Standard Lithium (SLI) Q1 2026 earnings summary

Executive summary

• Achieved major operational milestones at the Arkansas demonstration plant, processing over 1 million barrels of brine and completing 15,000 DLE cycles over six years, validating core process technology.

• Secured first binding commercial offtake agreement with Trafigura for 8,000 metric tons/year of lithium carbonate over 10 years, covering over 40% of targeted SWA Project commitments and supporting project financing.

• Progressed all key work streams toward a final investment decision (FID) for the Southwest Arkansas (SWA) project, targeting construction start in 2026 and first production in 2029.

• Engaged strategic advisors, including The Walsh Group and Global Mineral Strategies, to strengthen national security focus and federal stakeholder engagement.

• Continued resource definition and test work at the Franklin Project in East Texas, with a preliminary economic assessment expected in the second half of 2026.

Financial highlights

• Reported Q1 2026 net loss of $2.7 million, compared to $1.6 million in Q1 2025.

• Cash and working capital stood at $141 million and $139.5 million, respectively, as of March 31, 2026.

• No term or revolving debt obligations as of March 31, 2026, providing financial flexibility.

• G&A expenses decreased by $0.1 million year-over-year, while demonstration plant costs increased by $0.4 million.

• Recorded a $2.2 million non-cash foreign exchange gain due to higher USD cash balances and FX fluctuations.

Outlook and guidance

• Targeting FID for SWA project and construction start in 2026, with first commercial production in 2029.

• Aiming to finalize all remaining offtake agreements by Q3 2026, covering approximately 80% of planned production and supporting project debt structuring.

• Preliminary economic assessment for the Franklin Project in East Texas expected in H2 2026, followed by a feasibility study in early 2027.

• Expects to complete construction vendor contracting and environmental review for the SWA Project in Q2 2026.

• Continued expansion of leasehold footprint in East Texas and ongoing workstreams to finalize project financing and regulatory approvals.