View all newsletters
Receive our newsletter - data, insights and analysis delivered to you
  1. News
June 5, 2018

Bacanora Lithium signs deal to extend Hanwa offtake agreement

Bacanora Lithium has reached an in-principle deal to extend its lithium offtake agreement with Japanese battery chemicals trader Hanwa by an additional five years.

Bacanora Lithium has reached an in-principle deal to extend its lithium offtake agreement with Japanese battery chemicals trader Hanwa by an additional five years.

Free Report
img

2022: So far In Venture Capital

Global investment in 2022 has been majorly dominated by North America, Europe, and Asia Pacific, whereas the Middle East, and South and Central America have recorded low investments comparatively. In light of this, Europe and North America have been identified as the major destinations for Private Equity and Venture Capital (PE/VC) investments.   GlobalData’s whitepaper analyzes which sectors PE/VC firms have been investing in, looking at Technology, Media, and Telecom, with these sectors recording $356 billion and a deal volume of over 10,000 deals in 2022. Healthcare, Financial Services, Business & Consumer Services, and Construction sectors have also seen high investment activity by PE/VC firms, recording a deal value of over $70 billion each.   But what can this mean for you?   Understand how the Deals Database on GlobalData Explorer can be leveraged to:  
  • Track the Aggregate Investment Volumes in PE/VC-Stage firms across geographies and sectors, in addition to viewing the specific deals that drove these volumes
  • Identify the top investors already active in any sector-Geography combinations
  • Assess the Performance of Financial and Legal Advisors, supporting the Dealmaking in any segment of choice (Customizable League tables)
  • Understand what is driving the PE/VC fundraising (Deal Rationale)
  Consult our full report here and optimize your business strategy.
by GlobalData
Enter your details here to receive your free Report.

Under the terms of the deal, Hanwa is entitled to receive 17,500tpa of lithium carbonate during the extended offtake period.

The agreement underpins the expansion of Bacanora’s Sonora lithium project in Mexico to 35,000tpa in two phases.

“We are focused on fast-tracking the project into production with preliminary site access developments underway.”

In the first phase, a 17,500tpa plant will be constructed, while the second phase will expand the capacity to 35,000tpa.

The company intends to begin construction of a fully integrated lithium carbonate operation.Construction is scheduled to begin later this year and the plant is expected to be commissioned in 2020.

Bacanora Lithium CEO Peter Secker said: “To maximise these strong value prospects we are focused on fast-tracking the project into production with preliminary site access developments underway and the chemical processing plant construction due to commence later this year.

“In support of this, we have agreed in principle to extend the initial lithium offtake partnership with Hanwa for a further five years at a rate of 17,500tpa and are expecting to complete formal documentation shortly.”

Discussions are ongoing for additional strategic partners for the extra Stage 2 offtake tonnages.

The front end engineering design (FEED) for the project is currently ongoing and the company expects to complete final designs, cost estimates and process guarantee scopes by the end of the second quarter of this year.

Bacanora noted that the FEED of the roaster/kiln and the crystalliser/evaporation/IX are at an advanced stage following the delivery of bulk lithium samples from Sonora to vendors.

The project is expected to cost $450m, which the company will raise through debt and equity project financing.

Related Companies

Free Report
img

2022: So far In Venture Capital

Global investment in 2022 has been majorly dominated by North America, Europe, and Asia Pacific, whereas the Middle East, and South and Central America have recorded low investments comparatively. In light of this, Europe and North America have been identified as the major destinations for Private Equity and Venture Capital (PE/VC) investments.   GlobalData’s whitepaper analyzes which sectors PE/VC firms have been investing in, looking at Technology, Media, and Telecom, with these sectors recording $356 billion and a deal volume of over 10,000 deals in 2022. Healthcare, Financial Services, Business & Consumer Services, and Construction sectors have also seen high investment activity by PE/VC firms, recording a deal value of over $70 billion each.   But what can this mean for you?   Understand how the Deals Database on GlobalData Explorer can be leveraged to:  
  • Track the Aggregate Investment Volumes in PE/VC-Stage firms across geographies and sectors, in addition to viewing the specific deals that drove these volumes
  • Identify the top investors already active in any sector-Geography combinations
  • Assess the Performance of Financial and Legal Advisors, supporting the Dealmaking in any segment of choice (Customizable League tables)
  • Understand what is driving the PE/VC fundraising (Deal Rationale)
  Consult our full report here and optimize your business strategy.
by GlobalData
Enter your details here to receive your free Report.

NEWSLETTER Sign up Tick the boxes of the newsletters you would like to receive. The top stories of the day delivered to you every weekday. A weekly roundup of the latest news and analysis, sent every Friday. The mining industry's most comprehensive news and information delivered every month. The mining industry's most comprehensive news and information delivered every month.
I consent to GlobalData UK Limited collecting my details provided via this form in accordance with the Privacy Policy
SUBSCRIBED

THANK YOU

Thank you for subscribing to Mining Technology