PMETF - PATRIOT ALBEMARLE MOU CONCLUDED | Benzinga
VANCOUVER, BC, May 15, 2024 /PRNewswire/ - May 15, 2024 – Sydney, Australia
Highlights
- Both parties have mutually agreed not to extend the MOU, enabling Patriot to explore a broader range of strategic partnerships within the downstream lithium sector.
- Patriot has and continues to attract significant attention across the industry, reinforcing its position as a pivotal supplier of high-quality raw materials for lithium-ion batteries outside of China.
- Patriot maintains a constructive ongoing relationship with Albemarle.
Patriot Battery Metals Inc. (the "Company" or "Patriot") (TSX:PMET) (ASX: PMT) (OTCQX:PMETF) (FSE: R9GA) announces today that the Memorandum of Understanding ("MOU") 9-month term with Albemarle has concluded and will not be extended. Patriot expects to fully engage with other downstream companies in the Lithium supply chain and as such all the rights granted to Albemarle have expired, including any levels of exclusivity in respect of future mine production and links to downstream chemical conversion facilities.
As the scale and quality of Patriot's Corvette Project has become increasingly evident, the Company has received significant interest from participants in the lithium industry, given the potential for Corvette to be a large and high-quality raw material supplier for the future of lithium-ion battery supply chains ex-China. Enabling the company to fully engage with other downstream companies has been determined to be in the best interests of shareholders.
Since signing the MOU Albemarle and Patriot have worked together on the many technical aspects of an integrated project, advancing the scope of mine concentrate production and opportunities for a downstream lithium hydroxide plant integrated with the Corvette project. Further, the funding provided by Albemarle's strategic investment enabled a robust work program including installation of critical capital works such as the camp, all-weather access road and the recently completed eleven rig winter drill program.
Ken Brinsden, President and CEO of Patriot, expressed his appreciation for the partnership: "Our collaboration with Albemarle has been extremely valuable. We are proud of the progress we've made and are excited by the intense market interest in the Corvette project. As we move forward, Patriot is eager to expand its operations and explore new partnerships that support the growing demand for lithium raw materials and chemicals in North America and Europe.
We also look forward to continuing our productive relationship with Albemarle in a flexible, non-exclusive format", Mr Brinsden added.
As a result of the MOU conclusion the Investor Rights Agreement ("IRA") between Patriot and Albemarle Corporation dated August 3, 2023 was terminated in accordance with its terms. Following the termination all of the rights granted to Albemarle, including exclusivity, have expired providing Patriot with the flexibility to engage with multiple potential partners and further its strategic goals.
Patriot remains committed to maximizing shareholder value by capitalizing on the strategic opportunities available within the evolving landscape of the global lithium market.
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