US lithium extraction company Energy Exploration Technologies (EnergyX) agreed to acquire Daytona Lithium, securing ownership of 35,000 gross acres of lithium brine resources in the Smackover Formation of Arkansas.
EnergyX said today the deal is valued at A$40mn ($26mn), comprising A$6mn in cash and A$34mn in common stock.
The acquisition expands EnergyX's Smackover footprint, building on its existing 12,500 acres to nearly 50,000 acres in total.
It also extends EnergyX's Project Lonestar in northeast Texas, aimed at producing 50,000 metric tonnes (t)/yr of lithium hydroxide by 2030, with an initial phase of 12,500t/yr by 2028.
EnergyX plans to vertically integrate its direct lithium extraction technology to produce low cost lithium.
The acreage sits adjacent to Exxon, Chevron, and Standard Lithium in the Smackover.
"The race is on" to see who will be the first to produce commercial battery grade lithium products, said EnergyX chief executive Teague Egan.
Daytona Lithium is a wholly owned subsidiary of Australia-based Pantera Lithium.
