Kidman enters 50/50 JV with Chilean, SQM for Mt Holland

Company News

by Jessica Amir

Kidman Resources (ASX:KDR) has formed a joint venture with one of the world’s leading lithium producers, SQM, (Sociedad Quimica y Minera de Chile) to develop the Mt Holland Lithium project near Southern Cross in Western Australia.

The Australian lithium producer’s 50/50 JV also involves developing a downstream lithium refinery operation.

As part of the JV, Kidman is set to receive US$110 million for 50 per cent of the project.

Kidman says the JV with the Chilean company will come into effect once definitive documents have been executed and after the funds have been received in full.

The company says Mt Holland’s Earl Grey lithium deposit, which has a mineral resource of 128 million tonnes, has attracted a lot of global interest.

However, the partnership with SQM is the most compelling for shareholders as SQM has a depth of technical and marketing expertise that will benefit its position.

Shares in Kidman Resources (ASX:KDR) are trading 5.63 per cent lower to $0.67.

Jessica Amir

Finance News Network
Jessica joined FNN in January 2017 after having worked in financial advising for seven years and in TV journalism for seven years, specialising in finance, equities and analysis. She has interviewed former Prime Ministers of Australia, Tony Abbott, Julia Gillard and Kevin Rudd and ex Treasurer Jo Hockey. Jessica has worked as a journalist with Sky News Business, ABC 1, ABC's The Business, ABC24 and has also been a regional Channel 7 and 9 TV reporter with Prime7 and Win News.