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Winsome walks away from Renard option

29th July 2025

By: Mariaan Webb

Creamer Media Senior Deputy Editor Online

     

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Australia-listed Winsome Resources has terminated its option to acquire the Renard diamond mine in Quebec, stepping back from a deal that is seen as key to fast-tracking lithium production at its flagship Adina project.

The company said on Tuesday that it had exercised its contractual right to end the agreement with Stornoway Diamonds and 11272430 Canada, following a strategic review prompted by falling lithium prices and broader macroeconomic headwinds.

“The company remains focused on the advancement of its flagship Adina lithium project and continues to monitor sector conditions and assess opportunities aligning with its long‑term strategy and capital allocation priorities,” Winsome said in a statement.

Winsome secured the exclusive option in April 2024 for total consideration of C$52-million, including an initial C$4-million payment and C$1-million on closing. The balance was to be paid in installments, but the company had repeatedly warned it would not proceed unless market conditions improved. The latest option extension was set to expire on August 31.

Renard, once Canada’s first diamond mine in production outside the Northwest Territories, had attracted Winsome because of its strategic location – just 60 km from Adina – and its fully permitted infrastructure. The site includes a processing plant with dense media separation, ore sorting, and a grinding circuit, as well as year-round road and rail access to Bécancour, Quebec’s emerging battery hub.

Despite terminating the agreement, Winsome said it continues to see value in the Renard infrastructure and may revisit the opportunity if the asset remains unsold and unrehabilitated. “Winsome intends to continue to actively engage with Stornoway, the Quebec and Canadian governments, First Nations and other key stakeholders,” the company said.

 

Edited by Creamer Media Reporter

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