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- Lithium Power International (LPI) has announced it will reactivate exploration activities at its Greenbushes lithium project in West Australia
- The explorer has cited a”substantial” improvement in the current and forecasted lithium demand as its reason for bringing the project back into action
- The jump start comes after low lithium prices and knock-on effects of COVID-19 placed LPI’s operations in the area on hold for a significant portion of 2020
- The Greenbushes mine has recently been the focus of a multi-billion dollar deal concerning fellow lister IGO (IGO), which acquired a 25 per cent interest in the Greenbushes mine from Chinese lithium giant, Tianqi
- LPI’s project consists of two northern and southerly tenements, the former lying directly adjacent to the Greenbushes mine block owned by Albemarle and Tanqui
- A company statement indicates LPI will continue with detailed laterite sampling and additional mapping, with elevated geochemistry in preparation for drilling
- LPI shares are trading flat on the back of the announcement, trading at 26.5 cents each
Lithium Power International (LPI) has announced it will reactivate exploration activities at its Greenbushes lithium project in West Australia.
The explorer has cited a”substantial” improvement in the current and forecasted lithium demand as its reason for bringing the project back into action, as global sentiment towards lithium power regains traction.
It is unclear exactly when LPI’s exploration activities were halted, however, the company advised its operations in the area were on hold during most of 2020 due to knock-on logistical effects of COVID-19 and low lithium prices.
LPI’s Greenbushes project consists of two northern and southerly tenements, the former lying directly adjacent to the Greenbushes mine block owned by Albemarle and Tanqui.
A company statement indicates LPI will continue with detailed laterite sampling and additional mapping, with elevated geochemistry in preparation for drilling.
“With the increased market interest in lithium, we feel it is opportune to restart our WA exploration activities,” Lithium Power Chief Executive Officer Cristobal Garcia-Huidobro explained.
“The recent move by IGO to acquire a portion of the Greenbushes mine adjacent to our project reiterates the significant value of high-grade lithium pegmatites and the Greenbushes project in particular, in a secure global jurisdiction,” he commented.
Hot commodity
The Greenbushes mine has recently been the focus of a multi-billion dollar deal concerning fellow lister IGO (IGO), which acquired a 25 per cent interest in the Greenbushes mine from Chinese lithium giant, Tianqi.
Under the binding agreement, IGO acquired a non-controlling interest in Tianqi Lithium Energy Australia through a subscription of new shares in Lithium HoldCo, the exclusive vehicle for any future lithium related investments outside of China for Tianqi and IGO.
LPI shares are trading flat on the back of the announcement, trading at 26.5 cents each at 1:24 pm AEDT.
