HIGHLIGHTS
- Corporate Investment Subscription of A$8m and Framework Agreement executed with world-leading South Korean EV battery metals producer EcoPro Innovation Co., Ltd (EcoPro or EcoPro Innovation)
- Provides a foundation for partnering in co-operation across GT1’s projects as part of GT1’s strategy to become the first integrated lithium producer in Ontario
- The executed agreements cover proposals for both upstream (mining and raw material extraction) and downstream (processing and conversion) activities, including the development of potential mines and the proposed Lithium Conversion Facility through the following potential pathways:
– Corporate equity investment – at a significant premium to the last closing price and a 40% premium to the 90-day VWAP for an investment of A$8m via a two-tranche placement
– Asset level investment options – up to 12-months exclusive rights to negotiate and agree staged asset-level investments in the Seymour and Root mine developments (Projects) in anticipation of negotiation of joint venture agreements to drive project advancement
– Conversion Facility PFS Cooperation Agreement – negotiation of a comprehensive agreement outlining the execution and co-funding of a Pre-Feasibility Study (PFS) on the proposed Lithium Conversion Facility in Canada, leading to the negotiation and formation of a joint venture for the completion of a Definitive Feasibility study (DFS) and co-development of the facility - EcoPro brings extensive experience in lithium hydroxide production along with patented technology for lithium extraction
- The partnership validates the Company’s integrated strategy to become Ontario’s first lithium concentrates and chemicals company
- Joint funding application submitted to Invest Ontario for government funding on the proposed Lithium Conversion Facility – in progress
- Proceeds from the subscription agreement will be allocated to a Definitive Feasibility Study to reach a Final Investment Decision (FID) on the Seymour Lithium project, funding the Lithium Conversion Facility PFS and supporting general working capital
