Mitsubishi Secures Lithium Supply for North America with FL Good deal for everyone to get the ball rolling on Lithium compound production in the Province of Ontario.
Plus, the agreement is structured so that a potential suitor can still acquire Frontier Lithium and then that particular suitor continues to develop the project with the working partnership of Mitsubishi.
Hence, the door remains "open" for the likes of LAC or PMET, Albemarle, SQM, etc...to step in at anytime to acquire Frontier Lithium.
I have not yet confirmed in the information of the Mitsubishi agreement if this arrangement applies to only the 1 (one) High Grade Lithium deposit discovered (that is, the PAK Lithium deposit) or whether the agreement includes all 4 (four) higher grade Lithium deposits discovered by Frontier to date over FL's 30 mile Lithium footprint and/or any other FL deposits (mines) discovered along this massive Electric Avenue.
This High Grade Lithium corridor with power transmission line nearing tie-in to PAK mine site continues to remain virtually unexplored.
Perhaps the language "all assets related to the project" in the highlights section is the answer to this inquiry.
In all, a good start for Lithium production in an Ontario Canada Lithium area where LAC also has an investment in adjoining property in the vicinity (via Green Tech Metals).
A few of the key highlights in the agreement with Mitsubishi include the following: - Frontier will contribute all assets related to the Project in exchange for a 92.5% interest in the JV and will serve as the manager of the JV.
- Mitsubishi will work closely together with Frontier in arranging project financing to ensure the Project is fully funded to production.
- Frontier will be the operator of the Project and will be responsible for the development and delivery and subsequent operation of the Project
Clearly, Mitsubishi is favourably impressed with FL's Lithium asset. For instance,
Kota Ikenishi, General Manager of the Battery Minerals Office, Mitsubishi Corporation added: "PAK is an outstanding lithium project, and we recognize its strategic value in ensuring a secure supply of lithium to North American markets. We are excited to build a long-term relationship with Frontier and leverage our complementary skills and capabilities to deliver PAK into production."