Lithium Universe

Lithium Universe Launches Share Purchase Plan

Lithium Universe Limited (“Lithium Universe”, the “Company” or ASX: “LU7”) is delighted to announce the opportunity for eligible shareholders of the Company to participate in an equity raising via a Share Purchase Plan (SPP), targeting to raise up to $A3.0 million.


Highlights

  • Share Purchase Plan (SPP) offered to raise working capital and reward former Mogul Games Group Limited and IPO shareholders
  • SPP at an issue price of $0.02 per share
  • Represents a 9.09% discount to the closing price of $0.022 per share on 12 March 2024 and a 9.09% discount to the 5-day VWAP prior to this announcement
  • Funds applied to engineering studies and working capital requirements
  • Eligible shareholders to take advantage of a unique business model
  • Focused on lithium conversion for multinational players together with the continued exploration of suite of lithium and rare earth assets
  • Closing the lithium downstream conversion gap in North America
  • Option agreement to acquire an industrial site in Bécancour, Québec
  • Site has capacity for three trains with a total of 48,000 tpa LCE
Proceeds from the SPP will help advance the Company’s Québec Lithium Processing Hub (QLPH) strategy. The QLPH strategy comprises of building a lithium concentrator and lithium refinery facility in Canada that will provide the critical materials for batteries in the North American market.

Presently, approximately 900 gigawatts (GW) of cathode/battery projects are under consideration for the North American continent, featuring prominent players such as Tesla, LG Energy, Northvolt, POSCO, Ford, GM, and Toyota, among others. This translates to a demand for 800,000 tons per annum (tpa) of lithium chemicals.

North America lacks operational lithium converting refineries, with only approximately 100,000 tpa of lithium chemicals in planned capacity. Recognizing this lithium processing gap, LU7 is poised to address this need. The Company’s unique QLPH strategy focuses on the opportunity to convert spodumene offtake for multinational players, facilitating the conversion process closer to their supply chains in North America, rather than solely relying on China. It is also envisaged that any run of mine ore generated by the Company’s mineral assets in Canada would form part of the spodumene mix feeding the QLPH in the future.

Mr. Iggy Tan, Chairman of Lithium Universe said“The Company is looking to raise working capital and reward previous Mogul Games shareholders and new shareholders for their continual support by pricing the SPP at the price of the Lithium Universe IPO completed in August 2023 (via a re-compliance listing). Despite the decline in lithium prices affecting numerous industry players, Lithium Universe is full steam ahead. We view the current short-term dip in lithium prices as an advantageous window to finalize feasibility studies for the QLPH before the onset of the next cycle. These moments present tangible opportunities for our organization and we invite current shareholders to position themselves for the next lithium cycle. I look forward to achieving several significant milestones in 2024 for the QLPH strategy. We are well advanced on the key engineering studies which will form the basis for the Company moving towards funding, construction and development”.

Share Purchase Plan Details

The SPP will enable existing shareholders who are recorded on the Company’s share register at close of market on 12 March 2024 (Record Date), with a registered address in Australia or New Zealand to participate (Eligible Shareholder). Eligible Shareholders will be permitted to purchase up to $A30,000 ordinary shares in the Company (subject to any scale back), without incurring brokerage or transaction costs. All shares issued under the SPP will rank equally with existing ordinary shares of the Company.

The SPP is being undertaken under ASX Listing Rule 7.2, exception 5 and as such, the issue will not take up any of the Company’s placement capacity and will not require shareholder approval.

New shares issued under the SPP will be offered at $0.02 per share (SPP Price), representing a 9.09% discount to the closing price of $0.022 per share on the Record Date of 12 March 2024, and a 9.09% discount to the volume weighted average price of the Company’s shares calculated over the last 5 days on which sales in the shares were recorded prior to the date of this announcement.


