Mitsui announces $30m investment in Atlas Lithium

Atlas Lithium has sealed definitive investment and offtake agreements with Japanese trading house Mitsui, marking a significant step in its development.

The agreement entails Mitsui buying $30m in common shares of Atlas Lithium at a 10% premium to the company’s five-day volume-weighted average price (VWAP), providing the lithium company with immediate funds.

Under the offtake agreement, Mitsui will acquire 15,000t of lithium concentrate from Phase 1 and subsequently 60,000t per year for five years from Phase 2 of Atlas Lithium’s Neves Project, which is located in Brazil’s Lithium Valley.

This project is expected to yield high-quality, low-cost, environmentally sustainable lithium concentrate.

Mitsui’s investment will enable Atlas Lithium to expedite its development towards revenue generation.

Mitsui is present in the Brazilian market since 1960 and has a history of profitable mining investments.

Access the most comprehensive Company Profiles
on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free

Your download email will arrive shortly

We are confident about the
quality of our Company Profiles. However, we want you to make the most
decision for your business, so we offer a free sample that you can download by
submitting the below form

By GlobalData

Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

The closing of the investment is anticipated within ten days, pending customary approvals.

Atlas Lithium chairman and CEO Marc Fogassa said: “Today marks a significant milestone for Atlas Lithium as we progress towards our goal of becoming a key lithium supplier to the global EV battery materials supply chain. Mitsui’s investment reflects confidence in our team, assets, and business model.

“I am honoured and humbled to be here in Tokyo signing this historical agreement for Atlas Lithium that will undoubtedly result in great value creation for our shareholders.

“I have watched the relationship of our companies grow and I believe that this partnership with Mitsui strengthens Atlas Lithium substantially.”

In January 2023, Atlas Lithium and Mitsui entered a memorandum of understanding (MoU), offering Mitsui the right to acquire 100% of Atlas Lithium’s production from its planned facility of lithium concentrate.

As per the MoU, Atlas Lithium would secure up to $65m in funding from Mitsui on reaching certain milestones.

Source link

Related Articles

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button


Get our latest downloads and information first. Complete the form below to subscribe to our weekly newsletter.

100% secure your website.