Global Lithium Seeks Australian Government Intervention in Chinese Takeover Dispute

Global Lithium Resources is urging government intervention against a potential Chinese-backed takeover of its Manna lithium project ahead of a key shareholder vote. The company claims that foreign-linked investors, allegedly led by director Dianmin Chen, are working to seize control through undisclosed associations, violating Australia’s takeover laws.

Despite Global Lithium's plea, the Takeovers Panel declined to investigate, citing shareholder pressure rather than coordinated control. Now, the company is turning to Australia’s Treasurer and Foreign Investment Review Board (FIRB) to block these investors from voting and force a stake sell-down. The Western Australia Supreme Court previously ruled the Treasurer could intervene before Thursday’s meeting.

The dispute comes as Australia balances its critical minerals strategy with U.S. security ties while maintaining trade relations with China, its largest resource buyer. The Manna lithium project has been stalled due to weak battery material markets, increasing urgency around ownership stability.

Chen, along with Chinese-born investor Leon Zhu, who controls Sincerity Group, is pushing for board control. Global Lithium's Executive Chairman Ron Mitchell has urged shareholders to reject board changes, warning of a potential control shift without a formal takeover or premium offer.

Canmax Technologies, linked to Chinese billionaire Pei Zhenhua, holds nearly 10% of Global Lithium, raising further concerns. Canmax and Chen declined to comment. Zhu, through legal representatives, referenced the Takeovers Panel’s ruling but offered no additional statements.

This case follows Australia’s 2023 decision to block a Chinese investment in a rare earths firm, highlighting growing scrutiny over foreign control in strategic mineral assets. Global Lithium awaits the Treasury’s next move as the shareholder meeting looms.