E3 Lithium completes construction of DLE field pilot plant

E3 Lithium (TSXV: ETL), developer of a large lithium resource in south-central Alberta, has announced the arrival of a direct lithium extraction (DLE) skid on its project site, marking the completion of its DLE field pilot plant.

With all major pieces of equipment required to begin commissioning now on site, the next steps are connecting the DLE equipment to the pilot plant’s piping and wiring system, the company said.

Site commissioning, in which operators inspect and test each section of the pilot plant to ensure proper operations, is underway. E3 anticipates this process to take up to 10 days.

“The arrival of the DLE skid, the cornerstone of the field pilot plant, is an important milestone for E3 in that it enables us to start commissioning and begin operations shortly afterwards,” E3 Lithium CEO Chris Doornbos said in a news release.

In early April, the company obtained approval from Alberta’s energy regulator for the field pilot plant. Construction started a month later, beginning the the installation and operation of the downhole equipment in preparation for brine production for the pilot.

The pilot plant is situated at the first well E3 drilled during its 2022 inaugural drill program, located east of the Town of Olds in the company’s Clearwater project area. The facility will test the Li-IX technology for direct lithium extraction at a larger scale under real-world operating conditions.

At pilot scale, demonstrating the Li-IX technology would enable significant de-risking of the commercial design and is a crucial step in unlocking the value of what is considered to be the largest lithium brine project, E3 said.

A resource upgrade earlier this year placed the resource at its Clearwater project area, which aims to tap lithium-enriched brine from the Leduc aquifer, at 11.1 billion cubic metres measured and indicated with a median lithium concentration of 74.5 mg/L.

Shares of E3 Lithium gained 9.2% by 12:05 p.m. Thursday in Toronto. The company has a market capitalization of C$192.4 million ($144.2 million).