Ukraine Attracts $179 Million Investment for Lithium Deposit Development in Kirovohrad Region
The Cabinet of Ministers has identified the winner of the competition for the development of the lithium deposit “Dobra Site” in the Kirovohrad region under the production sharing agreement (PSA) mechanism. According to Prime Minister Yulia Svyrydenko, the project will attract at least $179 million in capital investments. Of this amount, $12 million is allocated for new geological surveys and an international audit of reserves, while $167 million is earmarked for the launch of extraction and enrichment, contingent on the confirmation of industrial lithium reserves.
This is reported by AgroReview
Investment Conditions and Competition Winner
Under the terms of the PSA, Ukraine will initially receive about 13% of the total extraction volume, which will later increase to 22%. The winner of the competition is Dobra Lithium Holdings JV, LLC, whose shareholders include the international companies Techmet and The Rock Holdings. Both companies have significant experience in extracting critically important minerals, providing additional guarantees for the effective implementation of the project.
Project Significance for Ukraine
Techmet, part of the winning consortium, holds controlling or significant minority stakes in 10 assets across four continents and has experience in executing complex projects related to the exploration, extraction, and processing of critical minerals.
“The project will provide a boost for attracting more investors. Moreover, the involvement of strategic investors from the USA and the European Union enhances international attention to Ukraine, brings modern extraction and processing technologies, and creates additional security guarantees for our country,” the Prime Minister concluded.
It is noted that the consortium that won the competition has close ties with the administration of former U.S. President Donald Trump. This could serve as an additional factor for attracting new investments and increasing the international community’s attention to Ukraine’s strategic resources.