Copied this from the KDR Page:
Looks like Sth American SMQ want to Party with our WA Hardrock Lithium
What does this mean for us at PLS?
SQM AND KIDMAN EXECUTE AGREEMENT TO JOINTLY DEVELOP THE MT HOLLAND
LITHIUM PROJECT IN AUSTRALIA
SQM
Los Militares 4290 Piso 6,
Las Condes, Santiago, Chile
Tel: (56 2)
2425 2485
Fax: (56 2)
2425 2493
www.sqm.com
Santiago, Chile, July 11, 2017 – Sociedad Química y Minera de Chile S.A. (“SQM” or the “Company”) (NYSE: SQM; Santiago Stock Exchange: SQM-A, SQM-B) is pleased to announce that today Kidman Resources Limited (“Kidman”) (Australian Securities Exchange: KDR) has accepted an offer (“Offer”) made by SQM, setting out terms in which an affiliate of SQM will acquire 50% of the interest of the Mt. Holland lithium project in Western Australia (“Project”); both parties will form a 50/50 joint venture (“Joint Venture”).
The Offer is subject to SQM and Kidman agreeing on formal documentation, reflecting the commercial terms outlined in the Offer, on or before September 30, 2017.
Key Terms
In consideration for the acquisition of the 50% interest in the Project, SQM will pay US$30 million in cash to Kidman. Additionally, SQM will contribute US$80 million to fund part of the development costs in relation to the Project. As part of this expenditure contribution, following the execution of the formal documentation, SQM will provide a US$21.5 million convertible loan to Kidman, to advance the Project while outstanding conditions required for implementation of the Joint Venture are satisfied.
The Joint Venture will develop a spodumene mine and concentration plant (“Mine”) and a refinery plant to process the concentrate produced by the Mine. The initial production target would be approximately 40 K MT per year of lithium carbonate equivalent (LCE) in 2021.Kidman will retain the exclusive right to exploit gold from within the Project area.
Patricio De Solminihac, CEO of SQM, commented: “We are very glad to announce this agreement with Kidman. This is a new step in the implementation of our strategy to maintain our position as a low-cost producer in all our major business lines, including the growing lithium business. The project characteristics, coupled with our expertise in lithium production and the lithium market, will make this project a great addition to our production portfolio. We believe it will be complementary to our operations in Salar de Atacama in Chile and the project we are developing in Jujuy, Argentina.”
Mr. De Solminihac closed by saying, “We are very enthusiastic about both the project and investing in Western Australia. There are plenty of examples of Australian mining companies investing in Chile; now a Chilean company is making a significant investment in the Australian market.”
(20min delay)