Li-FT Power Secures Option to Acquire Renard Diamond Mine for Lithium Repurposing — Li-FT Power Ltd.

Event summary

Li-FT Power has secured a binding call option to acquire the Renard diamond mine site from Stornoway Diamonds for C$1.00, subject to court approval by July 2, 2026.
The deal includes a C$12 million option fee and requires Li-FT to cover care and maintenance costs of up to C$36 million over two years.
Renard's processing plant, with a capacity of 2.2Mtpa, could be repurposed for lithium processing from the Adina Lithium Project.
The transaction is contingent on multiple conditions, including regulatory approvals and the satisfaction of release conditions by secured creditors.

The big picture

Li-FT Power's potential acquisition of the Renard diamond mine site represents a strategic pivot towards lithium processing, aligning with the growing demand for EV battery supply chain infrastructure in Canada. The deal underscores the trend of repurposing existing mining assets to reduce capital expenditure and environmental footprint, particularly in regions like Québec with established critical mineral infrastructure.

What we're watching

Technical Feasibility: Whether Renard's processing plant can be effectively repurposed for lithium production within the two-year option period.
Regulatory Hurdles: The pace at which Li-FT secures necessary approvals from the Superior Court of Québec and other regulatory bodies.
Financial Commitment: How Li-FT will manage the significant upfront costs, including the option fee and care and maintenance expenses, while awaiting final transaction approval.