Galan Lithium (ASX:GLN) has acquired full ownership of the Catalina tenement, which borders the Catamarca and Salta provinces in Argentina.
The $262.79 million market capitalisation company has executed an agreement to register its full ownership of the Catalina tenure upon issuing just over 9.756 million fully paid ordinary shares in Galan to the Salta private owner.
Galan says as such, the uncertainty around the private ownership and potential mine development of the tenure has been resolved.
Commenting on the acquisition, Galan Lithium Managing Director Juan Pablo Vargas de la Vega says: “This acquisition represents a highly significant value-accretive transaction for the company.
“As there are now no competing interests, our team can advance exploration and evaluation activities at Catalina with the objective of delineating a maiden resource”
It resolves the security of tenure in this highly prospective area favourably for the exclusive benefit of Galan and its shareholders. As there are now no competing interests, our team can advance exploration and evaluation activities at Catalina with the objective of delineating a maiden resource.
Furthermore, we plan to accelerate such work and look forward to keeping our shareholders informed of our progress.”
Galan Lithium is an ASX-listed lithium explorer and developer. The company’s portfolio of assets includes the Hombre Muerto West, Candelas, and Greenbushes South Lithium projects.
As of 31 March 2023, the company had $28 million cash and investments at hand, according to its latest quarterly report published on 28 April 2023.
Write to Aaliyah Rogan at Mining.com.au
Images: Galan Lithium Ltd