- Write by:
-
Tuesday, February 9, 2021 - 11:23:19 PM
-
543 Visit
-
Print
Mining News Pro - Contemporary Amperex Technology (CATL) is planning to increase its investment in Neo Lithium and maintain an 8% equity interest in the lithium miner following Neo’s recently announced C$30.19 million financing.
On Tuesday, the Chinese battery maker provided notice to Neo Lithium of its intention to subscribe, on a non-brokered private placement basis, for 860,870 common shares of the company at a price of C$3.05 per share for aggregate gross proceeds of C$2.62 million.
Under an investor rights agreement between the parties, CATL holds a participation right to maintain its pro rata percentage holding in the company. This right was triggered as a result of the bought deal private placement of special warrants arranged by Neo Lithium last month.
Net proceeds from CATL’s investment will be used to fund development work at the 3Q lithium project in Catamarca, Argentina. The 3Q project is one of the largest brine deposits in the world in terms of both size and grade, containing an estimated 1.3Mt LCE (lithium carbonate equivalent) in proven and probable reserves.
In March 2020, Neo announced the production of battery-grade lithium carbonate using concentrate extracted from the 3Q project at its pilot plant in Fiambalá.
Shares of Neo Lithium advanced 0.9% to C$3.26 by midday Tuesday on the TSX Venture Exchange. The company’s market capitalization is C$417.5 million.
Broker Canaccord Genuity recently hiked its price target on Neo Lithium to C$4.20 from C$3.40, following news that the company has improved the purity of the battery-grade lithium carbonate produced at its pilot plant.
Short Link:
https://www.miningnews.ir/En/News/610402
Australia will spend A$566 million ($373 million) over the coming decade to map out resource deposits with a focus on ...
Equinor on Wednesday said it has entered an agreement with Standard Lithium to acquire a 45% stake in lithium projects ...
China issued draft rules on Wednesday to regulate its lithium battery market, after rapid expansion in the sector hit ...
China’s Ganfeng Lithium Group Co. plans to pay about $408 million to buy out its partner in a lithium mine being ...
The chairman of Chile’s state-run copper giant Codelco said on Monday that he expects to reach a lithium deal with ...
First Quantum Minerals is looking forward to talks with the new administration in Panama and to work together to find a ...
Albemarle, the world’s largest producer of lithium for electric vehicle batteries, could look at reducing capital ...
Albemarle, the world’s largest producer of lithium for electric vehicle batteries, on Wednesday missed first quarter ...
Emerging North American gold producer Contango ORE is boosting its landhold in Alaska with the acquisition of Canada’s ...
No comments have been posted yet ...