Chariot’s Expansion into Nigeria Hinges on Exploration Success and Shareholder Approval

Strategic Acquisition in Nigeria

Chariot Corporation Limited (ASX, CC9) has taken a significant step in its lithium exploration journey by acquiring a 66.7% interest in a substantial hard-rock lithium portfolio in Nigeria. The deal, valued at US$1.5 million in cash plus 42 million ordinary shares, positions Chariot firmly within the rapidly growing Africa–China lithium supply corridor. This acquisition encompasses four project clusters; Fonlo, Gbugbu, Iganna, and Saki; covering approximately 254 square kilometers across Oyo and Kwara states, including eight exploration licences and two small-scale mining leases.

Capital Raising and Financial Maneuvers

To support this expansion, Chariot successfully raised A$1.6 million through a share placement, attracting strong support from existing and new institutional investors. The funds will be allocated toward settling the acquisition, maintaining licences, initiating exploration activities, and supporting corporate overheads. Additionally, the company secured an A$880,000 working capital facility from GAM Company Pty Ltd, which was used to retire outstanding convertible notes with Obsidian Global GP, LLC. This financial restructuring avoids dilution from note conversions but comes with a relatively high interest rate and contingent option issuance subject to shareholder approval.

Exploration Outlook and Project Portfolio

Chariot plans to commence systematic exploration on the Nigerian assets with initial fieldwork already underway and drilling targeted for late 2025. The Nigerian projects have a history of artisanal lithium mining and have produced spodumene concentrate for export to Chinese customers, validating both the quality of mineralisation and market demand. This complements Chariot’s existing lithium projects in the United States, including the flagship Black Mountain Project in Wyoming and the Resurgent Project spanning Nevada and Oregon.

Geopolitical and Market Context

The acquisition taps into the strategic Africa–China lithium corridor, where China is actively diversifying its lithium supply sources beyond traditional producers in Australia, Chile, and Argentina. Nigeria’s supportive regulatory environment and growing lithium processing infrastructure, largely funded by Chinese investment, enhance the attractiveness of these assets. Geologically, Nigeria’s lithium pegmatites share characteristics with Brazil’s renowned Lithium Valley, suggesting promising exploration potential.

Portfolio Rationalisation and Corporate Governance

In parallel, Chariot is relinquishing its Zimbabwe lithium project claims due to subdued market conditions and reassessed geological potential. The company also reported no on-site activity at its US projects during the quarter but remains engaged with regulatory bodies and neighbouring developments. Corporate governance remains steady, with all resolutions passed at the recent annual general meeting and amendments to convertible note terms successfully negotiated.