CleanTech Lithium CEO steps down amid loan issue

Chile-focused explorer and developer CleanTech Lithium (LSE: CTL) accepted on Friday the resignation of its CEO, Aldo Boitano, who was suspended earlier this week for failing to disclose a share-backed personal loan. Company shares jumped. 

Between Sept. 8, 2023 and Feb. 6, 2024, Boitano transferred his entire holding of 9,400,002 shares to an unnamed lender. When questioned about it, CleanTech’s co-founder was unable to ascertain whether the shares may have been transferred to a further nominee account in the lender’s name or sold to third parties.

Executive chairman Steve Kesler will assume the role of chief executive until a new CEO is appointed, the company said.

Aldo Boitano. Credit: Clean Tech Lithium

“We hold ourselves accountable to the highest governance policies, and the board has acted decisively and with the duty of care for all our stakeholders,” it said in the statement.

CleanTech Lithium is keeping Boitano as a consultant to assist the company in the process of applying for a special lithium operating contract (CEOL) to continue building relationships with the Chilean government and local communities. 

Company shares rose 21.9% to 13.7 pence on Friday in London, valuing CleanTech at £19.9 million ($34.1 million).  

President Gabriel Boric’s administration introduced last year a national lithium strategy that requires companies to enter into partnerships with state-own entities, such as copper giant Codelco and national miner Enami. 

Public-private alliances are also needed for other 26 lithium-rich salt flats, but in those areas the state will not be a controlling partner.

In both cases, companies need to be granted a CEOL, which will follow government-led public consultations with local communities.

Cleantech said it’s updating its original application to meet the latest government guidelines.

Chile is the world’s top copper producer and the second-largest producer of lithium. Both metals are considered vital commodities for the global transition from fossil fuels to renewable energies.

Global demand for lithium, according to the country’s government projections, will quadruple by 2030, reaching 1.8 million tonnes. Available supply by then is expected to sit at 1.5 million tonnes. 

Chile expects at least four new lithium projects to be in production by 2026.