Consolidated Lithium Taps Investors for $17M Critical Minerals Push

TORONTO, ON – February 26, 2026 – In a significant move to accelerate its exploration activities, Consolidated Lithium Metals Inc. (TSXV: CLM) has announced its intention to raise up to $17.07 million through a non-brokered private placement. The substantial capital injection is earmarked for the company's key assets in Quebec, including the promising Kwyjibo Rare Earth Project and its portfolio of lithium properties, positioning the junior miner to play a larger role in Canada's burgeoning critical minerals sector.

The financing underscores strong market interest in securing domestic supply chains for materials essential to the global energy transition, such as lithium and rare earth elements (REEs), which are vital components in electric vehicle batteries, wind turbines, and high-tech electronics.

A Sophisticated Financial Strategy

Unlike a straightforward equity sale, Consolidated Lithium Metals has structured a multi-faceted offering designed to appeal to a broad range of investors by leveraging unique Canadian financial instruments. The $17.07 million will be raised through three distinct tranches:

• LIFE Units: Up to $2.5 million raised at $0.08 per unit, consisting of a common share and one-half of a purchase warrant.
• Critical Flow-Through Shares: Up to $5 million raised at $0.10 per share.
• Charity Flow-Through Units: Up to $9.57 million raised at $0.12 per unit, which also include a share and a half-warrant.

The core of this strategy lies in the use of flow-through shares, a powerful tax incentive unique to the Canadian market. This mechanism allows the company to transfer its eligible exploration expenses to the investors who purchase the shares. These investors can then deduct these expenses from their own income, significantly reducing the net cost and risk of their investment. The offering is specifically structured to fund "flow-through critical mineral mining expenditures," which may provide enhanced tax credits under Canada's Critical Minerals Strategy, further sweetening the deal for purchasers.

Furthermore, the company is utilizing the Listed Issuer Financing Exemption (LIFE), a relatively new rule that allows publicly traded companies to raise capital more efficiently and at a lower cost by reducing certain prospectus requirements. This modern approach enables CLM to access capital markets quickly to fund its time-sensitive exploration plans.

Unlocking the Potential of Quebec's Rich Geology

The proceeds from this financing are directly aimed at advancing two major fronts for the company within the resource-rich province of Quebec. The primary target is the Kwyjibo Rare Earth Project, located 125 kilometers northeast of Sept-Îles. CLM holds an option to acquire a majority interest in this project, which is characterized as an Iron Oxide Copper Gold (IOCG)-style system with significant enrichment in critical REEs like neodymium, praseodymium, dysprosium, and terbium. These elements are indispensable for the high-strength permanent magnets used in EV motors and wind turbine generators.

Funding will allow CLM to aggressively explore Kwyjibo, building on historical data and advancing its understanding of the deposit. The project's location is also a major advantage, with access to established rail infrastructure, the deep-water Port of Sept-Îles, and Quebec's low-cost hydroelectric power grid.

In parallel, the financing will bolster exploration across CLM's lithium properties. These assets, including the Vallée, Baillargé, and Preissac-LaCorne projects, are strategically situated in the La Corne Batholith region of Quebec. This area is a known hotbed for lithium-bearing spodumene pegmatites and is home to North American Lithium's producing mine, providing strong geological precedent for potential discovery. Fresh capital will enable trenching, sampling, and drilling campaigns to define and expand known mineralization.

Riding the Wave of the Global Energy Transition

This financing is not happening in a vacuum. It is a direct response to powerful global economic and geopolitical trends. The worldwide push to decarbonize has ignited unprecedented demand for lithium, the cornerstone of modern batteries, and rare earth elements, which are critical for high-efficiency electric motors and renewable energy generation.

Governments across the Western world, including in Canada and the United States, have implemented robust strategies to encourage the development of domestic critical mineral supply chains. These policies aim to reduce the world's heavy reliance on a small number of countries for the processing and supply of these vital materials. By raising capital to explore for lithium and REEs in a stable jurisdiction like Quebec, Consolidated Lithium Metals is aligning itself perfectly with this overarching national and international objective.

The successful closure of this offering will provide the company with a fully funded treasury to execute its exploration programs on or before the end of 2027. The attached warrants, which give holders the right to purchase additional shares at $0.12 for a period of 36 months, offer investors further upside potential tied to the company's future exploration success. Completion of the offering remains subject to customary regulatory approvals, including that of the TSX Venture Exchange. This infusion of capital represents a critical step for Consolidated Lithium Metals as it works to convert geological promise into tangible resources for the clean energy economy.