ELVR News & Events

Elevra Lithium announced that it has purchased and terminated the spodumene concentrate offtake agreement previously granted to an investment vehicle managed by Waratah Capital Advisors in respect of the Moblan lithium project. Moblan is owned 60% by Elevra and 40% by Investissement Quebec. Following completion of the transaction, Elevra now controls 100% of its pro-rata offtake entitlement from Moblan. The terminated offtake agreement originated under an October 2021 agreement between Sayona Mining and Waratah which granted Waratah the right to purchase 10% of Sayona's ownership participation in Moblan's annual spodumene concentrate production on a life of mine basis priced at a 5% discount to prevailing market prices. Elevra and Waratah have executed an agreement to terminate the offtake agreement and related delivery obligations. In consideration of the termination of the offtake agreement, Elevra has agreed to issue Waratah: $5M in Elevra Lithium ordinary shares and $500,000 in options which are exercisable at a 50% premium to the issue price of Elevra's ordinary shares issued under this agreement. The shares will be issued using existing placement capacity and will rank equally with existing Elevra ordinary shares, while the options are exercisable 120 days after closing and up to the third anniversary of the date of closing.

Elevra Lithium announced that it has entered into an agreement to sell its interest in the Ewoyaa Lithium Project in Ghana to Huayou. Upon closing of the transaction, expected in Q1, Elevra will receive approximately $71M in cash. Under the terms of the agreement, Huayou has agreed to purchase all of Elevra's rights and interests, inclusive of Elevra's offtake rights, in the Ewoyaa Project. As announced to the ASX, Huayou has entered into a binding scheme implementation deed with Atlantic Lithium to acquire 100% of Atlantic's interest in the Ewoyaa Project via a scheme of arrangement for $210M in cash, payable at closing. Elevra currently owns 32,517,598 shares in Atlantic, or approximately 4.1% of the outstanding shares. Importantly, Huayou's acquisition of Elevra's interests in the Ewoyaa Project is not contingent on Huayou's acquisition of Atlantic Lithium. Selling its interests in the Ewoyaa Project allows Elevra to sharpen its focus on core North American assets while simplifying the corporate and operational structure by removing complexities associated with Ewoyaa's joint venture ownership framework and offtake arrangements. The sale also eliminates Elevra's ongoing funding commitment to develop the Ewoyaa Project. Completion of Elevra's transaction with Huayou remains subject to Ghanaian regulatory approvals and is expected to be completed by the end of Q1.