Australia-listed Lepidico is exploring options to maximise the value of its Karibib lithium project, in Namibia, and has hired Jefferies International as its financial adviser to guide the process.
The company is considering a range of strategic options, including bringing in a minority equity partner, selling the asset, or pursuing other potential deals that align with its goals.
Lepidico is reaching out globally to existing and new potential partners, including private corporations, State-owned enterprises, investment funds, and private equity firms.
Proposals from potential partners will be evaluated based on their certainty, sustainability, and overall value to shareholders, with binding proposals requested by October.
Simultaneously, Lepidico is in talks with various governments for funding support for its integrated Phase 1 project. The company aims to secure one or more transactions for the project soon.
The Phase 1 project entails producing and shipping lepidolite concentrate from Namibia to a chemical conversion plant in Abu Dhabi.
The conversion plant has a concentrate capacity of 6.9 t/h, capable of producing up to 5 700 t/y of lithium hydroxide. Phase 1 output is estimated at between 4 000 t/y and 5 000 t/y of nominal battery grade lithium product, along with a suite of high-value and bulk by-products, with no solid process waste, making Phase 1 a highly sustainable operation.