Talison nears deal on legal dispute

Talison Lithium and Global Advanced Metals have reached an in-principle settlement deal in their legal dispute over expansion plans for the Greenbushes mine.

Talison confirmed today it was in negotiations with GAM, which holds the tantalum rights at Greenbushes.

“As these negotiations are ongoing, it would be inappropriate to comment further other than to confirm that Talison is pleased that a reasonable in-principle commercial settlement has been achieved,” a Talison spokesman said.

“Talison will provide an update if and when a commercial settlement is agreed.

“In the meantime, we are getting on with the job of expanding the Greenbushes lithium operation, creating hundreds of new jobs and building on the success of this significant contributor to the Western Australian economy.”

Talison, which is a joint venture between Chinese company Tianqi Lithium and US-based Albemarle Corporation, approved a $320 million expansion in March last year to double production at Greenbushes to 1.3 million tonnes per annum.

Massachusetts-based GAM lodged a Supreme Court injunction in July 2017 arguing that further lithium expansion meant Talison would potentially sterilise and waste tantalum resources.

GAM said the preliminary settlement had allowed the trial, which was due to start last week, to be postponed.

“GAM and Talison have reached an interim agreement which has given both companies sufficient comfort to adjourn the trial to allow three weeks to try to reach a final agreement,” a GAM spokesman said.

“The terms of the interim agreement are confidential.”

Talison also approved a further $516 million expansion in July this year to boost output to 1.95mtpa.