Kodal Minerals PLC (AIM:KOD) CEO Bernard Aylward joined Proactive's Stephen Gunnion with news that the company has agreed terms with Hainan Mining to complete the funding package for the Bougouni Lithium Project in Mali.
The news sent Kodal's shares more than 30% higher in London.
Speaking from Bamako, Mali, Aylward said the transaction is "fantastic" for Kodal as it means the company is fully funded for the development not only of the media separation (DMS) plant that will allow it to commence mining and processing but also provides significant funding for the ongoing drilling and development and expansion of the project.
Under the agreement, the parties are looking to finalise all remaining compliance items as soon as possible with the expected transfer of money - US$117.75 million in total, of which US$3.5 million has been received as a pre-payment - for the completion of the transaction now expected in the first half of November 2023.