Lithium explorer Lepidico gets arbitration notice from Chinese chemicals maker (updated)

Lepidico

31/05/2023 01:13

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       May 31 (Reuters) - Australia-listed lithium explorer
Lepidico Ltd  LPD.AX  said on Wednesday it had received an
arbitration notice from chemicals maker Jiangxi Jinhui Lithium
relating to an offtake agreement between its Namibia-based unit
and the Chinese firm.
    Toronto-based Desert Lion Energy, which was acquired by
Lepidico in 2019 and renamed Lepidico Chemicals Namibia, had
signed the offtake deal with Jinhui in November 2017 for the
sale of stockpiled material from its Karibib project in Namibia.
    The notice, filed under the arbitration rules of the
Singapore International Arbitration Centre, includes a claim in
the sum of $4.6 million, which is the payment received from
Jinhui as part of the offtake deal, Lepidico said.
    Lepidico is contemplating counterclaims against Jinhui and
believes the arbitration is without merit, it added.

 (Reporting by Ayushman Ojha; Editing by Subhranshu Sahu)
 ((Ayushman.Ojha@thomsonreuters.com;))