
Canadian company E3 Lithium has received the necessary regulatory permit approvals from the Alberta Energy Regulator (AER) for phase two of the Clearwater Project Demonstration Facility.
Phase one of the Demonstration Facility is currently being commissioned.
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Phase two will involve the drilling of a production and injection well to evaluate the Leduc Aquifer’s reservoir characteristics and flow rates. These findings will inform the design of the commercial well scheme, gathering system and treatment equipment for the company’s commercial facility.
Upon completion, the wells will be connected to the existing 30-column direct lithium extraction (DLE) system and purification units from phase one. This integration will create a complete brine-to-battery-grade lithium carbonate process system.
E3 Lithium is preparing to begin its drilling programme in early to mid-October, after phase one commissioning concludes.
The company has secured several authorisations from the AER to progress with its demonstration facility.

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By GlobalDataThese include approval for a mineral scheme under Directive 065, which encompasses the subsurface injection of produced fluids.
Additionally, the project has received approval for mineral wells and a mineral facility, both under Directive 056, which covers the technical and licensing requirements necessary for operation.
E3 president and CEO Chris Doornbos said: “We are thrilled to see the permits granted for Phase 2 of our Demonstration Facility, including the recently approved Directive 065, and look forward to launching the drill programme to kick off the next phase of technology demonstration.”
These permits are also necessary for operating a commercial facility in Alberta and are the first to be issued under the Brine-Hosted Mineral resources regulations.
E3 Lithium is finalising the Directive 056 application for the commercial facility, which will be submitted alongside an application under the Environmental Protection and Enhancement Act.
In July 2025, E3 Lithium announced the arrival of key equipment at the Clearwater project. This equipment is crucial for the 30-column DLE system and will support two phases of the planned testing.