Global Lithium Resources (ASX: GL1) has inked a 10-year offtake deal for spodumene concentrate produced at its Marble Bar and Manna Lithium Projects in Western Australia.
The deal with Suzhou TA&A Ultra Clean Technology Co will see the company offload at least 30% of its available output over a 10-year period, with the ability to include up to an additional 15% during each contract year.
The company notes that the agreement is subject to conditions precedent.
Addressing the news, Global Lithium Non-Executive Chair Warrick Hazeldine said: “As Global Lithium continues to advance our significant West Australian lithium portfolio, having the continued support of a world leader like Suzhou TA&A is truly an exceptional vote of confidence in our Company, our people and our assets.
“having the continued support of a world leader like Suzhou TA&A is truly an exceptional vote of confidence in our Company”
Having joined our register in December 2021 as a cornerstone investor, Suzhou TA&A has provided tremendous support in not only maintaining their 9.4% stake but also providing invaluable introductions and assistance, which has led us to signing this Strategic Offtake Agreement.
We look forward to continuing to work alongside Suzhou TA&A and its associated entities to further develop our lithium assets towards production and beyond.”
Suzhou TA&A is also Global Lithium’s largest shareholder, currently controlling a 9.4% stake and potentially underwriting future construction funding. It is also the controlling shareholder in major Chinese lithium hydroxide manufacturer Yibin Tianyi.
GL1 had earlier this month reported a maiden Inferred Mineral Resource Estimate for its 80%-owned Manna Lithium Project, delivering 9.9 Mt @ 1.14% Li2O and 49 Ta2O5 ppm.
