This press release is provided by GlobeNewswire and is published as received.
TORONTO, July 02, 2026 (GLOBE NEWSWIRE) -- Consolidated Lithium Metals Inc. (TSXV: CLM | FRA: Z36 | OTCQB: JORFF) (“CLM” or the “Company”) is pleased to announce the results of the Updated Preliminary Economic Assessment (“Updated PEA”) for the Kwyjibo Rare Earth Oxide Project (“Kwyjibo” or the “Project”), located in Québec’s Côte-Nord region. As developer and operator of Kwyjibo, CLM is advancing the Project under a definitive option agreement with SOQUEM Inc. (“SOQUEM”), pursuant to which the Company may earn up to an 80% undivided interest. The Updated PEA confirms the Project’s competitive economic fundamentals while incorporating significant engineering improvements that substantially reduce the Project’s long-term surface footprint compared with the preliminary economic assessment prepared by DRA Americas Inc. for SOQUEM dated August 2, 2018 (the “2018 PEA”). CLM is committed to consulting with the Innu of Takuaikan Uashat Mak Mani-Utenam, the Innu of Ekuanitshit, and the local communities throughout the MRC de Minganie to assess and plan the Project.
Key highlights of the Updated PEA include:
Project Economics - Highlights
The following table presents the Project’s estimated operational and financial metrics.
Project Advantages - Highlights
The following table presents the Project’s uncommon, rare-earth distribution and its regional employment metrics.
Site Relocation and Footprint Reduction | Kwyjibo Mine Site
Site Relocation and Footprint Reduction | Kwyjibo Hydrometallurgical Complex
Relocation and Footprint Reduction | Kwyjibo Access Road
Project Location
Figure 1 - Kwyjibo Project Location | Mine | Hydrometallurgical Complex | Access Road
Management Commentary
Richard Quesnel, CEO of Consolidated Lithium Metals Inc. commented:
“As North America works to establish strategic rare earth stockpiles to strengthen domestic supply chains, Kwyjibo is well positioned to contribute to this objective. The Project combines a high-grade deposit, a simplified processing flowsheet, existing hydroelectric infrastructure, and an engineering approach focused on minimizing the long-term surface footprint, supporting a reliable source of rare earth oxides from a compact 10-year operation. As we evaluate the Project, we remain committed to ongoing consultation with the Innu Takuaikan Uashat Mak Mani-Utenam, the Innu of Ekuanitshit, and the local communities throughout the MRC de Minganie, with the objective of identifying mutually beneficial opportunities and partnerships.”
Upcoming Work
Project Geology and Mineral Resources
The Updated PEA is based on the mineral resource estimate for the Kwyjibo Rare Earth Element Project, with an effective date of June 25, 2026 (the “Mineral Resource Estimate”). The estimate was prepared in accordance with the 2014 CIM Definition Standards and forms the basis for the Updated PEA.
The Kwyjibo deposit comprises two principal mineralized zones, Josette Northeast and Josette Southwest, which together contain a high-grade rare earth resource enriched in both light and heavy rare earth oxides.
The Kwyjibo Rare Earth Element Project comprises 81 mineral claims covering 4,388 hectares and hosts a Mesoproterozoic iron oxide copper-gold (IOCG)-style polymetallic system enriched in iron, rare earth elements, copper and gold. Mineralization is concentrated within the Josette Horizon, consisting of the Josette Northeast and Josette Southwest zones, with a mineralization over approximately 1.2 km of strike and to a depth of 300 m. The deposit remains open at depth and along portions of strike.
Table 1: Mineral Resource Estimate Summary (Effective June 25, 2026)*
*See Appendix below for more detailed information.
Cautionary Notes and Other Relevant Information:
The Josette Northeast Zone represents the principal mineralized zone and contains approximately 48% of the Combined Measured and Indicated Mineral Resource, with an average grade of 3.42% TREO, including 1.11% HREO and 0.69% Nd₂O₃ + Pr₂O₃. The Josette Southwest Zone contributes an additional 4.343 million tonnes of Measured and Indicated resources grading 1.53% TREO, providing additional mineable inventory and operational flexibility.
Collectively, the two zones contain a Combined Measured and Indicated Mineral Resource of 8.48 million tonnes grading 2.44% TREO, including 1.65% LREO, 0.80% HREO, 1.09% CREO (defined below) (consisting of 0.49% Nd₂O₃ + Pr₂O₃ and 0.6 % Tb2O3 + Dy2O3 + Y2O3), together with an Inferred Mineral Resource of 1.825 million tonnes grading 3.27% TREO.
