Global demand for lithium is soaring. This mineral is used to create batteries for a wide range of electronics that people rely on every day, from pacemakers, smartphones and laptops to medical equipment, alarm systems, and electric vehicles. Massive amounts of lithium will be needed to meet the growing demand.
Through the industry-funded Technology Innovation and Emissions Reduction (TIER) program, Alberta’s government is providing $5 million to help Calgary-based E3 Lithium commercialize a new technology that extracts lithium naturally found in saltwater – known as brines – produced by the oil and gas sector and turns it into lithium products that can be sold to battery producers and automotive companies. This project is an example of the TIER fund in action as industry works to maintain Alberta’s reputation as Canada’s energy and innovation capital.
This technology will ultimately help diversify the economy, attract investment and create high-paying energy sector jobs in Alberta.
“There is a critical minerals race happening worldwide, and Alberta is setting the pace. Home to Canada’s largest brine reserves, well-documented drill sites and a talented oil and gas workforce, our province is the best place for E3 Lithium to get this great technology closer to commercialization. Together, we are supporting jobs, diversifying the economy, and creating a brighter energy future where Alberta is a global leader in lithium production.”
“Increased global demand for electric vehicles and battery storage are going to lead to Alberta having another resource to sell to the world. Our province has the expertise and the resources to extract lithium and meet this growing global demand. By using our legacy oil and gas infrastructure and know-how, we can create a new boom to fuel Alberta into the future, thanks to investment and innovation from companies like E3 Lithium.”
When industry explores and extracts oil and natural gas, it creates saltwater known as oilfield brine. E3 Lithium’s process takes this brine, which is typically considered waste that a company reinjects underground, and transforms it into a type of lithium, which is a valuable resource. This process does not require any additional freshwater, and it also reduces environmental impacts and saves thousands of dollars compared to traditional extraction methods.
“E3 Lithium exemplifies Alberta's entrepreneurial spirit. They saw an opportunity and developed an innovative strategy to capitalize on it, transforming industrial waste into a valuable energy source that can power your cellphone or your electric vehicle. Along with supporting the circular economy, the environmental and economic rewards of this kind of leading-edge technology directly align with the province's long-term goals.”
In 2023, E3 Lithium opened Alberta’s first lithium extraction facility near Olds, where it ran a pilot program to test different extraction methods. New provincial funding delivered through Emissions Reduction Alberta (ERA) will be used to further prove this technology at the extraction facility.
This project will help E3 Lithium study how its technology will perform on a small scale, helping to mitigate risks and provide important data on how much lithium can be produced annually for a future, full-scale commercial facility estimated to begin construction in 2026. E3 Lithium is the first company to lead this type of extraction project in Alberta.
“E3 is on the path to building a new industry in the province. As we prove the technology at an increasing scale, we increase the certainty that Alberta can be a major lithium-producing jurisdiction. ERA's funding is crucial for developing a commercial facility and producing battery-grade lithium. This investment not only supports E3 but also opens new opportunities for the province and positions Alberta as a leader in critical minerals innovation.”
Quick facts
- Alberta is home to one of the world’s largest lithium deposits, located deep underground in the Leduc geological formation, which is also a major oil and gas producing area.
- E3 Lithium holds the mineral rights to an estimated 16 million tonnes of lithium resource and a proven lithium mineral reserve of 1.13 million tonnes of lithium carbonate equivalent.
- E3 Lithium's efficient, cost-effective technology has been developed through years of collaboration with academic and private partners including the University of Alberta, private labs and its own development facility in Calgary.
- E3 Lithium’s project was chosen through Emissions Reduction Alberta’s Partnership Intake Program under its Continuous Intake Program. Through the Continuous Intake Program, 36 projects have been recommended for funding to date.
Related information
- Technology Innovation and Emissions Reduction System
- Emissions Reduction and Energy Development Plan
- Partnership Intake Program
- Minerals Strategy and Action Plan
- Alberta’s First Direct Lithium Extraction Pilot: Project Report