PERTH (miningweekly.com) – The share price of Lithium Power International increased by nearly 9% on Friday on news of Chinese interest at the Maricunga lithium brine project, in Chile.
Lithium Power on Friday confirmed that its Chilean joint venture partner has entered into discussions with Chinese major Fulin Group, over a possible investment in the Maricunga project, in which Lithium Power holds a 50% interest.
A draft memorandum of understanding (MoU) outlined that Fulin and Minera Salar Blanco SA (MSB) would investigate cooperation between the two companies, including a potential equity purchase in MSB of between 20% and 50%, and a funding agreement to provide the necessary equity and debt associated with the capital expenditure for the project.
The Maricunga project is regarded as the highest quality preproduction lithium project in Chile, and lies to the south of the Atacama Salar, which hosts two lithium brine operations.
Lithium Power shares were trading at a high of 67.5c a share on Friday, up from a low of 57c a share.