The Mineral Resource Estimate is based on 109 surface drill holes totaling 19,168m, supported by 4,962 analytical samples and 886 specific gravity measurements. Geological interpretation, three-dimensional wireframe modelling and grade estimation were completed using industry-standard methodologies, including 1.5 m composites, 10 m × 10 m × 5 m block dimensions and inverse distance squared (ID²) interpolation within constrained mineralized
Cautionary Note and Other Relevant Information
REE Recoveries in Hydrometallurgical Unit Operations (Effective June 25, 2026)
SX = solvent extraction
* Represents the cumulative recovery of TREE + Y in the nonmagnetic concentrate
** Expert assumption and calculated based on initial test work at HAZEN Research. This represents an optimized re-leach extraction. Further testing is needed to confirm the re-leach optimum extraction.
The magnetic separation at the concentrator is designed to produce a 7.00% TREO concentrate with a recovery of 96%. The recovery of TREO from concentrate processed at the hydrometallurgical plant is 78%. The overall TREO recovery is estimated at 75%.
Updated PEA Summary
The Updated PEA, prepared by DRA Americas Inc, a 100% owned subsidiary of DRA Limited (“DRA “), covers the mining and milling of rare earth element-bearing (REE-bearing) magnetite material from an underground mine, with a mine life of 10 years and a concentrator located at the Kwyjibo hydrometallurgical complex. The processing includes crushing, grinding, magnetic separation, thickening and filtering of run-of-mine. The Total Rare Earth Oxides will be produced at the hydrometallurgical complex.
The hydrometallurgical processing plant is designed to transform REE concentrate into five separate refined Rare Earth Oxide products for an annual production rate of 10,000t of TREO. The hydrometallurgical process leaches the concentrate in three steps using solid conversion and is completed by a multi-stage solvent extraction process to produce five REO products: Dy oxide, Tb oxide, Nd oxide, Pr oxide, Y oxide and a mix of the remaining REO.
The Updated PEA is being prepared by DRA Americas Inc. of Montréal, Québec, a 100% owned subsidiary of DRA Limited (“DRA”), and is expected to be filed on SEDAR+ at www.sedarplus.ca under Consolidated Lithium Metals Inc.’s profile within 45 days of this news release in accordance with NI 43-101.
Qualified Person
The scientific and technical information contained in this news release has been reviewed for accuracy and approved in compliance with NI 43-101 by the following qualified persons (as such term is defined in NI 43-101):
The technical information in this press release has been reviewed and approved by Mr. Daniel Gagnon, P. Eng. of DRA Americas Inc. who is independent from the Company.
The Mineral Resource Estimate, which forms the basis of the Updated PEA, was prepared by S. Ibrango, P.Geo., PhD, MBA, Sr Geologist for DRA Americas Inc., an “independent qualified person” as defined in NI 43-101.
The technical information on metallurgical test work and hydrometallurgy was reviewed and approved by Mr. Eric Larochelle, P.Eng., President of SMH Process Innovation. Mr. Larochelle is independent from the Company.
The technical content of this news release was reviewed and approved for the Company by Serge Perreault, P.Geo. (00318), Senior Technical Advisor, who is a “qualified person” as defined in NI 43-101 – Standards of Disclosure for Mineral Projects.
About Consolidated Lithium Metals Inc.
Consolidated Lithium Metals Inc. is a Canadian junior mining exploration company trading under the symbol “CLM” on the TSX Venture Exchange and “Z36” on the Frankfurt Stock Exchange and “JORFF” on the OTCQB® Venture Market. The Company is focused on the exploration and development of critical mineral projects in stable jurisdictions and is committed to advancing the global energy transition through the responsible development of critical mineral supply chains.
About SOQUEM
SOQUEM, a subsidiary of Investissement Québec, is dedicated to exploring, discovering and developing mining properties in Québec. SOQUEM also contributes to maintaining strong local economies. Proud partner and ambassador for the development of Québec’s mineral wealth, SOQUEM relies on innovation, research, and strategic minerals to be well positioned for the future.
About DRA Americas Inc.
DRA Americas Inc. is a 100% owned subsidiary of DRA, a global engineering, project delivery, and operations management group specializing in the mining, minerals, and metals sector. DRA has an extensive track record spanning four decades across a wide range of commodities, including battery elements. DRA provides comprehensive services across the project lifecycle - from concept development and feasibility studies to engineering, procurement, construction management, and ongoing operations and maintenance. With offices across key mining regions including North and South America, Africa, the Middle East, and Asia-Pacific, DRA delivers tailored solutions to meet the unique needs of its clients. In the Americas, DRA has been instrumental in delivering numerous successful mining projects, offering a blend of innovative design and a commitment to environmental sustainability.
