AVZ Minerals completes US$240m cornerstone investment for Manono lithium-tin project
AVZ Minerals总经理Nigel Ferguson表示，于Suzhou CATH Energy Technologies达成协议，为推进Manono的开发提供了确定的资金。
Advanced explorer AVZ Minerals (ASX: AVZ) has reached an agreement with Chinese private entity Suzhou CATH Energy Technologies on the completion of a cornerstone US$240 million (A$335 million) investment into the Manono lithium-tin project in the Democratic Republic of Congo.
The companies have agreed to waive conditions precedent including granting of a project mining licence to Dathcom Mining SA; the entry of Dathcom and the local government into a collaboration development agreement; and the requirement for Dathcom and its shareholders to make a final investment decision and approve the transaction.
It is expected that the proposed transaction will be completed next month, allowing for the start of a multi-faceted global joint venture between AVZ and CATH, which will be focused on multiple aspects of the battery metals supply chain.
This will include the provision of power, water and logistics services to the Manono project; the development, construction and operation of a PLS plant; and the evaluation of a proposed lithium hydroxide conversion facility.
Moving forward
AVZ managing director Nigel Ferguson said the agreement would help move Manono forward.
“Finalising our agreement with CATH provides certainty of funding to progress development, pending the award of our mining licence and collaboration development agreement from the DRC government,” he said.
“We are in close consultation with the authorities undertaking the mining licence assessment and are confident of delivering a favourable outcome for all stakeholders, most importantly the people and our shareholders.”
Securing the investment
AVZ first secured CATH’s investment in September through its wholly-owned subsidiary AVZ International, allowing CATH to earn a 24% stake in the Manono project for a $335 million cash consideration.
The investment is expected to finance CATH’s pro rata portion of funding for Manono’s development.
The total value of the transaction is estimated to contribute more than $559 million to the project, subject to confirmation of final development costs.
AVZ will retain a controlling 51% interest and its position as lead developer of the project.