US lithium mining giant Albemarle nabs stake in Patriot Battery Metals
New York-listed Albemarle has nabbed a stake in dual-listed lithium hopeful Patriot Battery Metals, making the US giant the biggest shareholder in the explorer just three weeks after Patriot weathered a short-seller attack.
News of Albemarle, one of the world’s largest lithium miners, securing the 6.4 per cent interest sent Patriot shares on the ASX up 14 per cent to $1.70 on Tuesday.
The purchase follows Patriot releasing the maiden ore reserve at its flagship Corvette project in James Bay, Quebec.
Patriot chairman Ken Brinsden says the Corvette project is “really one of the best ones globally”. Trevor Collens
Patriot told the market on Monday it was sitting on the “eighth largest” hard rock lithium reserve in the world, but that wasn’t enough to impress Canadian or Australian investors. It has a primary Toronto Stock Exchange listing and CHESS depositary interests traded on the ASX.
On Monday, its ASX securities fell 6.7 per cent, and Canadians wiped 8 per cent off the share price in Toronto. That was reversed by news of Albemarle’s $C109 million ($123 million) purchase at $C15.29 apiece.
Patriot chief executive Blair Way said the investment would be used to ramp up development of the Corvette tenement, which must still clear hurdles including environmental and Canadian first nations permits, to supply North America and Europe buyers.
Battery grade lithium is an essential commodity for decarbonisation and heavily sought after by electric carmakers.
“The additional funding will allow us to more aggressively advance the Corvette property through drilling, permitting, study work and more,” Mr Way said.
The miner said on July 13 that it was seeking legal advice on an attack from an activist short seller in the US, Night
Read more on afr.com
