Leo Lithium Ditches Mali Mess, Now Shopping for Bargain Basement Rocks

Leo Lithium has completed its $177.6 million exit from the Goulamina lithium project in Mali and is now on the hunt for new acquisitions.

The Perth-based miner offloaded its 40% stake to China’s Ganfeng Lithium Group, collecting $171.2 million in a final tranche and $6.4 million in interest.

A prior tranche of $161 million was received in late 2023, with $44.7 million shaved off for capital gains tax paid to Mali’s government.

The company walked away from the Mali project after talks with the transitional government went nowhere.

With lithium prices in the gutter and juniors gasping for cash, Leo Lithium sees now as the perfect time to scoop up distressed assets on the cheap.

Mergers and acquisitions are its top strategic priority, eclipsing any urge to reward shareholders just yet.

The miner says it may return capital in late 2025 if no deals materialize by the third quarter.

A few lithium hard rock targets are already in play, and at least one deal is expected to be sealed before this quarter ends.

Any major purchase using the Goulamina proceeds will still need a shareholder green light.