Lithium Americas Announces Strategic Transaction with Ganfeng Lithium to Jointly Advance Caucharí-Olaroz
- GFL agrees to purchase SQM’s interest in Caucharí-Olaroz. GFL has agreed to purchase SQM’s interest in Caucharí-Olaroz and enter into a new shareholders’ agreement with LAC to govern Minera Exar.
- LAC increases its interest in Caucharí-Olaroz to 62.5%. LAC will increase its interest in Caucharí-Olaroz from 50% to 62.5% with GFL holding the remaining 37.5% interest.
- GFL has agreed to provide LAC with a new US$100 million unsecured, limited recourse, subordinated loan facility. With this new source of financing, to be provided as part of the Transaction, LAC expects to have more than sufficient financial resources to fully fund its 62.5% share of the capital expenditures for Stage 1 of Cauchari-Olaroz.
- Construction remains on track for first production in 2020. Construction continues with over 400 employees and contractors mobilized in Jujuy, Argentina.
- Further optimization expected. LAC’s and GFL’s technical teams expect to immediately collaborate on ways to improve design efficiencies and leverage GFL’s technical and project execution expertise including experience producing battery quality lithium carbonate from concentrated brine.
- LAC and GFL enter Strategic Collaboration Agreement to explore future partnership opportunities. LAC and GFL have agreed to collaborate and explore future opportunities to jointly develop lithium resources across North and South America.