Errawarra Resources has announced a JV with Alien Metals, focusing on the Pinderi Hills Project in the West Pilbara region of Western Australia (WA).
The collaboration aims to advance lithium exploration, with Errawarra committing up to A$4m ($2.6m) to secure a 50% interest in the project over a five-year period.
Initially, Errawarra will invest A$500,000 in Alien Metals through a company placement based on the ten-day volume-weighted average price prior to the agreement’s execution. To earn a 25% stake, Errawarra must spend A$1m within the first two years, followed by an additional A$2.5m within three years to acquire the remaining 25%.
Alien Metals Ltd (LON:UFO) is a global minerals exploration and development company that will shortly make the transition to iron ore producer. The company was formed from Arian Silver in late 2018, retaining some of the companies more valuable Mexican projects before embarking on an acquisition led strategy, headed up by an excellent geological team and targeted entirely on Western Australia.