International Lithium Corp. (ILC) is moving closer to acquiring full ownership of the Karibib Lithium, Rubidium and Cesium Project in Namibia after Lepidico met all drawdown conditions for a secured loan agreement valued at CAD$510,000 (N$6.3 million).
The company confirmed that the loan, which carries an interest rate of 10% per annum on CAD$420,000 (N$5.2 million) of the total amount, has now been fully advanced.
This step gives ILC the option to acquire 100% of Lepidico Mauritius Ltd. from Lepidico (Canada) Inc. for CAD$975,000 (N$12 million) on a debt-free basis. Lepidico Mauritius owns 80% of Lepidico Chemicals Namibia (Pty) Ltd., which holds the Karibib project.
According to ILC, the option remains valid until the later of 30 November 2025, or 30 days after the outcome of an ongoing arbitration between Lepidico Namibia and Jiangxi Jinhui Lithium Co. Ltd., expected to conclude by the end of the year.
“The completion of this financing gives ILC an unconditional option to acquire the Karibib project, subject only to a final decision on the arbitration. Should we exercise the option, the company would immediately hold one of Africa’s largest rubidium resources,” said ILC Chairman, John Wisbey.
He added that the acquisition “would leapfrog, by several years, the development stage of other projects we are interested in, including those in Zimbabwe,” noting that ILC would become one of the leading global players in the rubidium and cesium markets.
If exercised, the deal would result in a net payment of CAD$465,000 after offsetting the loan principal and accrued interest. The option structure is designed to limit ILC’s exposure to potential liabilities arising from the arbitration, which dates back seven years.
Lepidico originally acquired the Karibib Project in 2019 through its AUD$22.9 million (approximately CAD$20.7 million) purchase of Desert Lion Energy. Since then, the company has invested a further AUD$12.1 million (around CAD$10.9 million) in drilling, environmental studies and a Definitive Feasibility Study prepared under JORC standards.
The Karibib Project, located near the town of Karibib in central Namibia, includes two fully permitted mining licences, Rubicon and Helikon, along with an adjacent exclusive prospecting licence (EPL 5439).
ILC’s assessment indicates that the site hosts one of the largest known rubidium deposits in Africa, along with a smaller but commercially significant cesium resource estimated to be equivalent to one year of global demand.
If the transaction proceeds, ILC would gain control of a project already at an advanced stage of development and strengthen its resource base in Southern Africa, a region it views as central to its expansion strategy.
“The transaction positions ILC to benefit from the expected upswing in the lithium market and growing global demand for strategic metals used in advanced electronics and clean energy technologies,” the company said.
International Lithium Corp., listed on the TSX Venture Exchange, OTCQB and Frankfurt Stock Exchange, focuses on the exploration of critical minerals in Canada and Southern Africa.
The company said it plans to finalise the Namibian acquisition while continuing to advance its Raleigh Lake lithium and rubidium project in Ontario.
