Arcadium shareholders approve sale to Rio Tinto
Shares of Arcadium Lithium rose about 7% in extended trading after the company said that about 98% of its shareholders had voted in favor of the sale.
Firebird Metals (ASX: FRB) has executed a farm-out agreement that would see fellow Australian explorer Macro Metals take over work at its Wandanya, Disraeli and Midgengadge manganese projects located in the Eastern Pilbara region of Western Australia.
Under the agreement, Macro plans to invest A$150,000 over 12 months and complete at least 10 reverse circulation drill holes, with 100 metres to be drilled on each of the three project tenements, to earn an 80% interest.
Firebird’s remaining 20% interest will be free carried until Macro makes a decision to mine. At that time, the companies will then form an incorporated joint venture, contracting Macro’s mining services unit for the life of mine.
Under the JV structure, Firebird will retain the ability to transfer its 20% interest into a 1% royalty, and can earn a 1% sales commission based on free on board revenue.
The transaction, says Firebird’s managing director Peter Allen, would allow the company to continue advancing its flagship Oakover project, also located in East Pilbara, with an existing resource totalling 172 million tonnes grading 9.9% manganese.
The plan for Firebird is to eventually process ore from the Oakover project at its proposed manganese sulphate operations based in China, which has demonstrated low-cost production of material used in lithium manganese iron phosphate (LMFP) batteries.
“By partnering with Macro, we leverage their expertise and resources to drive the development of these tenements, which not only ensures that they receive the necessary investment and development attention but also allows Firebird to benefit from potential production and value growth without immediate capital outlay,” Allen added.
The Wandanya project is the most advanced of the three projects, comprising two exploration licences with a total area of 51 sq. km. Work to date has outlined three prospects, one of which has mineralization defined by drilling.
The Disraeli and Midgengadge projects are both near the Woodie Woodie manganese mine that has been in operation since the 1950s.
