Australia-listed minerals company Infinity Lithium has executed binding agreements for a multi-staged funding and added services assistance package with the European Union-based innovation initiative EIT InnoEnergy.
The package was achieved through a recently launched platform that was created by the European Battery Alliance (EBA).
Infinity’s San José lithium project, in Spain, is the first lithium project to secure European funding from EIT InnoEnergy as part of a multi-level investment agreement, through which EIT InnoEnergy funding includes a staged amount of up to €800 000 to fund Phase 1 of a pilot plant for the project.
EIT InnoEnergy will also support fundraising activities for Phase 2 of the pilot plant, marking an investment of up to €2.4-million.
The funding is accompanied by an assistance agreement to support in fundraising activities for up to €300-million in debt and equity investments to fund the project.
EIT InnoEnergy will also support and facilitate negotiations with European offtakers through the EBA network, while simultaneously supporting Infinity Lithium in obtaining the necessary environmental approvals and societal acceptance for the project, which will enable Infinity’s strategic role in the European lithium-ion battery value chain.
Collaboration between Infinity, EIT InnoEnergy and high purity industrial and strategic minerals and metals specialist Dorfner Anzaplan through a Europe-based IP licensing agreement for application to the European Union’s significant lithium-mica resources, will also take place.
Shares in Infinity Lithium jumped 75% on Thursday, closing at A$0.10 apiece.