International energy company Equinor said it has entered an agreement with Standard Lithium to acquire a 45% stake in lithium projects located in southwest Arkansas and east Texas, reported Reuters.
Equinor will initially compensate Standard Lithium $30 million and cover project expenses up to $33 million. Potential future milestones could see the company pay an additional $70 million in aggregate to Standard Lithium if a final investment decision is taken.
The news agency said Standard Lithium will retain operatorship of the projects, with Equinor contributing its experience in subsurface operations.
“We see sustainably produced lithium as an enabler in the energy transition,” said Morten Halleraker, Equinor senior vice president, noting that the partnership allows Equinor to enter the lithium space while focusing on direct lithium extraction technologies.
Source: Reuters