en.Wedoany.com Reported - Sedgman, a mineral processing company under the CIMIC Group, has secured a contract from Canada's E3 Lithium to provide front-end engineering design (FEED) services for the Clearwater lithium project in Alberta. Valued at CAD 3.4 billion (approximately USD 2.46 billion), the project is part of the definition phase aimed at establishing a transparent and detailed engineering and cost basis for subsequent development decisions.
The Clearwater project plans to utilize direct lithium extraction (DLE) technology to produce battery-grade lithium carbonate from underground brine resources. Leveraging its expertise in mineral processing and project studies, Sedgman will lead the project through the FEED phase, with its scope of work including establishing an engineering foundation to prepare for subsequent project stages. The commercial facility is located near Olds in Mountain View County, Alberta, with construction expected to begin in 2026 and a target of reaching an annual production capacity of 36,000 tonnes of lithium carbonate by 2028. E3 Lithium has completed the commissioning of the second phase of the project's demonstration facility and is conducting reservoir production testing.
According to the project plan, the Clearwater facility will create approximately 200 permanent high-skilled jobs. The facility is designed to serve the electric vehicle battery supply chain, while leveraging Alberta's existing energy infrastructure and technical talent to drive local economic diversification. The site is located within an industrial area in Mountain View County.
Chris Doornbos, CEO and Chairman of E3 Lithium, stated that as the second phase operations progress, the company has begun a series of engineering activities for the Clearwater project aimed at reducing project-scale risks. In addition to appointing Sedgman, E3 Lithium received conditional government funding approval in March 2026 from the Global Partnerships Initiative in Canada, with a maximum of CAD 36.5 million in non-repayable grants. This funding will cover up to 75% of the estimated total project cost of USD 48 million, with uses including completing the third phase of E3 Lithium's demonstration facility, finalizing the feasibility study for the Clearwater project, supporting scaled-up continuous production of battery-grade lithium carbonate, supporting the FEED process, and hiring an additional 25 full-time positions. This Canadian government funding remains subject to completion of standard due diligence and signing of a formal funding agreement. According to company information, E3 Lithium is collaborating with Axens Group and ABB on this project.
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