FMC sagaLivent to resume Nemaska arbitration Lithium chemicals giant Livent Corp, formerly FMC Corp, said in a statement Monday it would resume its arbitration with the junior lithium project developer soon after Nemaska announced it had cancelled its multi-year supply agreement with Livent for product produced from the Whabouchi mine and Shwanigan electrochemical plant, in Quebec.
Livent argued Nemaska had no right to cancel the offtake agreement and said it would "enforce its rights" and resume its arbitration.
Under the supply agreement, Nemaska was supposed to start supplying lithium carbonate to Livent from April 1 this year, at a rate of 8,000t/y, or 28,000t over the contract term.
Nemaska and Livent have been locked in negotiations to revise the schedule for the supply of lithium carbonate, among other agreements. Livent previously filed arbitration but suspended it during the negotiation period.
Nemaska said Livent had advised that it "might have no option but to terminate the supply agreement and repay Livent the US$10 million payment, plus a similar amount as a termination fee".
"Despite good faith negotiations, the corporation was unable to reach a mutually satisfactory outcome with Livent," Nemaska said.