Orocobre Rises After Toyota Tshusho Buys Project Stake
Orocobre Ltd. (ORE), an Australian company developing lithium-potash brine projects, rose to its highest in more than a year after it said Toyota Tsusho Corp. (8015) is buying a 25 percent stake in its project in Argentina.
Orocobre, based in Brisbane, advanced 8.3 percent to C$2.34 at the close in Toronto, the highest since May 24, 2011.
Negotiations with Aichi, Japan-based Toyota Tsusho may be completed within two weeks, Orocobre said in a statement today. Mizuho Corporate Bank will finance the project with debt guarantees from Japan Oil, Gas and Metals National Corp., according to the statement.
Construction at the Olaroz project is scheduled to start this year, with commercial production beginning in 2014, Orocobre said in the statement. Output is expected to reach 17,500 tons a year.
Lithium harvested from brine is used in batteries for consumer electronics such as iPads and in electric vehicles.
To contact the editor responsible for this story: Simon Casey at firstname.lastname@example.org