Business
Tantalex Lithium Resources Concludes with Glencore for Lithium Marketing and $US 5 Million Plus One Third of Capex in Financing
Toronto, Ontario - TheNewswire - November 13th, 2023 – Tantalex Lithium Resources Corp. (CSE:TTX) – (FSE:DW8) – (OTC:TTLXF) (“Tantalex” or the “Corporation”), i
About this update from Tantalex Lithium Resources Corp
[{"type":"text","content":"Toronto, Ontario - TheNewswire - November 13th, 2023 – Tantalex Lithium Resources Corp. (CSE:TTX) – (FSE:DW8) – (OTC:TTLXF) (“Tantalex” or the “Corporation”), is pleased to announce it has concluded a lithium marketing offtake agreement (the “Marketing Offtake Agreement”) and convertible facilities agreement up to US$5,000,000 (the “Convertible Facilities Agreement”) with Glencore AG (“Glencore”) as previously announced on Tantalex’s news release of September 8th, 2023. The marketing offtake agreement (the “Marketing Offtake Agreement”) is for 100% of the lithium to be produced from the company’s Manono Lithium Tailings Project from the date of the start of commercial production throughout life of mine. Glencore shall have the sole responsibility for all sales and will contribute 1/3 one third of the total capital expenditure of the Manono Lithium Tailings Project, subject to: Glencore’s satisfactory review of the feasibility study in respect of the Manono Lithium Tailings Project to be completed within 60 days of receipt of final version of the Feasibility Study; the Capex being fully funded by one or more financial institutions or equity raised by Tantalex; and the drawdown schedule being discussed and mutually agreed by both Parties and the other lenders; other customary conditions precedent. Eric Allard, Tantalex Lithium CEO commented: “This is again a significant milestone for us as we pursue with our objective to de-risk the project and keep with our target of bringing our Manono Lithium Tailings Project into production. With our recent PEA which outlined a US$ 147M CAPEX for a 112,000 tpa SC6 production, this strategic support from Glencore will solidly complement our efforts to firm up the other 2/3rd of the capital expenditure costs.” Under the Convertible Facilities Agreement Glencore has agreed to make available to the Company (a) a convertible term loan facility in an amount up to US $2,000,000 (“Facility A”) and (b) a convertible term loan facility in an amount up to US $3,000,000 (“Facility B”) (Facility A and Facility B together being the “Facilities”). Facility A is made available at the Closing Date. Facility B is made available subject to the satisfaction of certain conditions precedent. The Company has indicated to Glencore that the Company intends to satisfy such conditions pre...