Patagonia Lithium (ASX:PL3) has entered a non-binding strategic partnership agreement with Ameerex Corporation to support its Formentera Lithium Project in Brazil, as well as its niobium and rare earth initiatives.
Under the agreement, Ameerex will evaluate and recommend the most effective approach to invest in Patagonia's projects, with potential involvement at both the company and project levels through private placements and other investment mechanisms.
Ameerex, a US-based company listed on the OTC market, is led by a management team headquartered in Doha, Qatar.
The company focuses on co-investing up to 50% of project value in mining and related ventures, with a current emphasis on lithium explorers.
In addition to its mining interests, Ameerex holds an investment in the Rasberry Unit Field in Foard County, Texas, via Falcon Caddo Venture, where approximately 24 million barrels of oil have been estimated.
Patagonia Lithium is currently drilling its fifth well, JAM 25-05, on the Formentera concession.
Executive Chairman Phillip Thomas said, "While Patagonia recently raised $2.68 million, there is clear benefit in having an additional source of capital through this strategic partnership."
At the time of reporting, Patagonia Lithium's share price was $0.10.