Rock Tech secures binding feedstock offer for its Guben Converter Binding offer received for the supply of minimum 250,000 dry metric tonnes of spodumene concentrate over the course of 5 years. Discussions continue with additional feedstock partners with further agreements expected in due course.
Rock Tech secures binding feedstock offer for its Guben
Converter
Binding offer received
for the supply of minimum 250,000 dry metric tonnes of spodumene concentrate over the
course of 5 years.
Discussions continue with additional feedstock partners with further agreements expected in due course.
TORONTO
,
Dec. 4, 2023
/CNW/ -
Rock Tech Lithium Inc.
(TSXV: RCK) (OTCQX: RCKTF) (FWB: RJIB) (WKN: A1XF0V)
(the "Company" or "Rock Tech") is pleased to announce that it has received a binding feedstock supply offer (the "Offer")
from Castelburg Industrie GmbH ("Castelburg"). Castelburg, a renowned supplier in the automotive industry commits to
supply a minimum of 250,000 dry metric tonnes of spodumene concentrate feedstock for the Company's conversion facility
in Guben,
Germany
over an initial five-year term of the envisaged agreement starting in 2024.
Binding Feedstock Offer for Guben Lithium Plant Secured. (CNW Group/Rock Tech Lithium Inc.)
The execution of the binding supply agreement based on the terms of the Offer is subject to a positive result of ongoing due
diligence. Under the supply agreement Rock Tech will annually source up to 60,000 dry metric tonnes from Castelburg's source
in Salta,
Argentina
, starting in H2 2024. The price of the spodumene concentrate is based on a discount to market prices and
will be adjusted for the actual Li2O content. The supply agreement further provides for a potential increase of volumes and
extension of the initial term subject to mutual agreement by the contract parties.
Dirk Harbecke
, Rock Tech's Chairman and CEO comments, "This is an important milestone for Rock Tech and the
advancement of our Guben project, as independent 3
rd
party feedstock is a key step to finalize the financing for our German
converter. Castelburg is another strong European industry partner backs us, offering its relationships in
South America
to
support our feedstock sourcing strategy."
The Guben converter will be
Germany's
first spodumene concentrate to lithium hydroxide refinery with an annual name plate
capacity of 24,000 tonnes battery-grade lithium hydroxide. The receipt of the full permit to build and operate the plant is
expected for early 2024. The current market outlook for
Europe
predicts that Lithium conversion capacity will be the major
bottleneck in building a sustainable and resilient battery supply chain. Rock Tech's Guben converter will hence be vital for the
European battery industry and supply lithium chemicals for approximately 500,000 electric vehicles.
The execution of the supply agreement, including all logistics handling and financing will be facilitated by RTT Lithium SA, a
50%/50% joint venture established by Rock Tech and Transamine SA. RTT is also executing the due diligence, the positive
finalization of which is condition precedent for the execution of a supply agreement.
ABOUT ROCK TECH
Rock Tech is a cleantech company with operations in
Canada
and
Germany
on a mission to produce lithium hydroxide for
electric vehicle batteries. The Company plans to build lithium converters at the door-step of its customers, to guarantee supply-
chain transparency and just-in-time delivery, beginning with the Company's proposed lithium hydroxide merchant converter and
refinery facility in Guben,
Germany
. The second Lithium converter will be built in
Ontario, Canada
. To close the most pressing
gap in the clean mobility story, Rock Tech has gathered one of the strongest teams in the industry. The Company has adopted
strict environmental, social and governance standards and is developing a proprietary refining process aimed at further
increasing efficiency and sustainability. Rock Tech plans to source raw material from its wholly-owned Georgia Lake
spodumene project located in the Thunder Bay Mining District of
Ontario, Canada
, as well as procuring it from other
responsibly producing mines. In the years to come, the Company expects to also source raw material from discarded
batteries. Rock Tech's goal: to create a closed-loop lithium production system.
www.rocktechlithium.com
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
C
AUTIONARY NOTE CONCERNING FORWARD-LOOKING INFORMATION
Certain statements contained in this news release constitute "forward-looking information" under applicable securities laws and
are referred to herein as "forward-looking statements". All statements, other than statements of historical fact, which address
events, results, outcomes or developments that the Company expects to occur are forward-looking statements. When used in
this news release, words such as "expects", "anticipates", "plans", "predicts", "believes", "estimates", "intends", "targets",
"projects", "forecasts", "may", "will", "should", "would", "could" or negative versions thereof and other similar expressions are
intended to identify forward-looking statements. In particular, this press release contains forward-looking information pertaining
to the outcome of amount, quality of products from Castelburg's and/or their partner's mining operations; regulatory decisions
and outcomes; anticipated construction and its costs, schedules and completion dates; access to capital markets and other
sources of financing; the supply and demand for, deliveries of, and the level and volatility of prices of, intermediate and final
Lithium products; future exchange and interest rates; general business and economic conditions; the costs and results of
development, exploration and operating activities; Rock Tech's ability to procure supplies and other equipment necessary for
its business; and the accuracy and reliability of technical data, forecasts, estimates and studies; Rock Tech's opinions, beliefs
and expectations regarding the outcome of the Offer and the supply agreement, the Company's own business strategy,
development and exploration opportunities and projects, and plans and objectives of management for the Company's
operations and properties; and Castelburg's ability to procure supplies , their accuracy and reliability of technical data,
forecasts, estimates and studies and RTT Lithium SA's ability to handle logistics and financing .
Forward-looking statements by their nature are based on assumptions and involve known and unknown risks, uncertainties and
other factors which may cause the actual results to differ materially from the forward-looking statements. There may also be
other factors that cause actual results to differ materially from the forward-looking statements, including the risks, uncertainties
and other factors discussed in the Company's most recent management's discussion and analysis and annual information form
filed with the applicable securities regulators, or known and unknown risks and uncertainties that may the Company's ability to
access additional funding required to invest in available opportunities and projects (including the Guben Converter Project and
the Georgia Lake Project).
No assurances can be given that any of the events anticipated by the forward-looking statements will transpire or occur, and
the Company cautions the reader not to place undue reliance upon any such forward-looking statements. The Company does
not intend, nor does it assume any obligation to update or revise any of the forward-looking statements, whether as a result of
new information, changes in assumptions, future events or otherwise, except to the extent required by applicable law.
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For further information:
Press: Charlotte Holzum - [email protected]; Investor Relations: Konstantin Burger -
[email protected]; Rock Tech Lithium Inc.; 2400-333 Bay Street, Toronto ON M5H 2T6, Canada
CO: Rock Tech Lithium Inc.
CNW 02:00e 04-DEC-23