AZL General Discussion, page-18281

DLE is so easy, even a Canadian working on his masters degree in chemistry can do it. That reminds me, how is Prairie’s closest competitor doing? I checked on Grounded Lithium (TSXV: GRD) (OTCQB: GRDAF), which is a lithium brine exploration and development company that controls approximately 4.2 million metric tons of lithium carbonate equivalent of inferred resource over its focused land holdings in the Duperow formation of Southwest Saskatchewan.

At the time AZL acquired Prairie for $80 million, Grounded had a market cap of about $30 million, which would have been a fair price to pay. Most lithium stocks have fallen on hard times since then, so now its SP has fallen from 40 cents to 12 cents. It recently completed a $750,000 CR at 11 cents.

In August 2023, Grounded issued a PEA showing OPEX at US$3,899 per tonne. Production of 11,000 tonnes of LHM per year. That’s with a lithium concentration of 74 mg/L. You have to wonder, why the numbers claimed by AZL for its nearby wells are higher. Maybe further testing is needed by both companies.

The Government of Saskatchewan independently spearheaded initiatives focused on defining and delineating the lithium resource potential of subsurface brines across the province. Reputable agencies, including the Geologic Survey of Saskatchewan, conducted a series of field sampling programs that targeted formation waters across various stratigraphic intervals, including the Duperow. Subsequent laboratory testing has proven commercially viable with lithium concentration ranges from 70 – 81 mg/L within the Duperow formation observed across the area.

Grounded has hired Koch Technology Solutions to develop its DLE process. Lab results published in May 2023 showed the Koch process resulted in lithium extraction recovery rates averaged 98% over multiple passes; and effectively rejected other key ions found with rejection factors of 99%.

So yes, there is hope for Canadian brine. But do your own research before investing in a company there that has an Arizona albatross around its neck. Unless, of course, you agree with BRP that a spin-off is likely.