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Canada Lithium Revises Bought-Deal Financingto $13 Million of Units

Canada Lithium Corp. (” Canada Lithium” or the “Company”) (CLQ.TO) (U.S. OTC: CLQMF) announced that the Company and the syndicate of underwriters led by Casimir Capital Ltd. have agreed to amend and revise the terms of its previously announced public offering. Under the revised terms, the Underwriters have agreed to purchase, on a bought deal basis, 17,867,778 units of the Company (the “Units”), at a price of $0.73 per Unit, for aggregate gross proceeds of approximately $13 million (the “Offering”), by way of a short form prospectus. Each unit will consist of one common share of Canada Lithium and one half of one common share purchase warrant (each whole warrant, a “Warrant”). Each Warrant will be exercisable for a period of 2 years following the closing of the Offering at an exercise price of $0.85 per Warrant. The Company has granted the underwriters an over-allotment option to purchase additional Units up to 15% of the Offering, for a period of 30 days following the closing.

The Company will use the proceeds to fund initial stages of several previously announced capital projects, and for working capital and general corporate purposes.

The offering is subject to certain conditions including, but not limited to, the receipt of all necessary regulatory and other approvals, including the approval of the Toronto Stock Exchange and the securities regulatory authorities. The financing is anticipated to close on or about March 25, 2013.

The securities offered have not been, and will not be, registered under the U.S. Securities Act of 1933, as amended (the “U.S. Securities Act”) or any U.S. state securities laws, and may not be offered or sold in the United States or to, or for the account or benefit of, United States persons absent registration or any applicable exemption from the registration requirements of the U.S. Securities Act and applicable U.S. state securities laws. This press release shall not constitute an offer to sell or the solicitation of an offer to buy securities in the United States , nor shall there be any sale of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful.

About Canada Lithium Corp.

The Company holds a 100% interest in the Québec Lithium Project near Val d’Or, the geographical heart of the Québec mining industry. It has completed construction and is in the commissioning phase of an open-pit mine and on-site processing plant with estimated capacity to produce approximately 20,000 tonnes of battery-grade lithium carbonate annually. Metallurgical tests have produced battery-grade lithium carbonate samples. A five-year off-take agreement for a minimum of 12,000 tonnes per year was recently signed with Tewoo-ERDC, one of China’s largest commodities traders. A second off-take for up to 5,000 tonnes per year was recently signed with Marubeni Corp., a major Japanese commodities trading company. 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

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