19.7 C
Belgrade
Supported byspot_img
spot_img

Altura signs lithium offtake agreement with Ganfeng Ltd, China

Member of Europium Groupspot_img
Supported byspot_img

A western Australian lithium producer entered into a binding offtake agreement with one of the leading global battery materials producers in China.

Altura Mining announce in a statement this week that it had signed an offtake agreement with GFL International Co, a wholly owned subsidiary of leading global lithium producer in Ganfeng Lithium.

Under the agreement, Altura will supply a minimum of 70,000 dry metric tonnes per year until December 2021, with an option to extend the agreement by a further five years.

Supported by

Ganfeng is the world’s third largest and China’s largest lithium compounds producer and the world’s largest lithium metals producer in terms of production capacity.

Altura’ key asset is its 100% owned world-class Altura Lithium project, located in Pilangoora in Western Australia. The project has a production capacity of 220,000tpa of spodumene concentrate and the company is looking to expand the project to produce around 440,000tpa.

The company has also significantly changed its existing offtake agreement with Shaanxi J&R Optimum Energy. Through the update, JRO will reduce its current commitment from a minimum of 100,000 tpa to a minimum of 50,000 tpa from 2019 onwards. This updated agreement will provide Altura with more flexibility, as JRO aims to conclude its current restructuring.

Altura Managing Director James Brown said the new agreements would underpin production and should remove any offtake uncertainty.

“Ganfeng is one of the largest and most respected lithium companies in the world and an offtake agreement with them is further proof of the quality of the product we are producing from the Altura Lithium operations,” he said.

“The terms of agreement mirror the floor price component of our existing offtakes which provides us with significant security while the agreed pre-payment provides a healthy working capital buffer during the ramp-up phase.”

“The revised agreement with JRO together with the broadening of Altura’s customer base with Ganfeng’s commitment significantly addresses any implications to the offtake agreement from JRO’s restructuring activities.”

“We are producing a high-grade product that is highly sought after. We continue to field inquiries regarding offtakes which is testament to the quality of the Altura lithium concentrate and evidence there is still stronglong-term global demand.”

Source: miningglobal

Supported byElevatePR Digital

Related News

Rio Tinto challenges Serbian government with arbitration notice on Jadar project

Background of the dispute: Jadar project and environmental protests The British-Serbian activist group Earth Thrive has reported that Rio Tinto has officially notified the Serbian...

There is no technology that guarantees the safe processing of lithium in the form it exists in Serbia

The Rio Tinto lithium mining project has never been conclusively dismissed, just paused, waiting for the dust to settle before being reintroduced with even...

“Jadar” will not pollute river streams

As the discussion about the "Jadar" project has reignited in recent days, the public in Serbia remains confused by the extremely contradictory narratives about...

Serbia’s lithium mining revival: Implications for EU membership and geopolitics

Serbia is aiming to position itself as a significant supplier of lithium in Europe, reviving a contentious mining project that was previously abandoned due...
Supported by
Supported by
Supported by
error: Content is protected !!