Click here for the full ASX Release

This article includes content from Lithium Universe Limited, licensed for the purpose of publishing on Investing News Australia. This article does not constitute financial product advice. It is your responsibility to perform proper due diligence before acting upon any information provided here. Please refer to our full disclaimer here.

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Lithium Universe

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Lithium Universe Ltd  Partners with Quebec Chemical Logistics Supply Company

Lithium Universe Ltd Partners with Quebec Chemical Logistics Supply Company

Melbourne, Australia (ABN Newswire) - Lithium Universe Limited (ASX:LU7) (FRA:KU00) (OTCMKTS:LUVSF) is pleased to announce the signing of a Memorandum of Understanding (MOU) to partner on logistics of essential chemical products for Lithium Universe's Becancour Lithium Refinery operations.

Highlights

- Strategic local chemical logistics partnership with Servitank

- Single logistics supplier capable of sourcing multiple process chemicals

- Reliable delivery of critical chemical inputs to Becancour Lithium Refinery

- Investigation of secondary product management and sales

- Proven experience in spodumene logistics and storage

About Servitank, a subsidiary of Groupe Somavrac

Servitank, a local, Quebec-based Company, specializes in optimizing supply chain processes and logistics solutions across various industries, including chemicals and raw materials. With a strong focus on multimodal handling, Servitank employs innovative strategies to save time and reduce costs for its clients. The parent company has extensive experience in the Becancour and Trois-Rivieres areas, having successfully managed logistics and moisture control for key players in the lithium sector in North America.

Key Elements of MOU

This partnership aims to optimize supply chain processes and enhance the operational efficiency of both companies in the rapidly growing lithium sector. Under the MOU, Servitank will seek to leverage its expertise in supply chain management and multimodal logistics to support Lithium Universe's project: the development of the Becancour Lithium Refinery, projected to produce 18,270 tonnes per annum of green battery-grade lithium carbonate. While this MOU outlines the framework for partnership, it remains a non-binding document, paving the way for detailed discussions and the eventual drafting of definitive agreements.

Chemical Supply and Logistics

Servitank is currently evaluating various storage solutions at their Becancour Port terminal, which may facilitate the efficient trucking logistics required to deliver key liquid chemicals directly to Lithium Universe's operational site. Additionally, Servitank will investigate the process of constructing dedicated storage tanks for specific process reagents, positioning itself to supply critical chemicals directly to Lithium Universe and others within the Becancour Industrial Park. Additionally, Servitank will actively assist in exploring procurement options within the local areas for other dry bulk reagents to meet Lithium Universe's specific operational requirements.

To ensure a steady supply of readily available reagents, arrangements will be made for direct delivery from established suppliers, further securing the necessary materials for production. Servitank will also assist in investigating sourcing specialty reagents from within the Becancour Industrial Park to promote the immediate circular economy within the park and reduce freight costs from other areas of Quebec.

Secondary Product Management

Both parties will investigate storage opportunities and potential partnerships with cement companies within sister companies of Servitank in Groupe Somavrac's client base. This investigation aims to effectively utilize Lithium Universe's alumina silicate by-products, enhancing sustainability and resource management. Furthermore, the two companies will assess storage requirements for sodium sulphate, considering its potential placement within the pulp and paper industry in North America.

Logistics and Storage Solutions:

Servitank's facilities in Becancour will play a crucial role in the storage and transportation of spodumene. The partnership will ensure the logistics and handling of spodumene sourced from transatlantic suppliers is managed efficiently. Servitank's sister company, Somavrac, will also provide access to advanced bagging machinery and bulk storage solutions at its Trois-Rivieres location, optimizing operational efficiency and supporting the needs of the refinery.

Iggy Tan, Chairman of Lithium Universe Limited, added, "This partnership with Servitank is a significant step towards realizing our vision for the Becancour Lithium Refinery. We are particularly focused on identifying a single logistic supplier capable of supporting us in sourcing most of our chemical reagents, which will simplify our supply chain and enhance operational efficiency. Together, we aim to bridge the lithium conversion gap and ensure a robust and responsible supply chain."

