E3 Lithium Approaches Completion of Phase 2 of its Demonstration Facility and Outlines Path to Commercialization

Demonstration Facility, permitting, offtake, and strategic partnerships progressing in parallel

CALGARY, Alberta, October 22, 2026--E3 LITHIUM LTD. (TSXV: ETL) (FSE: OW3) (OTCQX: EEMMF), "E3", "E3 Lithium", or the "Company" is approaching completion of Phase 2 of its Demonstration Facility and provides an update on the progress of its Clearwater Project toward commercial production.

Phase 2 of the Demonstration Facility provides the last major piece of data required to complete the design of the commercial facility. The completion of Phase 2 will mark an important engineering milestone and enable E3 to confidently proceed with a robust design for a commercial facility. Moving towards a shovel ready project is the next step in the development towards an operating lithium facility. This major milestone is a compilation of five business drivers. Upon reaching the shovel-ready milestone, E3 will move towards the completion of the project financing to reach Final Investment Decision ("FID") for the Clearwater Project.

The foundation for each of the five business drivers, outlined below, was established throughout 2025 and has advanced significantly in 2026. Success in accomplishing these will lead to a project that is ready to move through, and substantively support, the project financing initiative. The goal is to enable the construction of a facility in Alberta to produce approximately 12,000 tonnes of battery-grade lithium carbonate per year, the first Stage of E3's commercial operations.