Mr. Chris Doornbos reports

E3 LITHIUM SIGNS TEAMING AGREEMENT WITH GERMANY'S TKMS TO SUPPORT CRITICAL MINERALS SUPPLY

E3 Lithium Ltd. has entered into a teaming agreement with Germany's TKMS, a leading provider of naval vessels, surface ships and submarines. The agreement establishes a strategic framework for co-operation supporting Canadian Patrol Submarine Project (CPSP) and advancing the integration of Canadian lithium into critical, secure supply chains for defence and strategic applications. The agreement also reflects potential financial contribution to E3 aligned with Canada's Industrial and Technological Benefits (ITB) policy.

Key highlights

• Strategic partnership that leads to the creation of a robust supply chain that can support both Canada's submarine program and potential international opportunities.
• Formal collaboration framework established for research, technology transfer and investment to E3 in support of the CPSP.
• Enables future international partnerships and investment initiatives aligned with Canada's ITB policy.

"Partnering with TKMS allows us to connect Canada's critical minerals industry with strategic global markets, while supporting a transformative national defence program," said Chris Doornbos, president and chief executive officer of E3 Lithium. "This agreement is a strong step toward leveraging Canada's lithium resources to create sustainable economic value, advance technology transfer, and strengthen industrial ties with Germany and allied nations."

"The CPSP represents a cornerstone of Canada's naval capability and critical minerals are essential to the technology that powers tomorrow's submarines," said Thomas Keupp, chief sales officer at TKMS. "Through this agreement with E3 Lithium, we are not only securing access to a sustainable supply of lithium but also strengthening the industrial partnership between Germany and Canada. This co-operation reflects our shared commitment to innovation, sustainability and long-term capability development."

TKMS is participating in the CPSP competitive procurement process, which aims to acquire up to 12 next-generation, Arctic-capable submarines and has submitted its proposal to deliver its next-generation submarines for the Royal Canadian Navy. The agreement supports potential supply to German and allied industrial customers, contributing to the creation of a robust supply chain that can support both Canada's submarine program and potential international opportunities. As part of the agreement, the parties will explore potential strategic investment and financing pathways to support the scale-up of Canadian lithium production for strategic applications. There can be no assurance that this agreement will result in a definitive transaction. The company will provide updates when available.

E3 Lithium is advancing its Clearwater project located in the province of Alberta, Canada, which will extract lithium from brines using the company's proprietary direct lithium extraction (DLE) technology and convert it into battery-grade lithium carbonate. The company has proposed a staged development plan with a capacity of 12,000 tonnes of lithium carbonate per year as the first stage of production, and expansion potential to up to 36,000 tonnes of lithium carbonate per year.

About E3 Lithium Ltd.

E3 Lithium is a development company with a total of 21.2 million tonnes of lithium carbonate equivalent (LCE) measured and indicated as well as 0.3 Mt LCE inferred mineral resources in Alberta. The Clearwater prefeasibility study outlined a 1.13 Mt LCE proven and probable mineral reserve with a pretax NPV (net present value) (8 per cent) of $5.2-billion (U.S.) with a 29.2-per-cent IRR (internal rate of return) and an after-tax NPV (8 per cent) of $3.7-billion (U.S.) with a 24.6-per-cent IRR.

Unless otherwise indicated, Kevin Carroll, PEng, chief development officer and a qualified person under National Instrument 43-101, has reviewed and approved the technical information contained on this news release.

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