Looks like KDR might be taken by albemarle out regardless
Kidman Resources managing director Martin Donohue.
US chemicals company Albemarle is weighing up a takeover of WA lithium hopeful Kidman Resources, a deal which if realised would further tighten the grip of the biggest players over global supply.
Albemarle is understood to have had access to a data room of the Australian Securities Exchange-listed Kidman Resources for the past two months.
Both companies declined to comment. “Albemarle does not comment on rumours and speculation,” a spokeswoman for the US company said.
Kidman became a market darling after its Earl Grey lithium discovery near Southern Cross. An initial resource released last December demonstrated its potential as one of the State’s biggest lithium deposits.
Albemarle has a substantial footprint in WA through a 49 per cent stake in Talison Lithium, owner of the world’s biggest lithium mine, at Greenbushes in the South West. Talisman last week announced a $320 million expansion of the mine which would double its capacity to 1.34 million tonnes of lithium concentrate per annum.
The completion of a second production plant at Greenbushes in 2019 will coincide with that of Talison partner Tianqi Lithium’s $400 lithium hydroxide plant in Kwinana.
Albemarle, based in Charlotte, North Carolina, has global positions in lithium, bromine, refining catalysts and applied surface treatments. It picked up the Talison stake when it acquired Rockwood Holdings in 2015.
The Greenbushes mine produces about one-third of the world’s lithium supply in a fast-growing market.
Kidman reported an initial resource of 128 million tonnes at the Earl Grey deposit at 1.44 per cent lithium oxide.
That compared favourably with the 128.6 million tonnes at1.22 per cent lithium oxide at Pilbara Minerals’ Pilgangoora project.
Martin Donohue-led Kidman has said it expected to grow the Earl Grey resource significantly. Early work showed it could contain another 75 million to 100 million tonnes of lithium-bearing mineralisation.
One potential fly in the ointment is a dispute over Marindi Metals’ claim to the lithium rights covering Earl Grey. The Supreme Court is is set to hear arguments over the matter in a civil trial beginning on May 29.
Kidman shares closed on Friday at 40¢.
https://thewest.com.au/business/mining/us-lithium-firm-runs-ruler-over-kidman-ng-b88419611z
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Agreed with both points, thats why the results due this week are going to be so important.
is there a possiblity we could get taken over? if so how would it work?
personaly i want NMT/MIN to take control rather than KDR or WSA.
(20min delay)
