E3 Lithium Initiates Permitting Process for the Clearwater Project Central Processing Facility with Submission of EPEA Application

CALGARY, Alberta--(BUSINESS WIRE)--Dec 8, 2025--

E3 LITHIUM LTD. (TSXV: ETL) (FSE: OW3) (OTCQX: EEMMF), “E3”, “E3 Lithium” or the “Company,” a leader in Canadian lithium development, has submitted its Environmental Protection and Enhancement Act (“EPEA”) application to the Alberta Energy Regulator (“AER”) and has initiated the formal AER Directive 056 (“D56”) notification and consultation program for its Clearwater Project Central Processing Facility (“CPF”).

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The EPEA application represents a significant step forward in advancing E3 Lithium’s commercialization plans for lithium production in Alberta. EPEA is a provincially mandated submission common for facilities of this nature in Alberta. The EPEA application describes the Clearwater Project, its main process operations, and outlines the environmental management plans and mitigation strategies that will be deployed by E3 to ensure that its Clearwater lithium extraction and processing facility is operated safely and responsibly.

The first step in the D56 application process is the formal consultation and notification of stakeholders in the area surrounding the CPF prior to the formal permit application to the AER, which is separate from the EPEA application that has been submitted by E3. The consultation and notification process began in late November and E3 anticipates submitting the D56 facility application for the CPF in early 2026. An approved D56 license for the CPF will provide the required provincial government authority to construct and operate the CPF. When approved, the application ensures that the CPF meets Alberta’s safety, environmental, and land-use standards and that E3 Lithium has completed meaningful engagement with stakeholders.

The Permitting Process for the Lithium Production Facility

In Alberta, brine hosted minerals are regulated through the AER, which determines the overall process and outlines, through Directives, the application-specific licenses required to build and operate. The CPF, which will host the lithium production equipment, requires both approval under D56 and EPEA, which are separate applications.

The production of the brine through wells and pipelines is also governed under D56, with specific sections for these types of application. Each well and pipeline will be subject to individual approvals after consultation with landowners, similar to the current consultation process for the CPF. The full production and reinjection of brine is then governed through a reservoir scheme application under AER Directive 065. E3 will be conducting consultation for the wells and pipelines through 2026 for the first phase of development. Additional permits for power facilities are also underway and the Project will need a municipal development permit issued by the county. Additional information on permit application process can be found on the AER website at www.aer.ca.

“The Mineral Resource Development Act, passed in late 2021, provided a regulatory framework to the AER for lithium in brine, with E3 Lithium being the first company to receive a facility license under this framework for its Demonstration Facility,” said Chris Doornbos, President and CEO of E3 Lithium. “The submission of the EPEA application and commencement of the consultation process for the D56 permit comes after 2 years of early engagement with the most proximal landowners. We appreciate the ongoing communication with local stakeholders whose feedback has been impactful as we have finalized the design of the facility. Starting the permitting marks an important milestone in the progression of our Clearwater Project toward commercial operations.”

The application for the facility would enable production of up to 32,000 tonnes per year of lithium carbonate (“LC”). E3 Lithium’s current development plans bring the Clearwater Project into production in phases, with Phase 1 production targeted to be approximately 12,000 tonnes of LC per year. Timeframes to receive approval for facility licenses of this nature in Alberta are typically six months. Given this is the first EPEA application for a lithium production facility, the Company is anticipating a longer timeframe.

ON BEHALF OF THE BOARD OF DIRECTORS

Chris Doornbos, President, CEO & Chair
E3 Lithium Ltd.

About E3 Lithium

E3 Lithium is a development company with a total of 21.2 million tonnes of lithium carbonate equivalent (LCE) Measured and Indicated 1 as well as 0.3 Mt LCE Inferred mineral resources 2 in Alberta and 2.5 Mt LCE Inferred mineral resources 3 in Saskatchewan. The Clearwater Pre-Feasibility Study outlined a 1.13 Mt LCE proven and probable mineral reserve with a pre-tax NPV(8%) of USD 5.2 Billion with a 29.2% IRR and an after-tax NPV(8%) of USD 3.7 Billion with a 24.6% IRR 1.

3:The mineral resource NI 43-101 Technical Report for the Estevan Lithium District, effective May 23, 2024, identified 2.5 Mt LCE (inferred) and is available on the E3 Lithium’s website (www.e3lithium.ca/technical-reports/) and SEDAR+ (www.sedarplus.ca).

