Nemaska Lithium Inc. (TSX:NMX) (OTCQX:NMKEF) (FRANKFURT:N0T) provides an update on its project financing plan to raise USD 775M to USD 825M to fund the construction, commissioning, working capital and reserve funds for its Whabouchi lithium mine and Shawinigan electrochemical plant, and also for general corporate working capital as follows:

• the Corporation has signed a non-binding term sheet for a USD 150 million streaming facility;

• it is currently in advanced discussions for debt financing aggregating USD 300-350 million; and

• it intends to raise the remainder through private and/or public equity or debt offerings, hence its preliminary base shelf prospectus filed on www.sedar.com yesterday.

“We are involved in a number of formal discussions with serious parties and are confident that, upon completion, we will have secured sufficient funding to take us to commercial production,” commented Guy Bourassa, President and CEO. “Our overriding goal remains to balance our wish to become an independent new lithium supplier in a timely manner, with a financing structure that is serviceable during initial production years. We will provide further information as we finalize the various components of this financing package.”

Streaming Facility

The Corporation has signed a non-binding term sheet and is in the final stages of negotiating a definitive agreement with an international financial institution of good standing for the sale and delivery of an agreed-upon percentage of lithium products.

Debt Financing

The Corporation is currently in advanced discussions for arrangements to secure the debt financing as stated above.

Equity Offerings – Base Shelf Preliminary Prospectus

The Corporation filed and obtained a receipt yesterday for a preliminary base shelf prospectus to enable the possibility of raising, over a 25-month period, debt and equity financing of up to a maximum amount of CAD 500M. It is important to note that this document is not filed in connection with any actual public offering of securities.

About Nemaska Lithium

Nemaska Lithium is a developing chemical company whose activities will be vertically integrated, from spodumene mining to the commercialization of high-purity lithium hydroxide and lithium carbonate. These lithium salts are mainly destined for the fast-growing lithium-ion battery market, which is driven by the increasing demand for electric vehicles and energy storage worldwide. With its products and processes, Nemaska Lithium intends to facilitate access to green energy, for the benefit of humanity.

The Corporation will be operating the Whabouchi mine in Québec, Canada, one of the richest lithium spodumene deposits in the world, both in volume and grade. The spodumene concentrate produced at the Whabouchi mine will be processed at the Shawinigan plant using a unique membrane electrolysis process for which the Corporation holds several patents.