Compass Minerals announce equity investment partnership with Koch Minerals & Trading
Published by Joe Toft,
Editorial Assistant
Global Mining Review,
KM&T, a diverse global trading, logistics and investment company, and subsidiary of Koch Industries, Inc. (KII), is making the investment to support phase-one development of Compass Minerals’ previously identified 2.4 million t lithium carbonate equivalent (LCE) resource on the Great Salt Lake.
“We are pleased to welcome KM&T as our investment partner and look forward to leveraging their deep expertise and proven track record of building value,” said Kevin S. Crutchfield, president and CEO. “Securing funding to aggressively pursue phase one of our lithium growth opportunity has been an important focus for our management team. This strategic investment will help drive our lithium project forward, strengthen our balance sheet, and enhance execution capabilities across our entire platform.”
Approximately US$200 million of the proceeds from the investment are expected to be used to advance the first phase of the company’s sustainable lithium development project. The remaining funds, after any transaction expenses, are expected to be used to pay down debt and help align the company’s capital structure with its growth strategy.
As part of the agreement, the companies will also explore value creation opportunities across Compass Minerals’ broader operational platform by leveraging the expansive capabilities of KII’s many operating subsidiaries, including in the areas of supply and procurement of fuel and raw materials, freight and logistics synergies, and project engineering and development support.
Read the article online at: https://www.globalminingreview.com/mining/16092022/compass-minerals-announce-equity-investment-partnership-with-koch-minerals-and-trading/
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