Jindalee Lithium Secures $2.75 million Through Sale of Dynamic Metals Stake

Highlights:

• Jindalee Lithium (ASX: JLL) raises $2.75 million through the sale of its stake in Dynamic Metals (ASX: DYM), a former subsidiary.
• Funds will accelerate progress at the McDermitt Lithium Project by supporting engagement with funding partners, optimizing project economics, and advancing permitting.
• CEO Ian Rodger highlights the strategic advantage of securing funding without shareholder dilution, positioning Jindalee for growth as lithium markets recover.

Strategic Capital Raise to Accelerate McDermitt Lithium Project

Jindalee Lithium Limited (ASX: JLL, OTCQX: JNDAF) has strengthened its financial position by securing $2.75 million through the sale of its shareholding in Dynamic Metals (ASX: DYM). This transaction aligns with the company’s strategy of focusing exclusively on its flagship McDermitt Lithium Project in the United States.

Divestment of Non-Core Asset

Dynamic Metals, formerly a subsidiary of Jindalee, was spun out in early 2023 through a $7 million initial public offering (IPO), which included a priority entitlement for Jindalee shareholders. The sale of this non-core asset enables Jindalee to concentrate its resources on advancing McDermitt, one of the largest lithium deposits in the U.S.

Funds to Accelerate Key Project Milestones

The proceeds from this sale will be directed toward critical initiatives at McDermitt, including engagement with potential funding partners and U.S. government agencies. Additionally, Jindalee will use the capital to enhance project economics, streamline permitting processes, and strengthen community relations.

CEO Highlights Strategic Advantage

Jindalee’s CEO, Ian Rodger, emphasized that the company’s ability to secure funding without diluting shareholder value is a significant advantage. “While many lithium companies are struggling to raise capital, Jindalee has successfully unlocked value from a non-core asset. This funding allows us to advance McDermitt strategically, positioning us for future growth as lithium markets recover,” Rodger stated.

Strong Long-Term Potential for McDermitt

Jindalee’s recent Pre-Feasibility Study (PFS) confirmed McDermitt’s robust production outlook, with a projected 63-year mine life and the potential to produce 1.8 million tonnes of lithium carbonate at competitive costs. With increasing U.S. government support for domestic critical mineral supply chains, Jindalee is well-positioned for long-term success.

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