Unless otherwise indicated, Kevin Carroll, P. Eng., Chief Development Officer and a Qualified Person under National Instrument 43-101, has reviewed and approved the technical information contained on this news release.

Forward-Looking and Cautionary Statements

This news release includes certain forward-looking statements as well as management’s objectives, strategies, beliefs and intentions or forward-looking information within the meaning of applicable securities laws. Forward-looking statements are frequently identified by such words as “believe”, “may”, “will”, “plan”, “expect”, “anticipate”, “estimate”, “intend”, “project”, “potential”, “possible” and similar words referring to future events and results. Forward-looking statements are based on the current opinions, expectations, estimates and assumptions of management in light of its experience, perception of historical trends, and results of the PFS, but such statements are not guarantees of future performance. In particular, this news release contains forward-looking information relating to: the expected timelines for the assembly, testing and commissioning of the demonstration equipment; production, pretreatment, purification, volume reduction and conversion process and features and the expected outcomes thereof; the Company’s expectations regarding the production of lithium carbonate; plans and objectives of management for the Company’s operations of the Demonstration Facility; and the inherent hazards associated with mineral exploration and mining operations. In preparing the forward-looking information in this news release, the Company has applied several material assumptions, including, but not limited to, that any additional financing needed will be available on reasonable terms; the exchange rates for the U.S. and Canadian currencies will be consistent with the Company’s expectations; that the current exploration, development, environmental and other objectives concerning the Demonstration Facility can be achieved and that its other corporate activities will proceed as expected; that general business and economic conditions will not change in a materially adverse manner and that all necessary governmental approvals for the planned activities on the Demonstration Facility will be obtained in a timely manner and on acceptable terms.

All forward-looking information (including future-orientated financial 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, the effectiveness and feasibility of emerging lithium extraction technologies which have not yet been tested or proven on a commercial scale or on the Company’s brine, risks related to the availability of financing on commercially reasonable terms and the expected use of proceeds; operations and contractual obligations; changes in estimated mineral reserves or mineral resources; future prices of lithium and other metals; availability of third party contractors; availability of equipment; failure of equipment to operate as anticipated; accidents, effects of weather and other natural phenomena and other risks associated with the mineral exploration industry; the Company’s lack of operating revenues; currency fluctuations; risks related to dependence on key personnel; estimates used in financial statements proving to be incorrect; competitive risks and the availability of financing, as described in more detail in our recent securities filings available under the Company’s profile on SEDAR+ (www.sedarplus.ca). 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.

Clearwater Project Central Processing Facility

ELIZABETHTOWN, Ky. (AP) — Vice President JD Vance joined the grieving family of a Kentucky man who was the seventh U.S. service member to die in combat during the Iran war as his remains were brought back to the U.S. Monday evening.

The dignified transfer, a solemn event that honors U.S. service members killed in action, took place at Dover Air Force Base in Delaware for Army Sgt. Benjamin N. Pennington, 26, of Glendale, Kentucky. He died Sunday after being wounded during a March 1 attack on the Prince Sultan Air Base, Saudi Arabia, a Pentagon statement said.

Vance and Defense Secretary Pete Hegseth saluted alongside high ranking military officials as the transfer case draped with the American flag was carried from the military aircraft and into an awaiting vehicle.

Mike Bell, retired pastor of Glendale Christian Church, said he’d known Pennington since he was a toddler and got a call from Pennington's father when the soldier was hurt.

“I talked to Tim Saturday morning, and he was doing a little better, and they were talking about maybe moving him to Germany,” Bell said. Tim Pennington called again that evening, Bell said, to ask for prayers as his son's condition was worsening, and then later told him the soldier had succumbed to his injuries.

“He was just a quiet person,” said Bell, noting that Pennington attended the church’s after-school program. “I mean, he never attracted attention because he was just steady doing what he needed to do to do it.”

Pennington was assigned to the 1st Space Battalion, 1st Space Brigade of the U.S. Army Space and Missile Defense Command based at Fort Carson, Colorado.

The unit’s mission focused on “missile warning, GPS, and long-haul satellite communications,” according to their website.

“This just breaks my heart,” Keith Taul, judge-executive of Hardin County, where Pennington was from, said in a statement emailed to The Associated Press. “I have known the family for at least 30 years. I can’t imagine the pain and suffering they are experiencing.”

