DLA Piper advises POSCO Holdings on lithium joint venture with Mineral Resources

Global law firm DLA Piper has advised POSCO Holdings Inc. (POSCO) on its agreement with Mineral Resources Limited (MinRes) to acquire a 30% interest in MinRes’ operational lithium business. The acquisition, subject to conditions precedent, will be structured through a newly incorporated joint venture that will hold MinRes’ existing 50% interests in the Wodgina and Mt Marion lithium mines.

Under the terms of the agreement, POSCO will acquire its 30% stake in the incorporated joint venture—representing an indirect 15% interest in each of the Wodgina and Mt Marion mines—for a total upfront cash consideration of USD765 million. MinRes will retain a 70% interest in the new entity (35% indirect interest in each mine).

MinRes will continue to operate both mines under its existing joint venture arrangements with Albemarle Corporation (Wodgina) and Jiangxi Ganfeng Lithium (Mt Marion). The operating entities will remain outside the scope of the new incorporated joint venture and are not part of the transaction.

The transaction remains subject to conditions, including execution of full form documentation, and is expected to reach completion in the first half of calendar year 2026.

DLA Piper’s cross-practice team advising POSCO is led by Matthew Watkins (Corporate) with assistance from Matt Nowotny-Walsh, Alex Jones and Matt Roberts on (mining and projects), Owen Alcorn and Sharon Carey (finance) and Simon Uthmeyer and Kade Sheely (competition).

Commenting on the transaction, DLA Piper Corporate partner Matthew Watkins said: “This is an important milestone for POSCO and a landmark transaction which strengthens its position in the global lithium supply chain. This deal not only secures long-term access to Tier 1 Australian lithium assets but also demonstrates the value of strategic partnerships in advancing downstream processing and supporting the energy transition.”

This transaction reinforces DLA Piper’s strong track record in advising on significant mining sector deals, including:

• Advising Gaston International on proposed acquisition of Lucapa Diamond Company, currently in administration
• Advising SLR Consulting on acquisition of RPMGlobal’s mining advisory consulting division
• Advising Sprott Natural Resource Investment Partners on its USD130 million financing of Robex Resources Kiniero gold project in the Republic of Guinea