Lake Resources (ASX:LKE) names two financial institutes for Kachi – The Market Herald

Subscribe

Be the first with news that moves the market

  • Lake Resources (LKE) appoints two leading project finance institutes, Citi and JP Morgan, as co-coordinators of the Kachi lithium project in Argentina
  • Appointment follows extensive review and selection process of more than 10 international banks
  • The two banks will work together on arranging Kachi’s debt financing, which includes due diligence, feasibility study and environmental and social impact assessment.
  • According to the company, this appointment advances the development of the Kachi project towards final credit approval
  • On the market, Lake shares are down 5.71% and trading at $1.55 per share as of 1:17 p.m. AEST.

Lake Resources (LKE) has appointed two leading project finance institutes, Citi and JP Morgan, as co-coordinators of the Kachi lithium project in Argentina.

The appointment follows an extensive review and selection process of more than 10 international banks.

Lake said Citi and JP Morgan were seen as the strongest combination to coordinate the proposed financial package for this particular project.

The two banks will work together on arranging Kachi’s debt financing. They will coordinate workflows between lenders and third-party analysis on key project stages, including due diligence, feasibility study, and environmental and social impact assessment.

Additionally, the banks will also benefit from the continued support of Lake’s advisors, GKB Ventures and SD Capital Advisory.

According to the company, this appointment advances the development of the Kachi project towards final credit approval.

Debt financing will be based on indicative support from UK Export Finance (UKEF) to cover approximately 70% of Kachi’s total financing needs, subject to UKEF approval and project financing conditions.

“We are delighted to partner with Citi and JP Morgan, who support Lake’s commitment to sustainable mining and reducing our environmental footprint,” said Lake Chief Executive Officer Steve Promnitz.

“Together, we are contributing to a clean energy future that aligns with investor, lender and buyer requirements that new lithium projects meet strict ESG standards.”

In the market, Lake shares were down 5.71% and trading at $1.55 per share as of 1:17 p.m. AEST.