Glendale is an unincorporated town of about 300 residents south of the Hardin County seat of Elizabethtown.

In a statement posted on social media, Kentucky Gov. Andy Beshear called Pennington “a hero who sacrificed everything serving our country.”

The other six service members killed since the conflict began on Feb. 28 were Army reservists killed in Kuwait when an Iranian drone struck an operations center at a civilian port.

President Donald Trump on Saturday joined grieving families at Dover Air Force Base at the dignified transfer for those six U.S. soldiers.

The dignified transfer is considered one of the most somber duties of any commander in chief. During his first term, Trump said bearing witness to the transfer was “the toughest thing I have to do” as president.

Pennington graduated in 2017 from Central Hardin High School, where he was enrolled in the automotive technology pathway, district spokesman John Wright told the AP. Former automotive tech instructor Tom Pitt, who taught Pennington in 2017 at Hardin County Early College and Career Center, called him “an American hero.”

“A lot of times as a teacher, you have students who are smart, you have students who are charismatic, who are likable, dare I say, enchanting,” said Pitt, who called Pennington Nate. “Rarely do you have students who are all of those. And Ben Pennington was all of those. He was basically the quintessential all-American.”

Photos on his and family members' Facebook pages show that Pennington achieved the rank of Eagle Scout in August 2017. His Eagle project was the demolition of some old baseball dugouts in Glendale, said Darin Life, former committee chairman for Troop 221.

“If you look up Eagle Scout, his picture’s probably there,” said Life, who knew Pennington throughout his scouting career. “He loved his country. I would have expected nothing less of him than to lose his life protecting his country.”

A month after his Eagle ceremony, Pennington posted a photo of himself taking the oath of enlistment. He entered the service as a unit supply specialist and was assigned to the Space and Missile Command on June 10, 2025, the Army said in a release.

Among his awards and decorations were the Army Commendation Medal, Army Achievement Medal, Army Good Conduct Medal, National Defense Service Medal, Global War on Terrorism Service Medal and the Army Service Ribbon.

“The U.S. Army Space and Missile Defense Command is deeply saddened by the loss of Sgt. Pennington,” said Lt. Gen. Sean A. Gainey, USASMDC commanding general. “He gave the ultimate sacrifice for the country he loved.”

Col. Michael F. Dyer, 1st Space Brigade commander, described Pennington as “a dedicated and experienced noncommissioned officer who led with strength, professionalism and sense of duty.”

Pennington will be posthumously promoted to staff sergeant, the Pentagon said.

Associated Press reporters Konstantin Toropin in Washington, Hallie Golden in Seattle and Adrian Sainz in Memphis, Tennessee, contributed to this report.

A U.S. Army carry team places the transfer case with the remains of U.S. Army Sgt. Benjamin N. Pennington, 26, of Glendale, Ky., the seventh U.S. service member to die in combat during the Iran war, in the the transfer vehicle during a dignified transfer Monday, March 9, 2026, at Dover Air Force Base, Del. (AP Photo/Julia Demaree Nikhinson)

Vice President JD Vance, Defense Secretary Pete Hegseth, Chairman of the Joint Chiefs of Staff Gen. Dan Caine and other military leaders pray before a dignified transfer for U.S. Army Sgt. Benjamin N. Pennington, 26, of Glendale, Ky., the seventh U.S. service member to die in combat during the Iran war, Monday, March 9, 2026, at Dover Air Force Base, Del. (AP Photo/Julia Demaree Nikhinson)

Vice President JD Vance, Defense Secretary Pete Hegseth, Chairman of the Joint Chiefs of Staff Gen. Dan Caine, and other military leaders, salute during a dignified transfer for Sgt. Benjamin N. Pennington, 26, of Glendale, Ky., Monday March 9, 2026, at Dover Air Force Base, Del. (AP Photo/Julia Demaree Nikhinson)

Defense Secretary Pete Hegseth salutes as an U.S. Army carry team moves the transfer case containing the remains of Sgt. Benjamin N. Pennington, 26, of Glendale, Ky., Monday March 9, 2026, at Dover Air Force Base, Del. (AP Photo/Julia Demaree Nikhinson)

This image provided by the U.S. Army shows U.S. Army Sgt. Benjamin N. Pennington, 26, of Glendale, Ky. (U.S. Amy via AP)