M4E Lithium, a lithium exploration company in Brazil, closed a financing package with Lithium Royalty Corp. (LRC) and the Watarah Electrification and Decarbonization fund managed by the Waratah Capital Advisors, the company announced March 14.
The financing package consists of a $6 million equity investment from Waratah E&D Fund and a $1.5 million payment for a 1.5% royalty on future production from LRC. An additional $2 million payment will be triggered upon confirmation of a minimum tonnage of lithium resources by M4E.
The package also includes an offtake agreement exercisable for $500,000, enabling the Waratah E&D Fund the right to purchase 10% of M4E’s future lithium production at market prices.
This investment significantly advances exploration across M4E’s expansive 91,000 hectares of mining rights in the prolific Lithium Valley and Borborema regions of Brazil.
Recommended Reading
US NatGas Flows to Freeport LNG in Texas Seen at Five-month High, LSEG Data Shows
2024-05-17 - The startup and shutdown of Freeport and other U.S. LNG export plants often has a major impact on global gas prices.
Canada’s Pembina Pipeline in No Rush to Invest in TMX
2024-05-14 - The Trans Mountain Pipeline’s toll structure has too much "uncertainty," said Pembina CFO Cameron Goldade on an earnings call.
LM Energy to Expand Gas Gathering System in the Delaware
2024-05-13 - LM Energy is building new compressor stations and adding 70 miles of pipeline in the Delaware Basin.
ONEOK to Expand NGL Network Around Houston Through $280MM Acquisition
2024-05-13 - Easton Energy is agreeing to sell 450 miles of lines along Southeast Texas coast to ONEOK.
Enbridge Plans to Increase Permian Oil Pipeline’s Capacity
2024-05-10 - Midstream company Enbridge announced an open season on the Gray Oak Pipeline for a proposed 120,000 bbl/d expansion and updated its M&A efforts.