Leo Lithium Ltd (ASX:LLL) has received its first trailing product sales fee (TPSF) payment under the TPSF Deed, following initial spodumene concentrate shipments from the Goulamina Lithium Project in Mali.

The company said its joint-venture partner Ganfeng completed two shipments in Q32025, generating a TPSF payment of $574,748 to Leo Lithium. The fee represents 1.5% of gross revenue from Stage 1 lithium product sales, subject to a volume cap of 500,000 t of spodumene concentrate per year.

The Goulamina project in southern Mali is one of the world’s largest undeveloped hard-rock lithium deposits and is being developed as a joint venture between Leo Lithium and China’s Ganfeng, one of the world’s largest lithium producers.

Stage 1 is structured to supply spodumene concentrate for export markets, with construction and ramp-up advancing through 2025 and phased commissioning underway across processing and logistics infrastructure.

Under the TPSF Deed, Leo Lithium is entitled to the fee for a 20-year period beginning with the unloading of the first commercial shipment. Payments are made quarterly in arrears, with the next instalment expected in late January or early February 2026.

Leo Lithium said it continues to assess options to monetise the TPSF in the near term and will update shareholders as developments emerge.