The offtake agreement will provide Tianhua Chao with a net supply of 48,000 tonnes of spoxene concentrate from the Premier Zulu lithium mine in Zimbabwe. This was in exchange for Tianhua Super Clean providing $35 million in cash for the construction of the Zulu processing plant.
Tianhua ended the deal in June after Premier failed to start delivering lithium concentrate as promised in May and declared force majeure, citing problems at its recently built plant.
The two companies said in separate statements that they had agreed to reinstate the offtake agreement.
"The amended agreement restores the working arrangements between Premier and Tianhua Super Clean and as a result the parties have withdrawn the Force majeure and default notices," Premier said.
Tianhua Super Clean said: "The revised agreement restores the cooperation between the company and Premier."
Tianhua Super Clean, which is also Premier's single largest shareholder with a 13.38 percent stake, is one of several Chinese companies that have invested more than $1 billion in Zimbabwe's lithium assets in the past two years.
Other Chinese companies with lithium mining operations in Zimbabwe include Zhejiang Huayou Cobalt, China Minerals Resources Group, Chengxin Lithium and Yahua Group.
