Patriot Battery Metals (TSX: PMET) and Albemarle (NYSE: ALB) have walked away from a memorandum of understanding to assess partnership opportunities for a downstream lithium hydroxide plant at the Corvette property. The termination of the MOU is said to have been mutual.
Under the original arrangement, Albemarle had an exclusivity period of nine months to assess the viability of such a plant, that would be located at Patriot’s flagship property. That exclusivity period was for nine months, which has now expired, with Albemarle indicating it has no interest in extending the exclusivity period.
The lithium major now no longer has any rights related to future mine production or downstream chemical conversion facilities. Under the MOU, the parties are said to have worked on many technical aspects of the Corvette project together, including advancing the scope of mine concentrate production and reviewing the opportunities for downstream integration.
READ: Patriot Battery Metals Sees Albemarle Take 4.9% Stake For $109 Million
Moving forward, Patriot is said to have had significant interest from participants in the lithium industry, which it now intends to engage with in the best interest of shareholders.
The memorandum of understanding that was in place with Albemarle at the time came with a $109 million strategic investment by the lithium major, funding which was used towards the recent eleven rig winter drill program.
Patriot Battery Metals last traded at $8.03 on the TSX.
Information for this briefing was found via Sedar and the companies mentioned. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.
