• NRFC to invest $50 million in ASX-listed Liontown Resources (ASX: LTR) as part of a $266 million institutional placement.
  • Investment will be used to support the ramp up and underground transition of the Kathleen Valley Lithium Operation
  • Investment highlights Kathleen Valley’s strategic importance to Australia as a global, long-term supplier of lithium. 

The NRFC today announces that it will invest $50 million in Liontown Resources to support the ramp-up and underground transition of the Kathleen Valley Lithium Operation. 

Kathleen Valley commenced production of spodumene concentrate on 31 July 2024, and is one of Australia’s largest and most advanced lithium projects. With a multi-decade mine life, Kathleen Valley will produce 500,000 tonnes of spodumene concentrate per annum, with future expansion potential. 

NRFC CEO David Gall said, “Lithium is a critical mineral that is central to both decarbonisation efforts and the government’s Future Made in Australia strategy.”

"Australia is well-positioned to be a competitive, long-term supplier of lithium to the rest of the world and local lithium production is important to the nation’s economic security and resilience. 

“Our investment in Liontown will help to attract private capital and develop Australia’s resources sector. It is aligned with the government’s strategy of transforming Australia into a global leader in the critical minerals supply chain.” 

Global lithium consumption has tripled since 2016 due to the growth of the EV market and around 87 per cent of the world’s lithium is used for production of EV batteries.

Lithium-ion batteries are backed by established supply chains and extensive infrastructure, and their widespread industry acceptance means that they are likely to remain a key part of the EV supply chain for the next 5-10 years.

Liontown is a key supplier of lithium to some of the world's leading vehicle and battery manufacturers, including Tesla, Ford, and LG Energy Solution. 

Kathleen Valley’s multi-decade and quality ore deposit also means that Liontown has the potential to build Australia’s industrial capacity and unlock further value in the critical minerals supply chain by becoming an integrated producer and refiner of lithium products.  

Liontown CEO Tony Ottaviano said, “We’re pleased to welcome NRFC as a cornerstone investor in Liontown. Their investment is a strong endorsement of Kathleen Valley’s strategic importance and long-term value.”

Liontown’s Kathleen Valley Lithium Operation directly employs more than 300 people in Western Australia and the company has established a complex local supply chain of regional businesses to support its Kathleen Valley functions.

Liontown has also awarded a significant value of competitive contracts to local Tjiwarl community businesses in the area where it operates, and its approach to First Nations engagement is considered a blueprint for what can be achieved by the mining industry.

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Media contact: media@nrf.gov.au 

About the National Reconstruction Fund Corporation (NRFC)

The NRFC is Australia’s sovereign investor in manufacturing capability. It has $15 billion to invest through direct loans, equity investments and loan guarantees across seven priority areas: renewables and low emissions technologies; enabling capabilities; defence capability; transport; value-add in resources; value-add in agriculture, forestry and fisheries; and medical science. 

The NRFC’s role is to invest in Australian businesses and projects that design, refine and make to transform capability, grow jobs and a skilled workforce, and diversify our economy. The NRFC is a corporate Commonwealth entity, established by the National Reconstruction Fund Corporation Act 2023 (NRFC Act) in September 2023.

For more information, visit nrf.gov.au

About Liontown Resources 

Liontown is an ASX listed responsible battery minerals provider. With our tier-one credentials, world-class assets and strategic partners, our mission is to power a sustainable future by ensuring a reliable supply of essential minerals. Our Kathleen Valley operation in Western Australia is one of the largest hard rock lithium mines and significant long-life projects in the world. 

To learn more, please visit: www.ltresources.com.au(Opens in a new tab/window)