Lithium Argentina AG has entered into definitive agreements to establish the Pozuelos-Pastos Grandes joint venture in Salta Province, Argentina, consolidating three adjacent lithium brine projects into a single basin-wide development.

Concurrently, Ganfeng Lithium Group Co., Ltd. has agreed to make a $180 million strategic investment in Lithium Argentina through a six-year unsecured convertible note carrying a 4.0% coupon. The note is convertible into common shares at $12.50 each, representing a 96% premium to the five-day volume-weighted average price on the New York Stock Exchange for the period ending August 21, 2026.

Proceeds from the financing, combined with existing cash, will fully repay the company’s $259 million convertible debt due in January 2027 on an unsecured basis, extending debt maturity and strengthening the balance sheet. Concurrently with the closing of the strategic investment, Lithium Argentina will terminate its existing $130 million debt facility, releasing associated security and preferential offtake rights.

The new joint venture is expected to be completed in September 2026. Upon completion, the projects will be consolidated under Millennial Lithium B.V., a Dutch holding company owned 67% by Ganfeng and 33% by Lithium Argentina. Ganfeng’s team in Salta will act as operator, with a joint technical and financial committee providing oversight. Key decisions, including development plans, budgets and financings, require approval from both partners.

The consolidated platform is advancing an integrated development targeting 150,000 tonnes per annum of lithium carbonate equivalent across three phases, leveraging shared infrastructure. The project received Stage 1 environmental impact statement approval from the Secretariat of Mining and Energy of Salta Province in November 2025 following a 14-month review. An application under Argentina’s Large Investment Incentive Regime incorporating the 150,000 tonnes per annum development plan was submitted in the first quarter of 2026, with approval expected by the end of the year.

The $180 million strategic investment is also expected to close in September 2026, subject to Toronto Stock Exchange and New York Stock Exchange approvals. Assuming full note conversion, Ganfeng would receive 14.4 million additional common shares, lifting its ownership from approximately 9.6% to roughly 16.1% on a fully diluted basis.

“These transactions strengthen our balance sheet and minimize dilution for our shareholders, while positioning both Cauchari-Olaroz and PPG to deliver significant value. At PPG, the consolidated joint venture brings together three complementary projects into a single large scale operation - strengthening our joint financing process already underway and preserving every option to unlock its full value for shareholders.” — Sam Pigott, CEO of Lithium Argentina

“The PPG JV and this Strategic Investment reflect the strength of a partnership built over nearly a decade and more than $2 billion of combined investment in Argentina’s lithium sector. Together, we are advancing a shared vision to grow to over 200,000 tonnes per annum of LCE capacity - bringing advanced processing technologies, jobs and investment to make Argentina the leading source of growth in low-cost, environmentally responsible lithium chemicals production.” — Wang Xiaoshen, CEO of Ganfeng

The strategic transactions cap a busy period of financial restructuring for Lithium Argentina, which ended the second quarter of 2026 with $100 million in cash and equivalents alongside $27 million in recent distributions from Cauchari-Olaroz.

Read the full announcement: Lithium Argentina Finalizes PPG Joint Venture; Announces $180M Strategic Investment from Ganfeng