Loan & DebtAug 5, 2026, 07:36 AM
Lithium Argentina Secures $220M Debt for Cauchari-Olaroz Expansion
AI Summary
Lithium Argentina AG announced that its Cauchari-Olaroz lithium brine operation has closed on $220 million in new unsecured debt facilities. These facilities, comprising a $50 million and a $170 million tranche, will strengthen the company's financial position and provide funding flexibility for its Stage 2 expansion plan. The expansion aims to increase production capacity by an additional 45,000 tonnes per annum of lithium carbonate equivalent, with an updated development plan expected soon.
Key Highlights
- Secured $220 million in new unsecured debt facilities for Cauchari-Olaroz operation.
- Debt facilities include a $50 million two-year facility and a $170 million three-year facility.
- The $170 million facility has an interest rate under 5% with a syndicate of international banks.
- Funds will support Stage 2 expansion to increase production by 45,000 tonnes per annum LCE.
- Debt is unsecured and guaranteed by Ganfeng Lithium, with Lithium Argentina counter-guaranteeing 49%.
- Stage 2 environmental permit application submitted in December 2025.
- Updated Stage 2 development plan results expected in the coming months.
Price Impact
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