• Lithium prices have more than doubled in the last 3-4 months
• Becancour DFS completed during lithium price trough below US$10,000/tonne
• Counter-cyclical strategy advanced project through severe market downturn
• Faster-than-expected lithium price recovery validates counter-cyclical approach

Lithium Universe Limited (ASX: LU7) has provided an update on its Becancour Lithium Refinery project in Quebec, Canada, following the sharp recovery in lithium carbonate battery grade prices and improving global lithium market conditions. During the Becancour DFS work undertaken in late 2024 and early 2025, the lithium industry was at the trough of a pronounced cyclical downturn, with battery-grade lithium carbonate prices falling to around US$10,000 per tonne. Despite these conditions, Lithium Universe intentionally advanced the Becancour project through a counter-cyclical strategy. In February 2025, the Company completed and released the Definitive Feasibility Study (DFS) for the Becancour Lithium Refinery, forecasting a faster-than-expected recovery in lithium prices. Over the past three to four months, battery-grade lithium carbonate prices have recovered strongly, more than doubling from approximately US$11,000 per tonne to a recent closing spot price of around US$24,000 per tonne. This rapid rebound represents the faster-than-expected price recovery anticipated by the Company in February 2025. The DFS confirmed the Becancour Lithium Refinery's economic viability based on a long-term lithium carbonate price assumption of US$20,970 per tonne. With current spot prices materially above the DFS assumption, the Company believes the economic fundamentals of the Becancour project have been significantly strengthened, and its counter-cyclical strategy is beginning to pay off. Lithium Universe has commenced re-engagement with key project stakeholders, including spodumene concentrate suppliers, downstream lithium carbonate customers, and potential strategic and financial partners, against a materially improved market backdrop.

Lithium Universe's strategy remains firmly centred on 'Closing the Lithium Conversion Gap' in North America. The Company continues to pursue long-term spodumene offtake arrangements to underpin feedstock security for the Becancour refinery, alongside downstream partnerships with parties seeking reliable, western lithium conversion capacity. Lithium Universe believes its counter-cyclical strategy has delivered a tangible competitive advantage, with the Company now positioned ahead of many peers after advancing engineering, permitting, and commercial groundwork during the market downturn.