Allens advises Liontown on strategic partnership with LG Energy Solution

Critical Minerals Mergers & Acquisitions Mining

Allens has advised Liontown Resources (Liontown) on its strategic partnership with Korea's LG Energy Solution (LGES), one of the world’s leading battery producers. The transaction includes LGES investing US$250 million (AU$379 million) in Liontown in the form of five-year convertible notes, and a 10-year extension to the existing lithium spodumene concentrate offtake agreement between the parties.

The deal also includes the parties entering into a new downstream collaboration agreement to investigate the establishment of an IRA-compliant lithium refinery to process spodumene from Liontown's Kathleen Valley project into battery-grade lithium chemicals.

'Allens is very proud to have acted for Liontown as part of this transaction, adding to our partnership with Liontown through all stages of the development of its Kathleen Valley lithium project in WA, which is expected to commence production shortly. LGES' long-term investment in Liontown is a testament to the world-class quality of the Kathleen Valley Project,' said Partner Guy Alexander.

This work builds on Allens' sector-leading experience in critical minerals M&A, financing, project development and offtake arrangements.

Allens legal team

Guy Alexander (Partner), Rod Aldus (Partner), Mark McAleer (Partner), Richard Malcolmson (Partner), Bryn Hardcastle (Partner), Julian Donnan (Partner), Addison Ma (Senior Associate), Dave Filov (Counsel), Alastair Henderson (Senior Associate), Nic Ruhbach (Associate), Megan Lee (Associate)