Charger Metals has finalized the acquisition of Lithium Australia's remaining 30% interest in the Lake Johnston Lithium Project for $2 million. The transaction grants Charger full ownership while allowing Lithium Australia to maintain a stake in the project's future, with a conditional first right of refusal on lithium produced at the site.
Following the deal, Charger also announced a partnership with RTX on the same day. This collaboration includes an initial $500,000 payment and a $1.2 million investment into Charger by RTX. The agreement commits RTX to a $3 million exploration budget over the coming year, focusing on the Medcalf spodumene prospect as well as Mt Day and Mt Gordon prospects.
Aidan Platel, representing Charger Metals, emphasized the systematic exploration approach under the binding agreement, which also outlines terms for commercial facility ownership and mandates the completion of a Definitive Feasibility Study by RTX. If RTX decides to fund further development or complete feasibility studies, its stake in the project could rise to 75%.
This strategic move allows Lithium Australia to concentrate on its core business activities while aligning with its ESG objectives. The deal not only solidifies Charger's resource base but also sets the stage for accelerated exploration and potential development of significant lithium deposits within the region.
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