Rinehart overtakes Goyder on Liontown register

The mining billionaire has overtaken chairman Tim Goyder as Liontown Resources' biggest shareholder, spelling a potential headache for Albemarle's proposed acquisition. 

Gina Rinehart's private mining entity Hancock Prospecting announced it had scooped up another parcel of Liontown shares on Friday afternoon, taking its stake in the Kathleen Valley developer to 16.7 per cent. 

The transaction makes Hancock Prospecting the biggest shareholder on Liontown's register, displacing chairman Tim Goyder who owns about 15 per cent. 

"Hancock welcomes the opportunity to participate in the Kathleen Valley project as a shareholder, and have an influence on the company’s overall future direction – including where decisions are to be made by shareholders," the company said in a statement. 

Hancock had previously alluded to potentially seeking board representation with Liontown but said it did not plan to put a director nomination forward at Liontown's upcoming annual general meeting. 

"Hancock remains open to nominating directors to Liontown’s board in the future and particularly if its Strategic Stake continues to increase towards 19.9 per cent."

Albemarle is in the middle of completing its due diligence on Liontown after making a $6.6 billion proposal to buy the company. 

Prior to today's update, Hancock had a 14.67 per cent stake in Liontown following a spate of similar on-market share transactions. 

Hancock has previously affirmed its foothold in the company is strategic.