Project Commissioning to Commence in December

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cnw






TSX: CLQ; U.S. OTC: CLQMF


TORONTO, Nov. 26, 2012 /CNW Telbec/ - Canada Lithium Corp. (TSX: CLQ)
(U.S. OTC: CLQMF) announced today it has been awarded the prestigious
"Entrepreneur of the Year Award" by the Quebec Mineral Exploration
Association (AEMQ).


The association noted that "the award emphasizes the work of a
contractor or team of contractors whose company has made significant
progress over the past year. This progress can be related to the
development of a specific project, to all company activities or the
development of a mining project towards its phase of production."


"We are very honoured to have been recognized by the association for our
Quebec Lithium Project, which is now approaching the commissioning
phase," said Canada Lithium President and CEO Peter Secker.


The award was granted at AEMQ's annual recognition awards ceremony
during the Quebec Mining Exploration Convention, November 19-22.


Project Update


The Company notes that dry commissioning of the crushing, grinding and
flotation circuits is scheduled for end-December 2012. The first stage
of the Tailings Management Facility (TMF) is on schedule for completion
by mid-December and will be operating when wet commissioning of the
spodumene circuit begins in January 2013. Structural, mechanical and
electrical installation for the hydrometallurgical circuit is ongoing
and commissioning of the hydrometallurgical plant will commence in
February 2013. The first shipment of lithium carbonate to the Tewoo
Group in China is on schedule for end-March 2013. (See press release
dated November 12, 2012, for details on the five-year Tewoo offtake
agreement.) Full production of the 20,000-tonne-per-annum lithium
carbonate processing plant is on-schedule for Q4, 2013.


The Company also announced it has filed on SEDAR a National Instrument
43-101 Technical Report in support of the Updated Feasibility Study
announced October 11, 2012.


Lithium Carbonate Market Update


In reporting its latest Third Quarter results, major lithium producer
Sociedad Quimica y Minera de Chile S.A (SQM) noted that "demand growth
continues to be led by the battery market, along with important growth
in uses related to glass and grease. We believe that (the) lithium
market is positioned to grow in the short and long term resulting from
the development of new technologies related to energy storage. Volumes
increased over 14% in the third quarter when compared to the third
quarter of 2011."


SQM went on to note that "increased demand has impacted market prices,
which have increased over 10% in the first nine months of 2012 when
compared to the first nine months in 2011."


Further evidence of a strong market may have been provided by Chengdu
Tianqi, a major Chinese lithium producer, when it recently announced a
competing bid ($7.15 per share) for Talison Lithium Limited,
approximately 10% higher than an earlier $6.50-per-share bid by
Rockwood Holdings, Inc. The Tianqi bid is under review by the Talison
Board.


About Canada Lithium Corp.


The Company holds a 100% interest in the Quebec Lithium Project near Val
d'Or, the geographical heart of the Quebec mining industry. It is
nearing completion of an open-pit mine and processing plant on-site
with estimated capacity to produce approximately 20,000 tonnes of
battery-grade lithium carbonate annually. Metallurgical tests have
produced battery-grade lithium carbonate samples. Lithium carbonate is
used in lithium-ion batteries that power consumer electronics (laptops,
tablets, etc.) power-grid storage facilities and electric and hybrid
vehicles. The Company trades under the symbol CLQ on the TSX and on
the U.S. OTCQX under the symbol CLQMF.



SOURCE: CANADA LITHIUM CORP.



For further information:



Please contact:

Peter Secker, President and CEO (416) 361-2821

Olav Svela, Director, Investor Relations (416) 361-2821 or (416) 479-4355 or email osvela@canadalithium.com

Christine Stewart, Renmark Financial Communications Inc. (416) 644-2020 or email cstewart@renmarkfinancial.com

Please visit the Canada Lithium website at >http://www.canadalithium.com/s/PhotoGallery.asp.