KordaMentha was appointed Alita’s administrator in August after the miner received a notice of default from creditors. Three months earlier on May 26, the miner’s offtaker, Jiangxi Bao Jiang Lithium Industrial (JBJ), told Alita it wanted to stop accepting shipments of lithium ore from Alita’s Bald Hill mine in Western Australia.
With JBJ refusing to accept further shipments, Alita bearing fixed cash costs and a weakening spot market for lithium ore weighing down the price and Alita’s sales volume, the company’s ‘failure was inevitable’, according to KordaMentha
SINGAPORE (Dec 13): The directors of Australian lithium miner Alita Resources, which is under administration, may have breached their duties, according to the company’s administrator KordaMentha in its report released by Alita on Dec 11.
