Critical Materials & Supply Chain▲
Lithium Argentina and Ganfeng sign definitive agreements to finalise PPG joint venture
Lithium Argentina has signed definitive agreements with Ganfeng to establish a joint venture consolidating the Pozuelos-Pastos Grandes lithium projects in Salta Province. Ganfeng will invest $180 million in Lithium Argentina through a six-year unsecured convertible note carrying a 4% coupon and convertible at $12.50 per share, while holding a 67% interest in the venture against Lithium Argentina's 33%. The project targets annual lithium carbonate equivalent production of 150,000 tonnes across three phases, with historical investments in the consolidated assets amounting to $1.8 billion. Proceeds from the investment, combined with existing cash, are earmarked to repay in full Lithium Argentina's $259 million convertible debt due January 2027, extending the company's maturity profile on an unsecured basis. Completion of the joint venture is expected in September 2026, subject to customary approvals from the Toronto Stock Exchange and New York Stock Exchange.