Infinity Lithium Corporation Ltd (ASX:INF) (FRA:3PM) has finalised a favourable revision relating to the JV agreement between the company’s wholly owned subsidiary, Extremadura Mining S.L and joint venture (JV) partner Valoriza Minera S.A.
Extremdaura Mining will maintain a 75% project ownership interest in the JV entity TEL, the project vehicle that contains the rights to the San José Lithium Project in Spain
The revised agreement provides for the deferral of current payment obligations by Extremadura Mining to Valoriza Mineria and provisions to accelerate the acquisition of the balance of shares in TEL aligned to the resolution of research permit Investigation Permit Valdeflórez (PIV).
Administrative appeal process
TEL has received notification from The General Directorate of Industry, Energy and Mines of the Regional Government of Extremadura (Junta) that it has decided to reject the administrative appeal filed by TEL against the resolution that denied the research permit PIV.
TEL received notification that an appeal lodged by a non-government organisation (NGO) against the Investigation Permit Ampliacion Valdeflorez (PIAV) was dismissed and the extension area remains granted and in good standing.
The company and TEL reserves all legal rights and will progress to an administrative-contentious appeal.
Infinity has received advice supporting its position that the Junta’s resolution to cancel the PIV is in direct breach of the law and in contradiction of previous rulings by the Junta on the environmental and urban legality and viability of the PIV.
The company has assembled a high calibre and experienced legal team lead by Madrid founded and national leading legal firm Pérez-Llorca to advise and represent TEL throughout the administrative contentious appeal process.
“Confident of a positive resolution”
Infinity CEO and Managing Director Ryan Parkin said: "We reiterate our commitment to absolute legality in the process of resolving the multiple administrative inconsistencies and applications of judgements by the Junta.
“The Junta, for its part, has shown arbitrary discretion and contradictions between the original grant of the Investigation Permit and its recent change of position.
“The administrative and legal resolution in the face of the same facts cannot change its criteria to suit political endeavours and the Company is confident of a positive resolution under the rule of Spanish law.”