Lithium Argentina has closed a strategic $180 million investment from Ganfeng Lithium Group via a six-year unsecured convertible note.
Lithium Argentina (44.8%) and Ganfeng (46.7%) jointly own the Cauchari-Olaroz lithium project in Argentina. CEO Sam Pigott said the funds, combined with cash distributions from Cauchari-Olaroz, give the company a stronger balance sheet, lower net debt, a six-year maturity profile and a low cost of capital.
The investment supports Stage 2 at Cauchari-Olaroz and the Pozuelos-Pastos Grandes (PPG) project, also in Argentina, in a phased approach limiting equity dilution. Ganfeng holds 67% of PPG, Lithium Argentina the balance; PPG combines Ganfeng's Pozuelos-Pastos Grandes project with Lithium Argentina's Pastos Grandes and Sal de la Puna projects, adding lithium brine resources to the combined pipeline. Consolidation remains on track for end-September.
Assuming full conversion, Ganfeng's stake in Lithium Argentina rises from 9.6% to 16.1% on a fully diluted basis, deepening its upstream lithium supply position in Argentina.
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