Junior lithium producers in spotlight as takeover targets for Rockwood
http://www.mineweb.com/mineweb/content/en/mineweb-australasia?oid=166731&sn=Detail
"Then there is another producing junior, Galaxy Resources, which has modest lithium carbonate production in Australia along with advanced exploration assets in Quebec and processing facilities in China. But Khan was less excited about Galaxy, pointing to the fact it has had some production ramp-up issues.
Of course, you could also argue that Rockwood, were it truly hungry, could easily pull off a couple takeovers at the same time at this lower level of the lithium producing playing field, or that it may take another tack entirely, moving on earlier stage projects instead. Indeed, it may still be worth considering Galaxy Resources given it holds a significant asset in China - a 17,000 tonne per annum lithium carbonate processing plant. That too, it can be argued, would give Rockwood a greater foothold in Asian markets.
And this desire, for a foothold in Asia, is no facade. Rockwood's official word on Asia to its corporate vision a couple months ago in its quarterly was that it wanted to “secure an alternative source of raw materials and provide access to the growing markets for lithium materials in the Asia-Pacific.”
Of course it also more generically said it wanted to “strengthen our position as a leading global supplier of lithium compounds.” To do that it is also possible Rockwood plays a more patient game, acquiring developers with aspirations for medium term lithium production. If so the easiest place to find advanced stage projects is still South America where it already operates."
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