Contact
Consolidated Lithium Metals Inc.
Mr. Richard Quesnel
Chief Executive Officer
Phone: +1 (514) 249-6320
Email: info@consolidatedlithium.com
Website: www.consolidatedlithium.com
Cautionary Statements
This press release contains “forward-looking information” within the meaning of applicable Canadian securities laws. Forward-looking information includes, but is not limited to, statements with respect to: the plans, intentions, beliefs and current expectations of the Company with respect to Kwyjibo with a view to the information contained in the Updated PEA and the Company’s future business activities and operating performance in respect thereof. Forward-looking information is often identified by the words “may”, “would”, “could”, “should”, “will”, “intend”, “plan”, “anticipate”, “believe”, “estimate”, “expect” or similar expressions and includes information regarding the Company’s estimates, expectations, forecasts and guidance for production, waste material, capital expenditures, cost savings, project economics (including pre-tax IRR) and other information contained in the Updated PEA; as well as references to other possible events, the future price of rare earth oxides, the estimation of mineral reserves and mineral resources, the realization of mineral reserve and mineral resource estimates, the timing and amount of estimated future production, costs of production, capital expenditures, costs and timing of the development of the project and mining and processing activities, requirements for additional capital, government regulation of mining operations, environmental risks and the anticipated timing for the filing of the Updated PEA in accordance with NI 43-101.
Investors are cautioned that forward-looking information is not based on historical facts but instead reflect management’s expectations, estimates or projections concerning future results or events based on the opinions, assumptions and estimates of management considered reasonable at the date the statements are made. Although the Company believes that the expectations reflected in such forward-looking information are reasonable, such information involves risks and uncertainties, and undue reliance should not be placed on such information, as unknown or unpredictable factors could have material adverse effects on future results, performance or achievements of the Company. This forward-looking information may be affected by risks and uncertainties in the combined business of the Company and market conditions, including (1) there being no significant disruptions affecting the Company’s operations whether due to extreme weather events and other or related natural disasters, labor disruptions, supply disruptions, power disruptions, damage to equipment or otherwise; (2) permitting, development, operations and production for the Kwyjibo being consistent with the Company’s expectations; (3) political and legal developments in Québec being consistent with current expectations; (4) certain price assumptions for rare earth oxides; (5) prices for diesel, electricity and other key supplies being approximately consistent with current levels; (6) the accuracy of the Mineral Resource Estimates; (7) labor and materials costs increasing on a basis consistent with the Company’s current expectations; and (8) environmental approvals and community engagement. This information is qualified in its entirety by cautionary statements and risk factor disclosure contained in filings made by the Company with the Canadian securities regulators, including the Company’s annual and interim financial statements and related MD&A, filed with the securities regulatory authorities in certain provinces of Canada and available at www.sedarplus.ca.
Should one or more of these risks or uncertainties materialize, or should assumptions underlying the forward-looking information prove incorrect, actual results may vary materially from those described herein as intended, planned, anticipated, believed, estimated or expected. Although the Company has attempted to identify important risks, uncertainties and factors which could cause actual results to differ materially, there may be others that cause results not to be as anticipated, estimated or intended. The Company does not intend, and do not assume any obligation, to update this forward-looking information except as otherwise required by applicable law.
The Company has included certain non-GAAP financial measures in this press release, such as AISC. These non-GAAP financial measures do not have any standardized meaning. Accordingly, these financial measures are intended to provide additional information and should not be considered in isolation or as a substitute for measures of performance prepared in accordance with International Financial Reporting Standards (“IFRS”). AISC, as defined by the World Gold Council, is a common financial performance measure in the mining industry but have no standard definition under IFRS. AISC include operating cash costs, net-smelter royalty, corporate costs, sustaining capital expenditure, sustaining exploration expenditure and capitalised stripping costs. Other companies may calculate these measures differently and should not be considered in isolation or as a substitute for measures of performance prepared in accordance with IFRS.
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Appendix
Table 1: Mineral Resource Estimate (Effective June 25, 2026)
Cautionary Notes and Other Relevant Information
Photos accompanying this announcement are available at
https://www.globenewswire.com/NewsRoom/AttachmentNg/5c2e30fb-abd7-42e2-bcc3-fb56c44fed94
https://www.globenewswire.com/NewsRoom/AttachmentNg/86be124f-097d-47dc-aa7d-57c6e5633ad8
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