Czech power utility Cez will pay €29.1 million for a 51% stake in Geomet, European Metals' Czech subsidiary, which holds the rights to the project, down from the €34.1 million conditionally agreed in November.

"In light of very significant changes in global markets and the successful completion of CEZ's due diligence, European Metals Holdings (EMH) and Cez have replaced the conditional agreement with the final agreement," EMH said Friday.

The final agreement also gives Cez the right to withdraw from funding the project at two milestones: at completion of the front-end engineering design program and semi-industrial pilot testing of the lithium concentrate processing, and upon completion of the definitive feasibility study.

If Cez chooses to withdraw, Geomet must return its initial investment minus €250,000 and all costs incurred up to that point.

The sale is still conditional on approval by EMH's shareholders, which the company said would be sought at an extraordinary general meeting in April.