Liontown has entered into a A$550 million debt facility agreement which is designed to ensure our Kathleen Valley Lithium Project is funded through first production and ramp-up to the 3Mtpa base case.

The Debt Facility provides financial certainty and sufficient time for us to complete the review of Kathleen Valley’s 4Mtpa expansion, including opex and capital requirements. In parallel, we are continuing to explore options for a longer-term funding solution to provide future flexibility and optionality beyond the 3Mtpa base case.

The proceeds drawn will be used to refinance our existing Ford debt, fund construction and ramp-up at Kathleen Valley and provide working capital and liquidity. The syndicate of lenders comprises Commonwealth Bank of Australia, National Australia Bank Limited, Societe Generale, Export Finance Australia and the Clean Energy Finance Corporation.

Having this funding in place provides strong endorsement for our project and a platform of financial certainty from which to move forward. We are consequently well-positioned to deliver the remaining milestones to first production and ramp-up towards anticipated positive cashflows.

Kathleen Valley remains on schedule and budget to commence first production in the middle of the year.