Photo by: Bloomberg
JOHANNESBURG (miningweekly.com) – ASX-listed lithium developer Altura Mining has executed a binding offtake agreement (BOA) with Chinese battery producer Shaanxi J&R Optimum Energy and has revised the terms of the existing BOA with China-based lithium and battery materials processor Lionergy to align both agreements.
Altura MD James Brown said on Monday that the completion of the BOAs marked a “significant milestone” for the company and its offtake partners and provided support for the advanced development of the Pilgangoora lithium project, in the Pilbara region of Western Australia.
He highlighted that the completion of the BOAs would provide increased certainty and confidence for investors and prospective financiers of the project.
Further, Brown noted that the alliance formed between Altura and its partners also provided a strong concept of formulating a complete supply chain solution with conversion capacity for lithium carbonate and lithium hydroxide coupled with a significant lithium battery producer.
“Altura will now take a key upstream position in the Optimum Nano New Energy Alliance (of which Lionergy is a member) which is aimed at supplying a range of material and products to the electric vehicle (EV), large EV and static storage system market,” he asserted.
Brown highlighted that Lionergy had “significantly progressed” the design and construction of a purpose-built lithium carbonate and hydroxide plant to accept the entire initial spodumene production from Pilgangoora.
The new plant is expected to be operational by the second quarter of 2018 to coincide with first shipments from Altura.
“Altura expects the finalisation of the project funding package to be completed in the coming weeks and will advise the market accordingly once it is appropriate to do so,” Brown concluded.