Creat Group to invest in Australian lithium carbonate project

Creat Group, a Chinese private investor, entered into an investment agreement with Australia's Galaxy Resources on Thursday for an investment of 160 million Australian dollars in the latter's lithium carbonate project.

With this, the Chinese investment firm became Galaxy Resources' largest shareholder, holding a 19.9 percent stake.

Upon construction, the lithium carbonate facility will transport spodumene ores from a western Australian mine, the world's second largest spodumene mine, to Zhangjiagang, a port city in eastern China's Jiangsu Province. Upon arrival, it will be processed into battery grade lithium carbonate.

Lithium is a strategic resource required for the development of clean energy and a low carbon economy. Lithium demand is expected to enjoy at least a 15 percent annual growth in the coming ten years. Upon the project's completion, Creat Group will become the largest lithium carbonate producer in China, and the world's fourth largest, according to the company's president Zheng Yuewen.

Creat Group is a comprehensive investment firm whose business covers manufacturing, mining, finance, and real estate. Prior to its Galaxy Resources deal, it took control of Australia's Zeehan Zinc Limited via investment.

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