 2025-2026, with potential to expand to 150,000 tons.
• Initial focus is on lithium hydroxide, but they are exploring other markets such as carbonate and lithium metal due to battery technology advancements.
• The CEO, Chris Durmbos, discusses the company's history, their unique brine resource, the DLE technology, and plans for pilot testing and commercial production.

About E3 Metals

E3 Metals is a lithium technology and resource company based in Calgary, Alberta. Founded in 2016, the company is developing a direct lithium extraction (DLE) technology to produce high-purity lithium products from brines. E3 Metals also holds a large lithium resource in Alberta.

Interview with President & CEO, Chris Doornbos

A Massive Lithium Opportunity

E3 Metals CEO Chris Doornbos highlights the massive lithium market opportunity driven by electric vehicle growth. Tesla's demand projections alone point to a supply deficit for lithium. Unlike other battery metals like nickel and cobalt which can be redirected from other industries, new lithium supply needs to be developed specifically for batteries. With lithium used in nearly all EV battery chemistries, demand is set to surge.

Doornbos explains that E3 Metals saw this opportunity back in 2014. After an extensive search, they secured a lithium project and resource in Alberta that was perfectly suited for their DLE technology.

Leveraging Oil & Gas Expertise

E3's lithium brine resource is located within the Leduc Formation, an aquifer that has produced oil and gas since the 1940s. While not previously extracted, lithium has always been dissolved within the brines.

Doornbos explains how E3 is leveraging the extensive oil and gas knowledge and infrastructure in Alberta to fast-track their lithium project. Their team has deep expertise in producing fluids from the Leduc Formation. The company can also repurpose some oil and gas facilities for their needs.

Significant Resource with Upside Potential

E3 Metals' inferred lithium resource in Alberta spans 7 million tonnes lithium carbonate equivalent. Their initial focus is on the Clearwater area which has an average lithium grade of 75 mg/L, quite consistent spatially and over time.

Doornbos highlights the tremendous upside potential with their overall permit area covering 160km x 45km. The resource could significantly expand through additional drilling.

Proprietary DLE Technology

E3 Metals has developed a proprietary DLE technology optimized for their lithium brines. This ion exchange process is able to extract high purity lithium chloride concentrate directly from raw brine in a single step.

In 2021, the company successfully built and tested a prototype system. They are now working with specialized vendors to design and build a pilot plant. The goal is to start pilot operations in early 2023.

The piloting phase will focus on demonstrating the process works at a near-commercial scale. It will also generate large samples for qualification testing with potential offtake partners.

Fast-Track to Production

Doornbos highlights E3's rapid progress towards commercial production. They are aiming to complete three new wells this summer to support the piloting work and underpin an initial reserve estimate.

The company has already developed a scoping study for a 20,000 tonne per year lithium hydroxide project. They estimate they could reach commercial production around 2025-2026. Output could then scale up rapidly to 150,000 tonnes per year leveraging their massive resource base.

The proposed modular design allows for a phased, low-risk expansion. Doornbos notes that E3's projected costs of US$3600-4000/tonne are very competitive versus peers. This demonstrates the excellent economics of their proprietary DLE technology.

Conclusion

With proprietary technology, an ample resource base and a clear path to production, E3 Metals is positioning to be a major new lithium supplier by the mid-2020s. As electric vehicle adoption accelerates globally, demand for high-purity lithium compounds will surge. E3 Metals provides a compelling investment opportunity to capitalize on the rapidly growing lithium market. Interested investors should contact the company or visit their website for more details.