The Top Lithium Beneficiaries of the U.S. Fight to Decrease Reliance on China
Palm Beach, FL – October 10, 2019 – With the ongoing trade war, and potential threats to rare earth supplies from China, the U.S. has teamed with Canada and Australia to develop reserves of lithium, copper and cobalt. As these countries seek to cut off their reliance on China for materials crucial to technology, the U.S. will share its mining expertise with other countries to help discover and develop necessary resources. By doing so, this will create further supplies to meet growing global demand. “Demand for critical energy minerals could increase almost 1,000% by 2050,” as reported by Reuters. That’s opening a wide range of opportunity for companies involved in the lithium space, including E3 Metals Corp. (TSX-V:ETMC) (OTCPK:EEMMF), Albemarle Corporation (NYSE:ALB), Sociedad Quimica y Minera de Chile S.A. (NYSE:SQM), Tesla Inc. (NASDAQ:TSLA), and Lithium Americas Corporation (NYSE:LAC) (TSX:LAC).
E3 Metals Corp. (TSX-V:ETMC)(OTCPK:EEMMF), BREAKING NEWS: E3 Metals Corp. just announced that Livent Corporation (NYSE: LTHM) has contributed the initial $1.5 million dollars in relation to the Joint Development Agreement announced on September 18, 2019. This initial contribution marks the commencement of the Joint Development Project with Livent for the technical advancement of E3 Metals’ proprietary Ion Exchange Direct Lithium Extraction (DLE) process. The ultimate goal of the Agreement is to develop a process to produce battery quality lithium products from the lithium enriched brines located in the Leduc Formation in Alberta. Livent has committed to contribute up to $5.5 million to fund the Joint Development Project. On satisfaction of the full $5.5 million in funding and completion of the Joint Development Project, for a period of 90 days, Livent will have the option to convert its $5.5 million investment into 6,229,368 common shares in the capital of E3, representing 19.9% equity ownership of E3 based on the current share structure. Should Livent elect to proceed with the Conversion, Livent can appoint one member to E3’s Board of Directors, provided Livent maintains not less than a 5% equity interest in the Company. Under the Agreement, E3 has no obligation to contribute any funding to the Joint Development Project and should Livent not provide the entire US $5.5 million, then: i), Livent is not entitled to the Conversion; ii) E3 has no obligation to return any funds contributed by Livent; iii) all E3 IP and jointly developed new IP (other than improvements to Livent IP) will revert to E3. Livent has also been granted additional limited anti-dilution rights. “We are thrilled to be working with Livent to advance our proprietary process and the Alberta Lithium Project,” said Chris Doornbos, President and CEO of E3 Metals. “We believe this collaboration will accelerate the advancement of the innovative technology we have developed to date. The Joint Development Project demonstrates E3’s commitment to the commercialization of lithium in Alberta.”
Other related developments in the lithium industry include:
Albemarle Corporation (NYSE:ALB) recently delivered second quarter “adjusted diluted EPS of $1.55, an increase of 14% compared to the second quarter of 2018. All of our businesses met or exceeded our expectations this quarter with volume and pricing providing year-over-year growth in Lithium and Bromine,” said Luke Kissam, Albemarle’s CEO. “The recently announced amendments to our transaction with Mineral Resources Limited and our decision to delay indefinitely certain lithium expansion projects will allow us to reduce capital expenditures significantly while still meeting the commitments we have made to our customers.”
Sociedad Quimica y Minera de Chile S.A. (NYSE:SQM) announced it would pay an interim dividend equal to US$0.26669 per share to be charged against 2019 retained earnings. This amount shall be paid in the equivalent of Chilean pesos according to the value of the “Observed Dollar” or “US Dollar” that appears published in the Official Gazette on August 30, 2019. This shall be paid to the corresponding shareholders, in person or through their duly authorized representatives, starting at 9:00am on September 12, 2019 to shareholders who are registered on the shareholders registry of the Company five business days prior to the payment date.”
Lithium Americas Corporation (NYSE:LAC)(TSX:LAC) recently provided results of a 40,000 tonnes per annum definitive feasibility study on the Caucharí-Olaroz lithium project currently under construction in Jujuy Province, Argentina. Caucharí-Olaroz is 100% owned by Minera Exar S.A., a 50/50 joint venture between Lithium Americas and Ganfeng Lithium Co., Ltd. Lithium Americas and Ganfeng Lithium have authorized Minera Exar to proceed with the plan to produce 40,000 tpa of battery-quality lithium carbonate.
Tesla Inc. (NASDAQ:TSLA) just reported that in the third quarter, “we achieved record production of 96,155 vehicles and record deliveries of approximately 97,000 vehicles. In addition, we achieved record net orders in Q3 and are entering Q4 with an increase in our order backlog. As was also the case in Q2, nearly all of our Model 3 orders were received from customers who did not previously hold a reservation, solidifying the transition to generating strong organic demand. We are continuing to focus on increasing production to meet that demand. Our net income and cash flow results will be announced along with the rest of our financial performance when we announce Q3 earnings. Our delivery count should be viewed as slightly conservative, as we only count a car as delivered if it is transferred to the customer and all paperwork is correct. Final numbers could vary by up to 0.5% or more. Tesla vehicle deliveries represent only one measure of the company’s financial performance and should not be relied on as an indicator of quarterly financial results, which depend on a variety of factors, including the cost of sales, foreign exchange movements and mix of directly leased vehicles.”
DISCLAIMER: FN Media Group LLC (FNM), which owns and operates Financialnewsmedia.com and MarketNewsUpdates.com, is a third- party publisher and news dissemination service provider, which disseminates electronic information through multiple online media channels. FNM is NOT affiliated in any manner with any company mentioned herein. FNM and its affiliated companies are a news dissemination solutions provider and are NOT a registered broker/dealer/analyst/adviser, holds no investment licenses and may NOT sell, offer to sell or offer to buy any security. FNM’s market updates, news alerts and corporate profiles are NOT a solicitation or recommendation to buy, sell or hold securities. The material in this release is intended to be strictly informational and is NEVER to be construed or interpreted as research material. All readers are strongly urged to perform research and due diligence on their own and consult a licensed financial professional before considering any level of investing in stocks. All material included herein is republished content and details which were previously disseminated by the companies mentioned in this release. FNM is not liable for any investment decisions by its readers or subscribers. Investors are cautioned that they may lose all or a portion of their investment when investing in stocks. For current services performed FNM expects to be compensated three thousand five hundred dollars for news coverage of current press releases issued by E3 Metals Corp. by a non-affiliated third party. FNM HOLDS NO SHARES OF ANY COMPANY NAMED IN THIS RELEASE.
This release contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E the Securities Exchange Act of 1934, as amended and such forward-looking statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. “Forward-looking statements” describe future expectations, plans, results, or strategies and are generally preceded by words such as “may”, “future”, “plan” or “planned”, “will” or “should”, “expected,” “anticipates”, “draft”, “eventually” or “projected”. You are cautioned that such statements are subject to a multitude of risks and uncertainties that could cause future circumstances, events, or results to differ materially from those projected in the forward-looking statements, including the risks that actual results may differ materially from those projected in the forward-looking statements as a result of various factors, and other risks identified in a company’s annual report on Form 10-K or 10-KSB and other filings made by such company with the Securities and Exchange Commission. You should consider these factors in evaluating the forward-looking statements included herein, and not place undue reliance on such statements. The forward-looking statements in this release are made as of the date hereof and FNM undertakes no obligation to update such statements.
Media Contact email: email@example.com – +1(561)325-8757