(Sharecast News) - Bacanora Lithium updated the market on its investment agreement and offtake agreement with global lithium company Ganfeng Lithium Company on Tuesday.
The AIM-traded firm had announced on 28 June that the agreements had been submitted to the relevant authorities in China for approval and completion.
It said that the first of those approvals, from the Ministry of Commerce, was received by Ganfeng at the end of July.
Bacanora said it had now been informed that the second approval had been processed by the National Development and Reform Commission, and received by Ganfeng.
It was anticipated that the final approval from the State Administration of Foreign Exchange would be received following a Ganfeng board meeting to be held in the coming weeks.
Bacanora said it would provide further updates once final approval was received.
"We are continuing to progress the approval process in China in order to complete our initial investment in Bacanora Lithium and its Sonora Project," said Ganfeng Lithium Company deputy chairman Wang Xiaoshen.
"We are looking forward to working with Bacanora to develop this world-class project.
"Our significant investment demonstrates our belief in the viability of the Sonora Project and its ability to become a world class operation and support Ganfeng's strategy of growing to a 100,000 tonnes per annum lithium producer."
Wang said the firm's technical team was now starting its review to identify areas where Ganfeng could add value to the project delivery.
"Ganfeng is committed to supporting Bacanora in its financing and commencing development of the Sonora Project in the coming months."
Bacanora had proposed that Wang would join the board of Bacanora as a director upon completion of the Ganfeng investment.
3 Mar 2016 07:02