Lithium at the core. TKMS and E3 Lithium align on Canada’s submarine ambitions

From an industry perspective, the partnership reflects a broader structural shift linking naval shipbuilding with upstream access to strategic raw materials. Lithium, a cornerstone of high-performance energy storage systems, is increasingly central to next-generation submarine design, enabling enhanced submerged endurance, reduced acoustic signatures, and improved overall energy efficiency.

- The CPSP represents a cornerstone of Canada’s naval capability, and critical minerals are essential to the technology that powers tomorrow’s submarines, said Thomas Keupp, Chief Sales Officer at TKMS. - Through this agreement with E3 Lithium, we are not only securing access to a sustainable supply of lithium but also strengthening the industrial partnership between Germany and Canada. This cooperation reflects our shared commitment to innovation, sustainability, and long-term capability development.

Under the agreement, both parties will explore pathways to leverage Canadian lithium production for strategic applications, with potential downstream supply to German and allied industrial customers. A central asset in this context is E3 Lithium’s Clearwater Project, a direct lithium extraction (DLE) development expected to reach production levels of up to 36,000 tonnes per year of battery-grade lithium at full capacity.

E3 Lithium contributes expertise in resource development, extraction technologies, and processing, positioning the partnership to support the build-out of a resilient and scalable supply chain—serving both Canada’s submarine program and prospective export markets.

- Partnering with TKMS allows us to connect Canada’s critical minerals industry with strategic global markets while supporting a transformative national defense program, said Chris Doornbos, CEO at E3 Lithium. - This agreement is a strong step toward leveraging Canada’s lithium resources to create sustainable economic value, advance technology transfer, and strengthen industrial ties with Germany and allied nations.

Beyond CPSP, the agreement establishes a platform for future international cooperation involving the integration of critical minerals into advanced technology platforms. Leveraging TKMS’s global naval portfolio and E3 Lithium’s position within Canada’s lithium sector, the partnership may evolve into broader transatlantic industrial collaboration.

For the maritime and defense industries, the agreement underscores the growing importance of supply chain security as a core component of naval capability development. The convergence of shipbuilding expertise and assured access to critical materials is rapidly becoming a defining factor in the competitiveness of submarine programs worldwide.