E3 Lithium & Imperial Finalize Land Deal for Clearwater Project
E3 Lithium Ltd., a prominent Canadian lithium developer, has officially finalized its agreements regarding freehold mineral tenure held by Imperial Oil Limited for the Clearwater Project. The companies signed a Project Completion Agreement on February 28, 2025, securing long-term mineral rights essential for advancing lithium extraction in Alberta.
Finalization of Agreements and Lease Terms
Under the terms of the Project Completion Agreement, E3 Lithium has secured a mineral lease covering 110 sections of Imperial’s freehold interest in the Clearwater Project area. This lease carries an initial 10-year term with an option for a 10-year renewal. The agreement marks a critical step forward from the original Strategic Agreement signed on June 22, 2022, and later amended on May 9, 2024.
Additionally, the Project Completion Agreement replaces the Strategic Agreement and entails the cancellation of 3,413,979 previously issued warrants granted to Imperial. These warrants, originally priced at C$1.86 per warrant, will be canceled in exchange for a cash payment of C$4,150,000 by E3 Lithium. The payment will be made in three installments throughout the first three quarters of 2025, with the corresponding warrants canceled proportionally.
Impact on E3 Lithium’s Clearwater Project
This finalized lease agreement strengthens E3 Lithium’s ability to expand and develop the Clearwater Project. The company has already achieved significant progress in pilot operations conducted in 2023, setting the stage for a broader demonstration program planned for 2025. The ability to secure and maintain freehold mineral tenure ensures continuity and stability in project execution, enhancing Alberta’s role in the global lithium supply chain.
“This milestone underscores the strong relationship between Imperial and E3 Lithium,” stated Chris Doornbos, CEO of E3 Lithium. “It supports the interests of both companies while continuing to drive the success of E3’s Clearwater Project and Alberta’s position in the global lithium supply chain.”
Imperial Oil’s Vice-President of Low Carbon Solutions, Heather Eggleston, also emphasized the importance of collaboration. “Imperial’s successful collaboration with E3 Lithium has been instrumental in advancing E3’s lithium extraction pilot and progressing opportunities from the Leduc reservoir,” she said. “Imperial’s contribution of its freehold land leases provides further support for E3 Lithium’s Clearwater Project and their overall lithium development in Alberta.”
Strategic Significance of the Clearwater Project
The Clearwater Project is a transformative initiative that positions E3 Lithium at the forefront of Alberta’s critical minerals industry. By leveraging advanced lithium extraction technologies alongside decades of expertise from the energy sector, E3 Lithium aims to establish itself as a global leader in sustainable lithium production.
A Strong Partnership for a Sustainable Future
E3 Lithium’s collaboration with Imperial Oil is a testament to the importance of strategic partnerships in the emerging lithium sector. The relationship between the two companies is built on a shared vision of advancing responsible resource development while contributing to Alberta’s economic growth.
By securing freehold mineral tenure, E3 Lithium gains a long-term operational advantage, enabling it to build upon its technological and commercial successes. The company’s 2023 pilot operations validated its lithium extraction technology, and the upcoming 2025 demonstration program will be instrumental in scaling production to commercial levels.
Imperial Oil’s support through land tenure contributions not only strengthens E3 Lithium’s foundation but also aligns with Imperial’s broader initiatives in low-carbon solutions. This collaboration represents a model for how traditional energy companies and emerging lithium developers can work together to accelerate the energy transition.
Future Outlook for E3 Lithium
With the finalized Project Completion Agreement, E3 Lithium is well-positioned to advance the Clearwater Project toward full-scale commercial production. The next phases will focus on:
- Advancing the demonstration program in 2025.
- Refining direct lithium extraction (DLE) technology to enhance efficiency and environmental performance.
- Securing additional financing and partnerships to support full-scale development.
- Strengthening Alberta’s role as a key player in North America’s lithium supply chain.
The global demand for lithium continues to rise, driven by the expansion of electric vehicles (EVs) and battery storage solutions. E3 Lithium’s strategic initiatives align with this growing demand, making its Clearwater Project a cornerstone of Alberta’s critical minerals strategy.
