CHARLOTTE, N.C., Dec. 14, 2018 /PRNewswire/ -- Albemarle
Corporation (NYSE: ALB), a leader in the global specialty chemicals
industry, announced today the signing of an Asset Sale and Share
Subscription Agreement (Agreement) with Mineral Resources Limited
(ASX: MIN) for a wholly-owned subsidiary of Albemarle to acquire a 50 percent interest in
MRL's Wodgina hard rock lithium project (Wodgina Project) in
Western Australia and form a joint
venture with MRL to own and operate the Wodgina Project to produce
spodumene concentrate and battery grade lithium hydroxide.
Upon closing of the transaction, Albemarle would acquire a 50 percent interest
in all mineral rights within the Wodgina tenements, other than iron
ore (which will be retained exclusively by MRL) and tantalum (which
remain held by a third party), the spodumene concentration plant
and all other fixed infrastructure, utility assets and mobile
mining equipment to be used in the Wodgina Project, other than the
crusher (which will remain owned and operated by MRL), for a
purchase price of $1.15 billion. The
parties would jointly manage the joint venture through a company to
be owned in equal shares by the parties.
After closing of the acquisition and completion of the
construction and ramp-up of the spodumene concentration plant, the
Wodgina Project is expected to produce approximately 100 ktpa
lithium carbonate equivalent (LCE). This is planned to be
used as feedstock for the future lithium hydroxide plant.
The parties would jointly fund, design, build and operate a
battery grade lithium hydroxide plant to be constructed at Wodgina
in two stages of up to 50 ktpa LCE each, utilizing Albemarle's core design.
The transaction has been approved by the Boards of Directors of
both companies and is expected to close in the second half of 2019,
subject to receipt of required antitrust and other regulatory
approvals and satisfaction of other customary closing
conditions.
Albemarle will hold a
conference call to discuss the Agreement on Monday, Dec. 17, at 9:00
a.m. ET. This call will be webcast and can be accessed
through Albemarle's website at
http://investors.albemarle.com, via the webcast link below
or by phone at the following number:
US Toll
free:
|
+1 844 347
1034
|
International:
|
+1 209 905
5910
|
Passcode:
|
9193827
|
Webcast:
|
ALB Wodgina JV
Definitive Agreements Webcast Link
|
To avoid registration wait times, participants are encouraged to
dial in at least five minutes before the start of the call.
Albemarle will post additional
materials to the company's website two hours prior to the call. An
online replay of this call will be available on Albemarle's website for 12 months.
BofA Merrill Lynch is acting as financial advisor to
Albemarle in connection with this
transaction. JP Morgan is acting as financing advisor to
Albemarle. MinterEllison and
Shearman & Sterling are acting as legal advisors.
About Albemarle
Albemarle Corporation (NYSE:
ALB), headquartered in Charlotte,
NC, is a global specialty chemicals company with leading
positions in lithium, bromine and refining catalysts. We power the
potential of companies in many of the world's largest and most
critical industries, from energy and communications to
transportation and electronics. Working side-by-side with our
customers, we develop value-added, customized solutions that make
them more competitive. Our solutions combine the finest technology
and ingredients with the knowledge and know-how of our highly
experienced and talented team of operators, scientists and
engineers.
Discovering and implementing new and better performance-based
sustainable solutions is what motivates all of us. We think beyond
business-as-usual to drive innovations that create lasting value.
Albemarle employs approximately
5,400 people and serves customers in approximately 100 countries.
We regularly post information to www.albemarle.com, including
notification of events, news, financial performance, investor
presentations and webcasts, non-GAAP reconciliations, SEC filings
and other information regarding our company, its businesses and the
markets it serves.
Forward-Looking Statements
Some of the information presented in this press release,
including, without limitation, information related to the proposed
joint venture, plans and anticipated benefits in relation to the
proposed joint venture, expected timing of closing and all other
information relating to matters that are not historical facts may
constitute forward- looking statements within the meaning of the
Private Securities Litigation Reform Act of 1995. Actual results
could differ materially from the views expressed. Factors that
could cause actual results to differ materially from the outlook
expressed or implied in any forward-looking statement include,
without limitation: changes in economic and business conditions;
changes in priorities, financial and operating performance of our
major customers and industries and markets served by us; the timing
of orders received from customers; the gain or loss of significant
customers; competition from other manufacturers; changes in the
demand for our products or the end-user markets in which our
products are sold; the availability of financing; the satisfaction
of closing conditions, including regulatory approvals; the
occurrence of regulatory actions, proceedings, claims or
litigation; and the other factors detailed from time to time in the
reports we file with the SEC, including those described under "Risk
Factors" in our Annual Report on Form 10-K and our Quarterly
Reports on Form 10-Q. These forward-looking statements speak
only as of the date of this press release. We assume no obligation
to provide any revisions to any forward-looking statements should
circumstances change, except as otherwise required by securities
and other applicable laws.
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SOURCE Albemarle Corporation