Mt Edwards Lithium Pty Ltd owns 75% of the lithium rights in the Mt Edwards Lithium Project comprising 20 tenements and 100% of the lithium rights on mining lease M15/87.
The Mt Edwards Lithium Project is located 40 kilometres south of the operating Mount Marion Lithium Project of which Neometals owns a 13.8% equity interest.
The whole transaction involves the acquisition of a combination of tenements and mineral rights covering 240 square kilometres.
It represents a strategic addition to Neometals’ spodumene sourcing pipeline to support its planned lithium hydroxide business.
Neometals is evaluating a local lithium hydroxide facility in the Kalgoorlie region to process its offtake rights from Mount Marion.
The acquisition of the Mt Edwards Lithium Project adds a prospective brownfield holding to the pipeline of potential additional sources of spodumene to support Neometals’ strategy to build an integrated lithium business.
Remaing parts of transaction continuing
Neometals and Apollo Phoenix Resources Pty Ltd are now working through the remaining conditions precedent to Neometals’ acquisition of the underlying Mt Edwards tenements and separate nickel rights package from Apollo.
Completion of that component of the acquisition is anticipated to occur within one to two months.