Brief: Pilbara Minerals Finalises Agreements For POSCO JV

Posco International

26/10/2021 01:51

Oct 26 (Reuters) - Pilbara Minerals Ltd  PLS.AX :
    * FINALISES AGREEMENTS FOR POSCO
    * FINALISES JOINT VENTURE WITH POSCO TO PARTICIPATE IN
DOWNSTREAM
LITHIUM CHEMICALS FACILITY
    * WILL INITIALLY HOLD AN 18% INTEREST IN JV
    * COMMISSIONING EXPECTED FROM SEPTEMBER QUARTER 2023
    * JV WILL BE NAMED "POSCO-PILBARA MINERALS LITHIUM SOLUTION
CO
LTD"
    * JV TO PROVIDE US$25M OFFTAKE PRE-PAYMENT FACILITY TO
PILBARA
MINERALS
    * FUNDS WILL BE DRAWN DOWN UNDER CONVERTIBLE BOND AGREEMENT
FOLLOWING FORMATION OF JV AND COMPLETION OF OTHER CONDITIONS
PRECEDENT
    * CAPITAL DEVELOPMENT COSTS FOR CONVERSION FACILITY
ESTIMATED AT
PRE-FEASIBILITY STUDY LEVEL TO BE BETWEEN $600-6501 MILLION
(100% BASIS)
    * WILL MAKE A STAGED INVESTMENT OF UP TO 30% IN JV
    * CONSTRUCTION OF FIRST TRAIN OF CONVERSION FACILITY IS
EXPECTED
TO BE COMPLETED BY MID-2023
    * UNDER REVISED OFFTAKE TERMS, CO TO SUPPLY 315KTPA OF
CHEMICAL
GRADE SPODUMENE CONCENTRATE ON COMMERCIAL TERMS TO CONVERSION
FACILITY

Source text for Eikon:  ID:nASXb2Dmmv 
Further company coverage:  PLS.AX 

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