Premier African Minerals (Premier) has signed a non-binding letter of interest (LOI) with Glencore International regarding the potential sale of spodumene concentrate from its Zulu Lithium and Tantalum Project.
The non-binding LOI outlines the conditions for a future binding agreement, which hinges on the project meeting specific production criteria.
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Premier is committed to finalising this agreement within the next three months with the assistance of Canmax Technologies.
The Zulu Project, located 80km from Bulawayo in Zimbabwe, is considered one of the largest undeveloped lithium-bearing pegmatites in the country. Spanning 3.5km² across 14 mineral claims, the site is rich in lithium and tantalum prospects.
The deal is contingent upon the Zulu Project’s processing plant achieving the necessary grade and volume of spodumene concentrate.
Earlier this month, Premier finalised a modification to the revised Offtake and Prepayment Agreement with Canmax Technologies.
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By GlobalDataThis latest adjustment builds upon the initial agreement from August 2023 pertaining to the delivery of 48,000 tonnes (t) of spodumene concentrate to Canmax from the Zulu mine.
Canmax had made a prepayment of $34.6m (252.116m yuan) in this regard for the construction and commissioning of the processing plant at Zulu. A subsequent amendment was made in December 2024.
Premier African Minerals CEO George Roach said: “Premier appreciates enormously the commitment and persistence from all to get us to this point. Our focus is now firmly set on the final completion and optimisation of the spodumene float section.”
Beaumont Cornish, regulated by the Financial Conduct Authority in the UK, is serving as the nominated adviser to Premier African Minerals for this transaction.
