Fascinating deal with LTR, and I am yet to form a solid opinion...

Fascinating deal with LTR, and I am yet to form a solid opinion but the offtake requirement in the comments is quite amazing in my view.

Fwiw I still think LG are substantially short of concentrate for all their US plants, however the massive takeaway is the $250mil US, for a (5year loan ? - not my forte) that is a near 100% premium, for 160klt of spod locked in, and a commitment for more but I am not sure if that comes with a later premium.

Renard @2.2mpta, 1.2% will be making 300klt.
From comments by CE, brokers etc, I think $US 250mil is more than what is required for Wr1 to upgrade Renard and build a toll road.



The offtake

"In conjunction with LG Energy Solution’s investment, Liontown has extended the existing five-year offtake agreement by an additional 10 years, maintaining the same terms and conditions. The extension provides for an increase in offtake volumes of spodumene concentrate with a target of 6% Li2O grade (SC6) from the initial 100ktpa in year one, to 150ktpa in years two to five, rising to 160ktpa SC6 in years six to 10, and subsequently reducing to 140ktpa in years 11 to 15. This extension also includes a commitment to make up to an additional 250kt SC6 available to LG Energy Solution over the first 10 years of this 15-year offtake term, which is further demonstration of the sustained demand for IRA-compliant lithium supply."