Piedmont Lithium Expands Resource Base With Strategic Investment In Newfoundland Project

Piedmont Lithium Inc. PLL announced a strategic investment in a promising lithium project located in Newfoundland, Canada.

Piedmont has agreed to pay C$2 million for a 19.9% equity interest in Vinland Lithium Inc., a new entity established with Sokoman Minerals Corp. (40.1%) and Benton Resources Inc. (40.1%), marking a significant step in expanding its lithium resource base. Piedmont financed Vinland at C$1/share.

The investment deal also opens the door for Piedmont to potentially earn up to a 62.5% equity interest in Vinland's Killick Lithium Project, a venture that boasts approximately 60 kilometers of highly prospective strike length.

Upon Piedmont completing all earn-in options, Piedmont will have paid Benton and Sokoman up to a total of C$10 million in Piedmont shares.

This strategic move aligns with Piedmont's broader objective of investing in large-scale projects situated in favorable locations and managed by adept exploration teams.

The Killick Lithium property shares geological similarities with the Carolina Tin-Spodumene Belt, home to Piedmont's Carolina Lithium project. Initial prospecting by Benton Resources and Sokoman Minerals has unveiled the first occurrence of spodumene-bearing pegmatite in Newfoundland, indicating the property's significant potential.

Price Action: PLL shares are trading higher by 0.64% at $36.00 on the last check Wednesday.

Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.