Friday 21 June 2024

Lithium Energy (ASX:LEL) announces sale of the Solaroz Lithium Project

Lithium Energy (ASX:LEL) announces the sale of its 90% interest in the Solaroz Lithium Project for around A$97 million to CNGR Netherlands New Energy Technology B.V (a subsidiary of CNGR Advanced Material Co Ltd (Shenzhen: 300919)).

– CNGR is one of the world’s largest producers of precursor cathode active materials used by many leading companies in the battery materials supply chain..
– CNGR will purchase Lithium Energy’s 90% interest in the Solaroz Lithium Brine Project in Argentina for US$63 Million (~A$97 Million) cash.

William Johnson, Executive Chairman says: “The proposed sale follows the conclusion of a formal process initiated by the Company to seek a strategic partner for the development of Solaroz. At the end of this process, taking account of the multiple offers received and current market conditions, the Board has determined that it is in the best interest of shareholders to consider the sale of the Company’s interest in the Solaroz Project to CNGR on the terms proposed.

The purchase price reflects the significant value that the Company has created at the Solaroz Project since Lithium Energy was listed on ASX in May 2021.”

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