Lithium Australia signs deal with Mineral Resources for Queensland pilot project (updated)

Livium

07/08/2023 01:45

(Updates with deal details throughout)
       Aug 7 (Reuters) - Lithium Australia  LIT.AX  said on
Monday it signed a deal with Mineral Resources (MinRes)  MIN.AX 
to form a joint venture and develop a pilot plant that would
produce lithium iron phosphate to be used in electric vehicle
batteries.
    MinRes will solely fund the development and operation of the
pilot plant in Queensland with a total budgeted cost of A$4.5
million ($2.96 million) and provide raw materials at no costs to
the company, Lithium Australia said.
    The deal includes Lithium Australia contributing its
patented LieNA technology, which can improve lithium extraction
yields by up to 50%, and managing the pilot plant's production
process.
    Depending on the results of the pilot plant, both parties
will form a 50:50 joint venture to own and commercialise the
LieNA technology.
    Shares of Lithium Australia jumped 24.2% to A$0.041 by 0042
GMT, while those of MinRes were up 0.1%.

($1 = 1.5214 Australian dollars)

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