Australian miner IGO has advanced its strategy of becoming a globally relevant supplier of clean energy metals with the signing of a binding $US1.4B investment in the struggling WA operations of Chinese lithium giant Tianqi.
IGO will emerge with a 49% stake in Tianqi Lithium Energy Australia, resulting in it holding indirect interests of 24.99% in the Greenbushes hard rock lithium mine 250km S of Perth and 49% of the Kwinana lithium hydroxide plant 40km S of the state capital.
MD-CEO Peter Bradford says the two assets provide the platform for building a global lithium business.
IGO plans to fund the transaction through $A1.1B new debt, $766M equity raising and its $95-149M cash balance.