Sibanye-Stillwater Ltd has reached an agreement with ioneer Ltd to establish a joint venture (JV) company with respect to the Rhyolite Ridge lithium-boron project.
Following the satisfaction of all conditions precedent, Sibanye-Stillwater will contribute US$490 million for a 50% interest in the JV, with ioneer maintaining a 50% interest and retaining the operational management responsibility for the JV.
In addition, Sibanye-Stillwater has agreed to subscribe for a strategic placement of new ordinary shares in ioneer equal to 7.1% of ioneer’s ordinary share capital post placement, for approximately US$70 million. The placement shares will be issued to Sibanye-Stillwater at an issue price of AUS$0.655 per share, being ioneer’s 10-day VWAP as of ASX market close on 15 September 2021. The ioneer placement is subject to (among other conditions precedent) the approval of ioneer shareholders at an Extraordinary General Meeting expected to be held on 21 October 2021.
Together with the ioneer placement, the JV represents Sibanye-Stillwater’s third announced transaction in the battery materials sector, following the Keliber lithium and Sandouville nickel transactions. The JV provides Sibanye-Stillwater with a 50% interest in a strategic lithium-boron asset in the US, positioning Sibanye-Stillwater for value creation and growth in the US battery metals supply chain.
Read the article online at: https://www.globalminingreview.com/mining/17092021/sibanye-stillwater-and-ioneer-to-establish-a-jv-for-the-rhyolite-ridge-lithium-boron-project/