The current invention relates to the preparation of an improved cathode active material for non-aqueous lithium electrochemical cell. In particular, the cathode active material comprises .epsilon.-phase silver vanadium oxide prepared by using a .gamma.-phase silver vanadium oxide starting material. The reaction of .gamma.-phase SVO with a silver salt produces the novel .epsilon.-phase SVO possessing a lower surface area than .epsilon.-phase SVO produced from vanadium oxide (V.sub.2O.sub.5) and a similar silver salt as starting materials. Consequently, the low surface area .epsilon.-phase SVO material provides an advantage in greater long-term stability in pulse dischargeable cells.