MinRes abandons Lake Johnston buy

9th May 2024 By: Creamer Media Reporter

MinRes abandons Lake Johnston buy

ASX-listed Mineral Resources (MinRes) has decided to withdraw from the proposed acquisition of the Lake Johnston nickel concentrator plant and mining rights, in Western Australia.

MinRes in March entered into an agreement with Poseidon Nickel to acquire Lake Johnston with a view to converting the existing plant to process lithium into spodumene concentrate.

Poseidon Nickel said on Thursday that MinRes had terminated the binding heads of agreement, having previously said that it wished to renegotiate the terms of the agreement.

Poseidon said on April 30 that the terms MinRes suggested were materially different to the agreed transaction of March 15. At the time, the company also said that it did not believe the new terms were in the best interest of its shareholders.