Announcement • Jul 08
Critical Elements Provides an Update on Its 10,000-Meter Summer Drill Program At Rose West Critical Elements Lithium Corporation announced the details of its Phase 2: Summer 2026 drill program, including 10,000 meters of systematic drilling around the 100% owned Rose West Discovery ("Rose West"), located in Eeyou Istchee, Québec. Critical Elements announces that it has temporarily evacuated the camp at Rose West Project and suspended all drilling and related exploration activities following the development of a forest fire proximal to the project camp and drills and after discussion with SOPFEU (Société de protection des forêts contre le feu) due to increasing wildland fire danger in the area. The Winter 2026 drilling program was very successful in expanding the lateral footprint of the known mineralized pegmatites and in identifying new lithium-tantalum bearing pegmatites in both the hanging wall and footwall of the main Pegmatite 3 zone. Located approximately 10 km to the west of the Rose Lithium-Tantalum Project ("Rose"), Rose West is a near surface lithium-rich pegmatite bearing zone, initially intercepted by drilling over a 450 m x 370 m footprint area in the winter of 2024, now covering an overall footprint of 1,250 m x 800 m (see Press Release dated June 9, 2026), a six-fold increase in surface expression. The lithium-rich pegmatites typically range from 10 to 40 m in thickness and together display a sub-horizontal stacked geometry. Recent drilling has identified three (3) new spodumene-bearing pegmatitic bodies within the target area. The Phase 2 Summer 2026 drill program is designed to further expand this mineralized footprint, and to better define the geometry and extent of the three new mineralized pegmatites intersected during the Winter 2026 Campaign. The Corporation intends to deploy two drill rigs to optimize the duration of the program. The drilling strategy is straightforward: based on current geological model and interpretation, apply a 100 m grid approach to grow the known mineralized volume from its current boundary outward. The program targets the expansion of the mineralized footprint to a potential of approximately 1,250 x 2,000 m and could confirm the addition of at least two (2) more mineralized pegmatite bodies within the system. New Risk • Jul 02
New major risk - Financial position The company has less than a year of cash runway based on its current free cash flow trend. Free cash flow: -CA$8.1m This is considered a major risk. With less than a year's worth of cash, the company will need to raise capital or take on debt unless its cash flows improve. This would dilute existing shareholders or increase balance sheet risk. Currently, the following risks have been identified for the company: Major Risks Less than 1 year of cash runway based on free cash flow trend (-CA$8.1m free cash flow). Earnings are forecast to decline by an average of 35% per year for the foreseeable future. Revenue is less than US$1m. Minor Risks Currently unprofitable and not forecast to become profitable over next 2 years (CA$16m net loss in 2 years). Market cap is less than US$100m (CA$82.4m market cap, or US$58.0m). Price Target Changed • Jun 04
Price target decreased by 17% to CA$1.07 Down from CA$1.29, the current price target is an average from 3 analysts. New target price is 177% above last closing price of CA$0.39. Stock is down 2.5% over the past year. The company is forecast to post a net loss per share of CA$0.02 compared to earnings per share of CA$0.019 last year. 
