Infinity Lithium has acquired full ownership of four high-grade gold-silver-copper exploration projects in Victoria’s Lachlan Fold Belt and secured options on additional nearby assets, while its flagship San José lithium project in Spain faces extended regulatory timelines and funding setbacks.
- Acquisition of 100% interest in four advanced gold-silver-copper projects in Victoria
- Option agreements secured for Mitta Mitta and Corryong gold-copper-silver projects
- San José Lithium Project Mining Licence Application faces extended assessment and delays
- Withdrawal from PERTE grant program due to regulatory and timing challenges
- Cash reserves of A$12.1 million maintained with cost minimisation efforts
Strategic Expansion in Victoria’s Lachlan Fold Belt
Infinity Lithium Corporation has significantly broadened its exploration footprint in eastern Australia through the acquisition of Highland Resources Limited, securing 100% ownership of four granted exploration licences rich in gold, silver, and copper. These assets, located within the historically prolific Lachlan Fold Belt in Victoria, include sites with proven mineralisation from both historical workings and recent exploration, offering promising drill-ready targets.
Following this acquisition, Infinity has also entered into option agreements for the Mitta Mitta and Corryong projects, adjacent to its new holdings. These agreements provide the company with exclusivity to acquire or earn up to an 80% interest, further consolidating its position in a region experiencing renewed interest amid rising precious metal prices.
Incentivised Deal Structures and Exploration Focus
The Highland acquisition and subsequent option agreements are structured to align incentives between Infinity and the vendors, with modest upfront cash payments supplemented by substantial share issuances and performance rights. These rights vest upon exploration milestones such as increased drilling activity and the establishment of JORC-compliant mineral resources, underscoring Infinity’s commitment to advancing these projects rapidly and cost-effectively.
This approach allows the company to prioritise exploration expenditure while maintaining a strong cash position, reported at A$12.1 million as of 31 March 2025, which includes restricted funds from the PERTE grant program.
San José Lithium Project, Regulatory Hurdles and Grant Withdrawal
Meanwhile, Infinity’s flagship San José Lithium Project in Spain continues to navigate a complex regulatory landscape. The Mining Licence Application (MLA) remains under assessment by the Regional Government of Extremadura, with additional information requested that has delayed the anticipated public consultation phase to late 2025 at the earliest.
These delays have prompted Infinity to withdraw from the PERTE VEC IIb grant program, which provided up to €18.8 million earmarked for capital equipment purchases. The stringent timelines and permitting requirements associated with the grant are no longer aligned with the project’s regulatory progress, leading the company to prioritise flexibility over funding tied to restrictive conditions.
Corporate Streamlining and Forward Outlook
In response to these developments, Infinity has streamlined its board and management structure to reduce costs and better reflect the Spanish oversight required for the San José project. The company continues to engage with regional and federal authorities in Spain to clarify regulatory expectations and explore potential financial assistance avenues.
With a strengthened exploration portfolio in Australia and ongoing efforts to advance its lithium project in Europe, Infinity Lithium is positioning itself at the intersection of precious metals and critical battery minerals, sectors poised for growth amid global energy transitions.
Bottom Line?
Infinity’s dual focus on expanding gold exploration in Australia and overcoming regulatory hurdles in Spain will define its near-term trajectory.
Questions in the middle?
- How soon can Infinity deliver meaningful exploration results from its new Victorian assets?
- What are the financial and operational impacts of withdrawing from the PERTE grant program?
- When will the San José Mining Licence public consultation and final approval realistically occur?