Mining magnate Chris Ellison seals critical mineral merger
Shareholders in lithium hopeful Essential Metals, backed by Rich Lister Chris Ellison, have voted to merge with an established copper miner as Australia’s tycoons vie for control of the country’s battery metal assets.
The merger will create a green metal miner helmed by veteran Bill Beament, bringing together Essential’s Pioneer Dome lithium project in West Australia and Develop Global’s copper, zinc, and nickel assets in NSW.
Two key players in critical minerals – Gina Rinehart and Chris Ellison.
Mr Ellison backed the tie-up amid the battle for control of lithium projects clustered around the Goldfields region of Western Australia.
Jockeying for lithium projects spectacularly blew up on Monday when New York-listed Albemarle abandoned its $6.6 billion bid for Liontown Resources after mining tycoon Gina Rinehart bought up a 19.9 per cent stake in the lithium hopeful.
Liontown suspended its shares from trading on Wednesday after halting trade on Monday as it tries to lock in at least $450 million in funding needed to complete its flagship Kathleen Valley lithium project.
Despite lithiumspot prices more than halving from record highs this year, Mr Ellison and Mrs Rinehart’s activity in the sector indicates they remain bullish on the outlook for lithium, a key material necessary for powering electric vehicles and battery storage.
Elsewhere on Wednesday, Chilean copper giant Codelco bought its first lithium project with a $385 million takeover of ASX-listed Lithium Power International, as the mineral-rich South American economy bulks up its critical minerals resources projects.
At the Essential Metal’s shareholders meeting on Wednesday, 78 per cent of investors, representing 93 per cent of the register, voted in favour of
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