Pursuit Minerals signs US$40M EcoPro lithium deal
Key points
- Pursuit Minerals agreed to a preliminary US$40 million investment and supply package with EcoPro Innovation.
- The announcement lifted Pursuit Minerals shares 2.86% to $0.072 in the morning trade.
- The deal is intended to fund development of the Rio Grande Sur Project toward commercial lithium production.
Pursuit Minerals (ASX:PUR) entered into a non-binding agreement with EcoPro Innovation for a proposed US$40 million investment and offtake package.
The framework provides early-stage commercial backing after Pursuit previously funded development work alone at the Argentine lithium project.
Under the proposed structure, EcoPro would invest US$20 million for a $20 million milestone prepayment.
Pursuit Managing Director & CEO, Aaron Revelle, said, “This is a transformational milestone for Pursuit and a major step forward in our ambition to establish Rio Grande Sur as a significant new lithium producer in Argentina.”
The company stated that the transaction remains non-binding and covers 100% of Stage 1 output, targeting approximately 5,000 tonnes of lithium carbonate equivalent annually.
Following the announcement, the Pursuit Minerals share price was up at $0.072.
The explorer is seeking to develop its flagship Rio Grande Sur project in Salta Province, Argentina, into an operational battery-grade lithium facility.
The agreement also outlines potential joint work on a broader strategy aiming for up to 17,500 tonnes per annum of lithium carbonate equivalent.
