Ganfeng Lithium and Lithium Americas complete transactions to jointly advance lithium brine project in Argentina

1 minute read
31 October 2018

On Oct. 31, 2018, Lithium Americas Corp. (TSX: LAC) (NYSE: LAC) announced the completion of a series of transactions with GFL International Co., Ltd. ("GFL"), a subsidiary of China-based Jiangxi Ganfeng Lithium Co., Ltd. and a subsidiary of Sociedad Química y Minera de Chile S.A. ("SQM") with respect to the Cauchari-Olaroz lithium project in Jujuy, Argentina ("Cauchari-Olaroz").

Pursuant to the transaction, GFL acquired a 37.5% interest in Minera Exar S.A., the holding company for Cauchari-Olaroz, from SQM. Lithium Americas holds the remaining 62.5% interest. In connection with the transaction, GFL provided Lithium Americas with a US$100 million limited recourse, subordinated loan facility to fully fund Lithium Americas' increased share of Caucharí-Olaroz' capital expenditures.

Gowling WLG was counsel to GFL with a team led by Linda Hogg (corporate) and that included Bahar Hafizi (project finance / banking) and Brent Kerr (tax). 

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