Ganfeng Lithium Industry intends to offer to acquire Canadian Millennial to acquire two Lithium Salt Lake projects in Argentina.

Ganfeng Lithium Industry (002460.SZ) issued an announcement that the 29th meeting of the Fifth session of the Board of Directors of Ganfeng Lithium Co., Ltd., held on July 16, 2021, examined and passed the "proposal on the proposed acquisition of Canadian Millennial by Ganfeng International or its wholly-owned subsidiaries involving investment in mining rights". Ganfeng International Co., Ltd. (hereinafter referred to as "Ganfeng International"), a wholly-owned subsidiary, or its wholly-owned subsidiary, Ganfeng International Limited (hereinafter referred to as "Ganfeng International"), or its wholly-owned subsidiaries to make an offer to acquire Millennial of Canada with its own funds, the share price of this transaction is C $3.

Prior to the completion of this transaction, the company does not hold an equity interest in Millennial of Canada; upon completion of this transaction, Ganfeng International or its wholly-owned subsidiary will hold no more than 100% of Millennial of Canada. The management of the company is authorized to handle all matters related to this transaction.

It is reported that Millennial is a company registered under the laws of British Columbia, Canada and listed on the growth Enterprise Market of the Toronto Stock Exchange under the symbol ML. Millennial is mainly engaged in the acquisition, exploration and development of lithium mining rights, with the goal of becoming a competitive supplier to the lithium battery industry. Millennial's main assets are the Pastos Grandes Lithium Salt Lake project in the Argentine province of Salta and the Cauchari East lithium salt lake project in the Argentine province of Jujuy.

The Pastos Grandes Lithium Salt Lake project, located in the middle of the Salar de los Pastos Grandes region of Salta province in northwestern Argentina, holds a mining concession covering an area of approximately 14093 hectares, and Millennial holds a 100% interest in the project. The Cauchari East Lithium Salt Lake project is located on the east side of Cauchari-Olaroz Salar, Jujuy province, Argentina. At present, the project is still in the early stage of exploration, the relevant license is still in the application stage, economic resources (if any) and other information is not clear, Millennial holds 100% interest in the project.

The company said that the transaction is conducive to the company's business expansion, enhance core competitiveness, in line with the company's upstream and downstream integration and new energy vehicle industry development strategy.