Mr. Chris Doornbos reports

E3 LITHIUM ANNOUNCES $8.5 MILLION BEST EFFORTS EQUITY FINANCING

E3 Lithium Ltd. has entered into an agreement with ATB Cormark Capital Markets and Canaccord Genuity Corp. as co-lead agents on behalf of a syndicate of agents, pursuant to which the agents have agreed to act as agents on a best efforts basis, in connection with the public offering of 9.45 million units of the company at a price of 90 cents per unit, representing total gross proceeds of approximately $8.5-million. Each unit will consist of one common share of the company and one common share purchase warrant. Each warrant shall entitle the holder thereof to purchase one common share of the company at a price of $1.10 per warrant share for a period of 36 months following the closing date (as defined below).

The company has also granted the agents an option, exercisable at the offering price for a period of 30 days from and including the closing of the offering, to purchase up to an additional 15 per cent of the offering to cover overallotments, if any, on the same terms as the offering. Closing is expected on or about Sept. 24, 2026, and is subject to regulatory approval including that of the TSX Venture Exchange.

The company intends to use the net proceeds from the offering to finance advancement of the company's Clearwater lithium project and for general working capital purposes as set out in the prospectus supplement (as defined below).

The units will be offered by way of a prospectus supplement to the company's existing Canadian base shelf prospectus dated July 23, 2026. The prospectus supplement will be filed in each of the provinces and territories of Canada, except Quebec.

Access to the prospectus supplement, the base shelf prospectus and any amendments thereto are provided in Canada in accordance with securities legislation relating to procedures for providing access to a shelf prospectus supplement, a base shelf prospectus supplement and any amendment to such documents. The base shelf prospectus is, and the prospectus supplement will be (within two business days from the date hereof), accessible through SEDAR+. An electronic or paper copy of the prospectus supplement, the base shelf prospectus and any amendment thereto may be obtained, without charge, from ATB Cormark Capital Markets by phone at 416-362-7485 or e-mail at atbcm_ecm@atb.com, by providing the contact with an e-mail address or address, as applicable.

About E3 Lithium Ltd.

E3 Lithium is a development company with a total of 21.2 million tonnes (t) of lithium carbonate equivalent (LCE) measured and indicated mineral resources, as well as 300,000 t LCE inferred mineral resources in Alberta, comprising: (a) measured and indicated mineral resources of 16.2 million t lithium at a grade of 75.5 milligrams per litre within its Clearwater project (1); and (b) measured and indicated mineral resources of 5.0 million t lithium at a grade of 54.0 milligrams per litre lithium, and inferred mineral resources of 300,000 t lithium at a grade of 42 milligrams per litre lithium within its Garrington district (2). The Clearwater prefeasibility study outlined a 1.13-million-tonne LCE proven and probable mineral reserve at a grade of 75.5 milligrams per litre lithium with a pretax NPV (net present value) (8 per cent) of $5.2-billion (U.S.) with a 29.2-per-cent internal rate of return (IRR) and an after-tax NPV (net present value) (8 per cent) of $3.7-billion (U.S.) with a 24.6-per-cent IRR (1).

Unless otherwise indicated, Chris Doornbos, PGeo, chief executive officer and a qualified person under National Instrument 43-101, has reviewed and approved the technical information contained on this news release.

(1) The technical report, titled "Clearwater Project, NI 43-101 Technical Report on Pre-Feasibility Study, Bashaw District Mineral Property, Central Alberta, Canada," with an effective date of June 20, 2024, is available on the E3 Lithium's website and under E3 Lithium's profile on SEDAR+.

(2) The technical report, titled "NI 43-101 Technical Report for the Garrington District Lithium Resource Estimate," with effective date of June 25, 2025, is available on the E3 Lithium's website and under E3 Lithium's profile on SEDAR+.

We seek Safe Harbor.