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Lithium Americas (TSX,NYSE:LAC) has completed several transactions with subsidiaries of Jiangxi Ganfeng Lithium and Sociedad Química y Minera de Chile regarding the Cauchari-Olarox lithium project in Jujuy, Argentina.
Lithium Americas (TSX,NYSE:LAC) has completed several transactions with subsidiaries of Jiangxi Ganfeng Lithium and Sociedad Química y Minera de Chile regarding the Cauchari-Olaroz lithium project in Jujuy, Argentina.
As quoted in the press release:
Pursuant to the transaction, Ganfeng Lithium has acquired a 37.5 percent interest in Minera Exar S.A., the holding company for Cauchari-Olaroz, from SQM. Lithium Americas holds the remaining 62.5 percent interest. In connection with the transaction, Ganfeng Lithium has provided Lithium Americas with a US$100 million limited recourse, subordinated loan facility to fully fund Lithium Americas’ increased share of Caucharí-Olaroz’ capital expenditures.
Tom Hodgson, Lithium Americas CEO, commented:
“We would like to thank SQM for helping close the transaction on schedule and for their continued support during the transition period. We are very pleased with the recent progress at site, including the start of filling the first pond in October, and remain on track to commence lithium carbonate production in 2020. Following the close of the transaction, Lithium Americas remains well capitalized with approximately US$300 million in available capital and over US$45 million in cash on our balance sheet.”