10:36 AM EDT, 06/02/2025 (MT Newswires) -- E3 Lithium ( EEMMF ) was at last look up 1.7% early Monday after it provided a progress update on its demonstration facility which is planned to be brought on stream in three phases through the second half of 2025 and into 2026.

This comes after the company on Friday reported results for the three months ended March 31, 2025, and said it "does not foresee a cash shortfall within the next 12 months", although that was dependent upon its ability to raise equity financing to progress.

The company said the lithium extraction equipment, comprising of the 30-column Direct Lithium Extraction (DLE) system, as well as the purification and concentration equipment, is now fully fabricated and undergoing final checks. The company added that the "heart of the lithium production equipment" is made up of five separate skids, each containing a specific operation, and that the skids are expected to arrive and be assembled on site in the Clearwater Project area over the next six to eight weeks.

The company said it has also received the sorbent for the DLE columns and completed the majority of the payments for this equipment. It added that following arrival on site, the equipment will be assembled and undergo operational and safety checks, followed by final leak checks.

A company statement noted that phase 1 will use brine hosted on site for the commissioning and operation of the 30-column system equipment to produce battery-grade lithium carbonate. After the drilling of the wells in phase 2, the production well is expected to be tied directly into the 30-column equipment and operate using a "live" brine feed.

Preparation for phase 3 will increase as the first phase begins field operations and is expected to be installed in early 2026, stated the company.

"The Demo Facility will be one of the few systems of this kind globally to operate at this scale," said E3 Lithium's ( EEMMF ) Chief Executive Officer, Chris Doornbos. "It is a significant achievement for E3 Lithium ( EEMMF ) to turn this design into a reality, and a major step forward to see it operate in the very near future."

On results for the three months ended March 31, they showed that the company's net loss and comprehensive loss widened to about $2.9 million or $0.04 basic and diluted, from a loss of $2.37 million or $0.03 in the corresponding year-ago quarter.

The company said that, as at March 31, it has not generated revenues from operations and has an accumulated deficit of around $55.4 million.

E3 Lithium ( EEMMF ) said that its condensed consolidated interim financial statements have been prepared on a going concern basis as it has sufficient liquidity with $11.1 million in working capital as at March 31, and "does not foresee a cash shortfall within the next 12 months."

It further added that its ability to continue as a going concern is dependent upon its ability to raise equity financing to progress its upcoming demonstration facility, feasibility study, and move towards a commercial lithium project.

Price: 0.89, Change: +0.02, Percent Change: +1.72