Business
Update - Bacanora Investment & Cadence Loan Notes
Update - Bacanora Investment & Cadence Loan Notes.
About this update from Cadence Minerals Plc
[{"type":"text","content":"\n \nRNS Number : 5978H Cadence Minerals PLC 01 August 2019 \n\nCadence Minerals Plc\n(\"Cadence Minerals\", \"Cadence\" or \"the Company\")\n \nBacanora Lithium (BCN) Update on Strategic Investment by Ganfeng Lithium.\nCadence Minerals (AIM/NEX: KDNC; OTC: KDNCY) is pleased to note the update published today by Bacanora Lithium (AIM:BCN) (\"Bacanora\") on its Investment Agreement and Offtake Agreement ('the Strategic Investment' or 'the Agreements') with leading global lithium company Ganfeng Lithium Co., Ltd. (\"Ganfeng\" or \"GFL\"). As announced on 28 June 2019, the signed Agreements have been submitted to the relevant authorities in China for approval and completion. The first of the approvals, from the PRC Ministry of Commerce, has now been received. The remaining two approvals required ahead of completion of the Strategic Investment are currently being processed by Ganfeng and further updates will be provided as the approval process proceeds. \nBacanora is a lithium exploration and development company. Cadence holds 30% of Mexalit and Megalit joint venture companies and approximately 0.5% of Bacanora's equity. Mexalit is the owner of the El Sauz, El Sauz 1, El Sauz 2, Fleur and Fleur 1 mineral concessions, which forms part of the 20-year mine plan of the Sonora Lithium Project in Northern Mexico.\nCompletion of the Strategic Investment would form a major part of the Bacanora's finance package for an initial 17,500 tonnes per annum lithium carbonate operation at the large scale, high grade Sonora Project in Mexico. For further details of the Agreements please refer to the Company's announcement on 20 May 2019, however the key terms of the Strategic Investment are provided below:\nSummary of Key Terms of the Ganfeng Strategic Investment:\n· GFL to acquire 29.99% of Bacanora\n· GFL to acquire 22.5% of Sonora Lithium Ltd (\"SLL\"), the holding company for the Sonora Lithium Project\n· Additional long-term offtake at a market-based price per tonne\no 50% of Stage 1 lithium production\no Up to 75% of Stage 2 lithium production\nAbout GFL\nGFL is the world's third largest and China's largest lithium compounds producer and the world's largest lithium metals producer in terms of production capacity as ...