Albemarle Announces Completion of Lithium Joint Venture with Mineral Resources Limited
October 31, 2019
- JV provides risk-adjusted access to high-quality spodumene source, further diversifying Albemarle's lithium asset base
- Strengthens Albemarle's position in the long term by increasing capacity to support future demand
- JV combines the mining expertise of MRL and the advanced specialty chemical processing expertise of Albemarle
- Decision made to idle Wodgina mine based on current market conditions
Under the Agreement, Albemarle has acquired a 60% interest in MRL's Wodgina spodumene mine in
The 50 ktpa lithium hydroxide conversion capacity at Kemerton is currently scheduled to be commissioned in stages starting in the first half of 2021. The timing and location of any further lithium hydroxide conversion capacity that may be developed by the joint venture will be based on market demand and will be funded 60/40 by Albemarle and MRL.
Based on current market conditions, the Wodgina mine will idle production of spodumene until market demand supports bringing the mine back into production.
"We are pleased to announce the formation of this joint venture with Mineral Resources. Over the past year, we have worked closely together and are even more confident that our investment will produce substantial long-term value," said
The transaction was funded by borrowing of approximately
For additional information, FAQs are available on the Albemarle website (www.albemarle.com) and may be updated periodically. Additional details and commentary will also be provided during Albemarle's third-quarter 2019 earnings call on
Discovering and implementing new and better performance-based sustainable solutions is what motivates all of us. We think beyond business-as-usual to drive innovations that create lasting value. Albemarle employs approximately 5,400 people and serves customers in approximately 100 countries. We regularly post information to www.albemarle.com, including notification of events, news, financial performance, investor presentations and webcasts, non-GAAP reconciliations,
Some of the information presented in this press release, including, without limitation, information related to plans and anticipated benefits in relation to the joint venture, and all other information relating to matters that are not historical facts may constitute forward- looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Actual results could differ materially from the views expressed. Factors that could cause actual results to differ materially from the outlook expressed or implied in any forward-looking statement include, without limitation: changes in economic and business conditions; adverse changes in liquidity or financial or operating performance; changes in the demand for our products or the end-user markets in which our products are sold and the other factors detailed from time to time in the reports we file with the SEC, including those described under "Risk Factors" in our Annual Report on Form 10-K and our Quarterly Reports on Form 10-Q. These forward-looking statements speak only as of the date of this press release. We assume no obligation to provide any revisions to any forward-looking statements should circumstances change, except as otherwise required by securities and other applicable laws.
Media Contact: Hailey Quinn, (980) 299-5640, Hailey.Quinn@albemarle.com; Investor Relations Contact: David Ryan, (980) 299-5641, David.Ryan@albemarle.com
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