Australia's Firefinch approves final investment decision for Mali lithium project

Firefinch

03/01/2022 22:53

Jan 4 (Reuters) - Australian lithium miner Firefinch Ltd
 FFX.AX  said on Tuesday it approved a final investment decision
for the Goulamina Lithium Project in Mali, which will be jointly
developed and operated with China's Ganfeng Lithium  002460.SZ .
    A definitive feasibility study for the project was completed
last month. Firefinch expects annual production of 506,000
tonnes of spodumene for the first 18 months of production,
making Goulamina one of the largest developments of its kind in
the world.  urn:newsml:reuters.com:*:nASX3btgRk
    Spodumene concentrate is the ore from which lithium is
extracted. Lithium prices soared last year as automakers around
the world began investing billions of dollars to transition to
electric vehicles, boosting demand for batteries which use
lithium.
    Firefinch said that the key remaining condition required for
formation of the Goulamina joint venture is the transfer of the
exploration license to a single-purpose Malian subsidiary, as
required by local legislation.
    It added that the transfer is expected in early 2022 and
that allows Ganfeng, one of the world's biggest lithium
producers, to make its final $91 million worth of funding into
the project.
    Last year, Firefinch said Ganfeng would make total cash
investments of $130 million for a 50% stake in a joint venture
company for the lithium project.  urn:newsml:reuters.com:*:nL3N2NY08O

 (Reporting by Harish Sridharan in Bengaluru; Editing by
Shailesh Kuber)
 ((Harish.Sridharan@thomsonreuters.com;))