Anson Resources signs deal in China for lithium off-take

Anson Resources (ASX: ASN) recently held meetings in China with several interested parties to discuss their interest in the signing off-take agreements for the supply of lithium from the Anson’s Paradox Lithium Project and investing in its development strategy.

Key Highlights:

  • Memoranda of Understanding executed with three leading Chinese Battery Manufacturers to work towards Supply Off-take Agreements.
  • Potential Investment to fast track Paradox Brine Lithium Project.
  • On-going discussions with other interested Chinese and non-Chinese parties.

Anson’s corporate team is well known to key Chinese battery industry participants after visits to their production facilities over the past two years.

Anson has signed Non-Binding Memoranda of Understandings (“MOU’s”) with Link Data Technologies Co. Ltd (Beijing), Far East First New Energy Co., Ltd (Jiangxi) and CBAK Power Battery Co. Ltd (Dalian) to enter into detailed negotiations for the supply of lithium from the Paradox Brine Lithium Project in Utah, USA.

In addition, Anson held several negotiations regarding investment in the project to enable it to fast track production.

Anson Managing Director Bruce Richardson commented:

“We are delighted with the interest shown by Chinese battery producers and in particular the interest in investment in the Paradox Lithium Project as we continue our development strategy toward production of LCE product. The signing of these non-binding MOU’s is an important first step in becoming part of the battery supply chain in China which is already producing more electric vehicles (EV’s) than any other country in the world and has plans to further increase the production of EV’s and dominate the world market. Anson is well placed to take advantage of these opportunities given the skills of the Board members and the advantages of the Anson’s lithium project.”

Following the recent meetings, discussions with other parties identified by Anson are continuing in parallel with these negotiations. Anson notes that any meetings or consideration in regard to any potential transactions are preliminary and there is no certainty that any binding agreement will be reached. The company plans to update shareholders upon any further developments in this regard.

The Utah Lithium Project

Anson is targeting lithium rich brines in the deepest part of the Paradox Basin in close proximity to Moab, Utah.

Lithium values of up to 1,700ppm have historically been recorded within 800m of Anson’s claim area.

The location of Anson’s claims within the Paradox Basin is shown below:

Anson Resources lithium brine project MOU agreement map

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