European Lithium Limited (listed on the Australian Securities Exchange – ASX: EUR) has entered into a binding agreement to acquire the titanium company Velta Holding (“Velta”), based in the U.S. and owning production and mining assets located in Ukraine. This was announced in a recently released ASX statement.
Under the terms of the agreement, European Lithium will acquire 100% of Velta for a total consideration of approximately AUD 173 million in fully paid European Lithium shares, subject to the completion of due diligence and satisfaction of customary conditions precedent. Once these conditions are met, the shares will be issued and transferred to Velta’s existing shareholders.
“Acquiring Velta is an important step in expanding European Lithium’s access to critical and strategic minerals. Titanium is a key material used in aerospace, defense, medical, and industrial sectors, and Velta’s asset base and technical capabilities provide the Company with a platform for future growth. This transaction is intended to complement European Lithium’s core lithium business and support the creation of long-term shareholder value,” commented European Lithium CEO Tony Sage.
It is reported that, despite the ongoing war in Ukraine, Velta continues to maintain its export markets and operational stability. Any further expansion of production capacity and investment programs will depend on the prevailing security situation and the fulfillment of the proposed agreement’s conditions.
“The proposed agreement with European Lithium provides an opportunity to advance a range of development initiatives in Ukraine and the United States that the Group has been preparing over the past decade. These initiatives focus on both horizontal and vertical integration, supporting the transition from a raw-material-based model to the production of titanium metal and other critical value-added materials. For Ukraine, this means investment, employment, and the introduction of new technologies. For Europe and the United States, it supports the development of reliable and transparent supply chains for critical materials. The partnership with European Lithium is expected to strengthen our ability to integrate Ukrainian resources into Western value chains while adhering to international standards of governance and transparency,” commented Andriy Brodsky, founder and CEO of Velta Holding.
Key strategic advantages of the upcoming agreement include:
- Portfolio diversification: Expanding beyond lithium into titanium and related critical materials, enhancing European Lithium’s access to strategically important resources.
- Established asset base: Access to existing mining, processing, and manufacturing assets in Ukraine, providing a platform and operational capacity for scalable production.
- Focus on value-added production: Development of an integrated manufacturing chain, from extraction and processing of raw materials to the production of titanium metal powders and finished components, especially for additive manufacturing, supporting higher margins and a more sustainable business model.
- Supply chain security: Strengthening participation in Western critical materials supply chains and reducing dependency on high-risk jurisdictions.
- Operational and commercial synergy: Potential synergy in processing, commercialization, and market access through combining Velta’s assets with European Lithium’s technical expertise.
- Support for Ukraine’s reconstruction: Contribution to Ukraine’s industrial development through investment in production capacity, employment, and tax revenues, creating long-term economic benefits.
Velta is a U.S.-based titanium company with operations primarily in central Ukraine, including established mining and processing facilities such as the Bîrzuli Mining and Processing Complex and the Likarivske deposit. The Group’s assets include ilmenite and titanium ore resources, associated processing facilities, proprietary technologies, and development pathways aimed at supplying high-quality titanium materials to global markets.
Velta Holding is estimated to hold approximately 2% of the global titanium raw materials market and is included in the list of priority projects under the U.S.–Ukraine Mineral Resources Agreement.
Velta’s business model focuses on operational efficiency, improved environmental performance, and the development of processing capacities. This includes an emphasis on higher-value products, particularly titanium powders for additive manufacturing technologies and finished titanium components.
European Lithium Limited is a company engaged in the exploration and development of mining deposits, specializing in lithium assets in Austria, Ukraine, and Ireland, as well as various assets in Australia and a rare-earth mining project in Greenland.
As of now, European Lithium owns 48,036,338 (44.982%) ordinary shares of Critical Metals (as of January 26, 2026). The current investment of European Lithium in Critical Metals is estimated at approximately USD 879,064,985 or AUD 1,309,806,828 (this valuation may fluctuate with changes in the share price of Critical Metals).
