(Reuters) - Australia's Galan Lithium ( GLNLF ) said on Thursday that it rejected an offer from Zhejiang Huayou Cobalt Co and Renault Group to acquire the lithium explorer's stake in its Argentine assets for $150 million in cash.

Galan Lithium ( GLNLF ) described the offer as "opportunistic" and "undervalued", adding that it was for the purchase of the company's entire interest in the Hombre Muerto West (HMW) and Candelas projects in Argentina.

Shares of Galan were up 38.1% at A$0.145, as of 0111 GMT, while the broader benchmark index was down 1.5%. The stock climbed to its highest level since early January.

Last August, EnergyX, a lithium technology startup company, made a $150 million offer to purchase Galan's Argentine assets.

The Hombre Muerto West project, Galan's flagship project, is located near lithium projects and owned by Arcadium Lithium and Posco Holdings ( PKX ). Posco is an investor in EnergyX.