E3 Lithium Ltd. has entered into a non-binding memorandum of understanding with Epsilon CAM Pvt. Ltd. outlining a framework for the potential long-term supply of battery-grade lithium carbonate from the Clearwater Project in Alberta.

The arrangement contemplates the supply of up to 5,000 tonnes per year of lithium carbonate over a five-year term, effective September 1, 2026. This volume represents up to 40 per cent of E3 Lithium’s proposed Stage 1 production rate of 12,000 tonnes per year from the project. Final volumes and commercial terms remain subject to the negotiation and execution of a definitive agreement.

“Securing long-term offtake contracts is a critical commercial milestone required to advance the Clearwater Project,” said Chris Doornbos, CEO & Chair of E3 Lithium. “This MOU with Epsilon demonstrates a serious interest and draws a clear path from Alberta brine directly into the battery supply chain. We look forward to advancing our negotiations and relationship with Epsilon as our Clearwater Project moves toward shovel-ready.”

The understanding follows E3 Lithium’s previous non-binding collaboration agreement with Tees Valley Lithium, which covered up to 50,000 tonnes of lithium hydroxide over a ten-year term. E3 Lithium also commissioned Phase 2 of the Clearwater Demonstration Facility in June 2026 to conduct an extended reservoir production test.

Vikram Handa, Managing Director of Epsilon CAM, said, “The electric mobility growth requires a battery materials supply chain that is resilient, diversified and globally connected. Our engagement with E3 Lithium strengthens this approach as we progress towards commercialization in India with a 30,000 tonnes cathode materials facility. This is also a great opportunity to connect upstream lithium resources in Canada with downstream cathode active material production in India, for development of a more diversified battery materials & battery value chain.”

The company is advancing the Clearwater Project toward a Final Investment Decision alongside completing its Feasibility Study and executing permitting requirements.

Read the full announcement: E3 Lithium and Epsilon CAM Sign MOU for Supply of Battery-Grade Lithium Carbonate, Strengthening Battery Materials Supply Chain