China-based Ganfeng Lithium has revealed plans to acquire Canada-based exploration and development company Millennial Lithium for about C$353m ($280m).

Ganfeng’s unit GFL International has proposed a price of C$3.60 ($2.82) per share for the acquisition of Millennial, as per its filing to the Shenzhen Stock Exchange.

Established in March 2005, Millennial is engaged in the acquisition, exploration and development of lithium mining rights.

The acquisition is expected to close in the fourth quarter of 2021, said the company.

Millennial has two lithium salt lake projects under development or exploration in Argentina. The Pastos Grandes and Cauchari East projects are located close to Ganfeng’s existing operations. The company owns 100% interest in both projects.

Covering approximately 14,093ha, the Pastos Grandes lithium salt lake project is located in the central part of Salar de los Pastos Grandes in Salta province of northwestern Argentina.

With a planned an annual capacity of 24,000 tonnes, the Pastos Grandes project capacity is currently under construction.

Located on the east side of Cauchari-Olaroz Salar in Jujuy, Argentina, the Cauchari East lithium salt lake project is still in the early stage of exploration.

Ganfeng stated: “The transaction is conducive to the expansion of the Company’s business and the enhancement of its core competitiveness, which is in line with the Company’s strategy of upstream and downstream integration and its strategy of development in new energy vehicle industry.”

In May this year, Ganfeng, through its subsidiary Ganfeng International Trading, has offered to buy remaining stake of 71.12% in UK-based Bacanora Lithium for up to $264.5m.

Last month, the company has agreed to buy 50% stake in a special purpose vehicle (SPV) that owns the Goulamina spodumene mine project in Mali for $130m.

Also, Ganfeng has announced its plans to build a lithium plant in Jiangxi, China with an annual production of 50,000 tonnes of lithium carbonate equivalent (LCE).