Brine pools for lithium mining. (Source: Shutterstock)
M4E Lithium, a lithium exploration company in Brazil, closed a financing package with Lithium Royalty Corp. (LRC) and the Watarah Electrification and Decarbonization fund managed by the Waratah Capital Advisors, the company announced March 14.
The financing package consists of a $6 million equity investment from Waratah E&D Fund and a $1.5 million payment for a 1.5% royalty on future production from LRC. An additional $2 million payment will be triggered upon confirmation of a minimum tonnage of lithium resources by M4E.
The package also includes an offtake agreement exercisable for $500,000, enabling the Waratah E&D Fund the right to purchase 10% of M4E’s future lithium production at market prices.
This investment significantly advances exploration across M4E’s expansive 91,000 hectares of mining rights in the prolific Lithium Valley and Borborema regions of Brazil.
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