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.
India’s federally administered region of Jammu and Kashmir did not receive any bids in a second attempt to auction mining rights for lithium reserves found last year, according to a source with direct knowledge of the matter.
The government in February 2023 found its first lithium deposits in Jammu and Kashmir with estimated reserves of 5.9 million metric tons.
After it failed to get a required minimum of three bids in its first auctions in November, the block was again put up for auction in March with a May 14 deadline for bids.
The source, who declined to be identified as they were not authorized to talk to the media, said the block was likely to be given to a government agency for further exploration after no bids were made.
India’s Ministry of Mines did not immediately respond to a Reuters request for comment.
As electric vehicles have focused on the need for lithium, used in making batteries, India has sought to secure assets overseas as well as domestically.
Analysts have however questioned the composition of the deposit in Jammu and Kashmir.
The Indian government in June last year, listed 30 minerals, including lithium, nickel, titanium, vanadium and tungsten as critical to its quest for cleaner energy.
(By Neha Arora; Editing by Mayank Bhardwaj and Barbara Lewis)
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