Name of the Project
Clearwater lithium project.

Location
South-central Alberta, Canada.

Project Owner/s
Canadian lithium brine developer E3 Lithium.

Project Description
A prefeasibility study (PFS) has outlined the detailed process to produce battery-grade lithium hydroxide, and has reported the first lithium brine proven mineral reserves in Canada.

The project has estimated proven and probable lithium brine mineral reserves of 1.29-million tonnes lithium hydroxide monohydrate. The mineral reserve is contained within the Bashaw district measured and indicated lithium mineral resource, totalling 18.4-million tonnes lithium hydroxide monohydrate.

The project’s initial production and nameplate capacity is projected to be 32 250 t/y of lithium hydroxide and 25 850 t/y over a 50-year mine life. The mine life is based on only a portion of the total Bashaw district.

Potential Job Creation
Not stated.

Net Present Value/Internal Rate of Return
The project has a pretax net present value, at an 8% discount rate, of $5.18-billion and an internal rate of return of 29.2%, with a payback of 4.25 years.

Capital Expenditure
$2.47-billion, which includes water recycling and contingency.

Planned Start/End Date
Not stated.

Latest Developments
E3 Lithium has completed well development and pump installation at its demonstration facility, with Phase 2 now ready to start operating.

The company developed a three-phase plan with multiple goals at every phase to demonstrate the commerciality of producing battery-grade lithium carbonate.

The demonstration facility is designed to prove E3’s proprietary direct lithium extraction (DLE) technology at scale.

The two main goals of Phase 2 are to complete a reservoir production test to further delineate flow through the Leduc reservoir and to collect water and gas chemistry data.

The reservoir test will inform the Reservoir Development Plan, which is being completed and will result in a well and pipeline network design that informs well and pipeline permitting.

E3 has confirmed that brine and gas data collected will inform the design of the inlet and gas separation for the eventual commercial facility.

Information collected from this work is some of the last technical data required for the feasibility study that E3 is working on for the project.

As is standard in the industry, the company has submitted a Directive 51 application and, upon receipt of its licence, the demonstration site will start operations, which are expected to run for 8 to 12 weeks before progressing to Phase 3.

Work completed at the demonstration facility to date has been supported in part by the $5-million in federal funding from Emissions Reduction Alberta.

In parallel with Phase 2 operations, the team at E3 will set up for Phase 3 of its demonstration, which focusses primarily on testing DLE technology as the final phase of the demonstration plant.

Phase 3 consists of the operation of the 30-column DLE, paired with the purification/carbonation equipment that was successfully commissioned during Phase 1, as well as the construction and operation of a full commercial-size single DLE column.

E3 will, in time, procure the equipment for, and build out, the single-column unit, supported through the Canadian government’s Global Partnerships Initiative, with $36.5-million of funding having been conditionally approved.

While Phase 2 focuses on gathering the necessary engineering data, Phase 3 provides a real-world proof of concept for brine-to-battery-grade lithium carbonate production.

Phase 3 will produce nearly 100 t/y of lithium carbonate equivalent in lithium chloride that the company will use to further its offtake discussions.

E3 has said that operating the DLE technology at a 1:1 scale to a commercial system, with brine moving “live” through the process, validates the key parameters to financial institutions, strategic partners, offtakers and government. This will form a critical component to secure project financing for the construction of the Clearwater project’s first phase, it has noted.

Key Contracts, Suppliers and Consultants
Sproule Associates; Matrix Solutions; Sedgman Canada; and Stantec (PFS).

Contact Details for Project Information
E3 Lithium, tel +1 587 324 2775 or email investor@e3lithium.ca.