HomeBattery metalsProspect Resources extends the sale and purchase agreement

Prospect Resources extends the sale and purchase agreement

Prospect Resources has announced a number of key developments at its Arcadia lithium project after a detailed strategic review by management and a number of external third-party experts on the pathway to near-term production.

Prospect Resources MD Sam Hosack says:

“The lithium market has shown signs of coming into balance which demands a rethink to secure best time to market.

“Our current focus is the revised pilot plant which adopts the greatest technical certainty to facilitate financing, delivering key objectives for customer qualification, project finance parties and investors in de-risking the Arcadia Project.

“The staged development plan of 1.2 Mtpa to 2.4 Mtpa reduces time to production by leveraging lower capital expenditure and will enable expansion in line with market growth.

“This development strategy allows risks to be managed effectively. Critically, Prospect maintains the ability to go direct to nameplate capacity of 2.4 Mtpa should market conditions and funding activities allow.

“We are excited to extend the sale and purchase agreement with Farvic, which upon completion, gives PSC 87% equity stake in the Arcadia Project. The transaction was previously assessed as being accretive to PSC shareholders and we believe this to still be the case.”