*To view photographs, please visit:
https://abnnewswire.net/lnk/66K80ZQ8



About Lithium Universe Ltd:  

Lithium Universe Ltd (ASX:LU7) (FRA:KU00) (OTCMKTS:LUVSF), headed by industry trail blazer, Iggy Tan, and the Lithium Universe team has a proven track record of fast-tracking lithium projects, demonstrated by the successful development of the Mt Cattlin spodumene project for Galaxy Resources Limited.

Instead of exploring for the sake of exploration, Lithium Universe's mission is to quickly obtain a resource and construct a spodumene-producing mine in Quebec, Canada. Unlike many other Lithium exploration companies, Lithium Universe possesses the essential expertise and skills to develop and construct profitable projects.



Source:
Lithium Universe Ltd

News Provided by ABN Newswire via QuoteMedia

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Lithium Universe

LU7 Partners with Quebec Chemical Logistics Supply Company

Lithium Universe (LU7:AU) has announced LU7 Partners with Quebec Chemical Logistics Supply Company

Download the PDF here.

Lithium Universe Ltd  Quebec Carbonate Interview

Lithium Universe Ltd Quebec Carbonate Interview

Melbourne, Australia (ABN Newswire) - Lithium Universe Limited (ASX:LU7) (FRA:KU00) (OTCMKTS:LUVSF) is pleased to announce that its Chairman, Iggy Tan, recently participated in an interview titled "Quebec Carbonate" on the Rock Stock Channel Podcast.

The interview emphasises the Company's strategic choice to focus on lithium carbonate over hydroxide, reflecting shifting market demand towards safer and cheaper lithium iron phosphate (LFP) batteries. Mr Tan outlines the competitive advantages of Quebec for lithium processing, including access to inexpensive hydro power, lower labor costs (vs Australia), proximity to mines, and favourable tariff conditions. He reports strong financial projections of the Company's PFS based on conservative pricing assumptions, indicating a robust internal rate of return and payback period for their operations.

The interview underscores the urgency and growth potential for lithium supply chains outside of China, positioning Lithium Universe as a key player in this sector.

To view the Interview, please visit:
https://www.abnnewswire.net/lnk/15Y6K65C



About Lithium Universe Ltd:  

Lithium Universe Ltd (ASX:LU7) (FRA:KU00) (OTCMKTS:LUVSF), headed by industry trail blazer, Iggy Tan, and the Lithium Universe team has a proven track record of fast-tracking lithium projects, demonstrated by the successful development of the Mt Cattlin spodumene project for Galaxy Resources Limited.

Instead of exploring for the sake of exploration, Lithium Universe's mission is to quickly obtain a resource and construct a spodumene-producing mine in Quebec, Canada. Unlike many other Lithium exploration companies, Lithium Universe possesses the essential expertise and skills to develop and construct profitable projects.



Source:
Lithium Universe Ltd

News Provided by ABN Newswire via QuoteMedia

Keep reading...Show less
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The Barra Lithium Project consists of four recently acquired tenements that are located within close proximity to the existing operating Miranda Lithium mine that is within the Borborema Pegmatitic Province (“BPP”) in northeast Brazil.

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Rio Tinto Shares Initial Resources and Ore Reserves for Rincon Lithium Project

Rio Tinto ( ASX:RIO,NYSE:RIO,LSE:RIO) released an initial mineral resources and ore reserves report for its 100 percent owned Argentina-based Rincon project on Wednesday (December 4).

Mineral resources inclusive of ore reserves comprise 1.54 million tonnes of lithium carbonate equivalent in the measured category, with 7.75 million tonnes in the indicated category and 2.29 million tonnes in the inferred category.

Probable ore reserves are made up of 2.07 million tonnes of lithium carbonate equivalent.

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Lithium Universe

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  • Insights
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