Neo Lithium closes strategic investment with CATL
(Kitco News) - Neo Lithium (TSXV:NLC; OTCQX:NTTHF) announced today the closing of the previously announced equity investment by CATL, whereby CATL subscribed for 10,217,503 common shares of Neo Lithium at a price of C$0.84 per common share for gross proceeds of C$8,582,702.
According to the company’s statement, with the proceeds of the equity investment from CATL, the company has strong net cash position of approximately C$35 million.
“The closing of the CATL strategic investment validates the quality of our 3Q project and the capabilities of our management team. It further strengthens our long-term commitment and focus on our Project as we work together with CATL to bring 3Q into full development by building a comprehensive financing plan,” commented Chairman Constantine Karayannopoulos.
CATL is a global leader in the development and manufacturing of lithium-ion batteries. In 2019, the company's EV battery sales volume reached 40.25 GWh worldwide, and making it the world leader in annual EV battery consumption.
Neo Lithium owns 3Q project - a unique high-grade lithium brine lake and salar complex in Latin America’s “Lithium Triangle”. The 3Q project is located in the Catamarca Province, the largest lithium producing area in Argentina covering approximately 35,000 ha including a salar complex of approximately 16,000 ha.