Lithium Suppliers Benefit From Growing Lithium-Ion Battery Market
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NEW YORK, September 21, 2017/PRNewswire/ --
A report published by Variant Market Research projects that the global Lithium-ion battery market will reach an estimated $56 billion in value by 2024, and growing at a CAGR of 10.6% from 2016 to 2024. Li-ion batteries are incorporated as the power or energy source for many products from several industries, including portable electronics and electric vehicles. Increasing use of smartphones, tablets, and digital cameras has contributed to drive the positive projections for the sales of these batteries. A major factor that is already changing the scope of the industry is the increasing popularity of electric vehicles, which are now being developed and sold in emerging markets such as China and India. 92 Resources Corp (OTC: RGDCF), Lithium X Energy Corp. (OTC: LIXXF), Lithium Americas Corp. (OTC: LACDF), Advantage Lithium Corp. (OTC: AVLIF), Nemaska Lithium (OTC: NMKEF)
The declining availability of fossil fuels and the benefits of clean energy continue to boost the demand for electric vehicles. Consultants CRU Group Senior Consultant, Edward Spencer explained, "In terms of overall demand, EVs (electric vehicles) only consumed around 6.5 percent of refined cobalt in 2016. This will increase to 16.9 percent in 2021 helping lift demand to nearly 130,000 tonnes. We expect a deficit in the region of 900 tonnes this year. However, a far larger deficit could open quickly if mine and refinery capacity growth fails to keep pace," Reuters reported. The benefactors of the lithium-ion battery market are lithium suppliers.
92 Resources Corp (OTCQB: RGDCF) is also listed on the TSX Venture Exchange under the ticker symbol 'NTY'. Earlier today the company announced breaking news that, it has acquired three separate hard-rock lithium properties (the "Projects" or "Properties") located in the James Bay region of Quebec. The properties consist of a combined 115 mineral claims, totaling approximately 5,952.73 hectares (14,709.5 acres). Each project was the subject of a brief due-diligence site visit, which included the examination and sampling of known pegmatites. Analytical results are pending.
Highlights: - Corvette: located within the Guyer Greenstone Belt; the property covers a large sodumene-bearing pegmatite identified at a time the project was evaluated for its gold potential. An outcrop measuring about 150 m by 30 m was contained abundant coarse-grained spodumene crystals up to 1 meter in length. - Eastmain: about 7 km east to southeast of Galaxy Resources James Bay (Cyr) Deposit, the property covers extensive pegmatite outcrops mapped during regional campaigns. - Lac Du Beryl: encompasses a series of prominent pegmatite outcrops, where historic government mapping noted beryl in outcrop, a mineral commonly associated with spodumene. Corvette Project - The Corvette Project consists of 76 claims, totaling 3,891 hectares, and is less than 12 kilometres south of the Trans-Taiga all-weather gravel highway. In 2006, a property mapping campaign by Virginia Gold Mines discovered a spodumene-bearing outcrop. No sample was collected at that time, and no follow-up work had been completed on the lithium potential of the outcrop.
Eastmain Project - The Eastmain Project consists of 21 claims, totaling 1,109 hectares, located less than 7 kilometres from the James Bay all-weather gravel highway. The project is highlighted by a large pegmatite outcrop located approximately 7 kilometres east to southeast and interpreted to be along-strike from the James Bay (Cyr) deposit of Galaxy Resources Ltd. The James Baydeposit contains indicated resources of 11.75 million tonnes (mt) grading at 1.30% Li2O and inferred resources of 10.47mt grading at 1.20% Li2O. Recently, Galaxy Resources has drilled an additional approximately 33,000 metres to develop the James Bay Deposit.
Lac du Beryl Project - The Lac du Beryl Project consists of 18 claims, totaling 953 hectares, and is less than 16 kilometres from an existing powerline associated with one of the hydroelectric power generation stations of the James Bay Region. The project is highlighted by several prominent pegmatite outcrops, many of which display characteristic pathfinder minerals commonly associated with spodumene pegmatites. The Lac du Beryl Project is adjacent to the east of the Auclair Property of Osisko Royalties where diamond drilling previously intersected 5.4 g/t Au over 7 metres (including 12.1 g/t Au over 3 metres) on the Arianne showing (report GM55430). The Arianne showing is located less than one kilometres from the Lac du Beryl Project, and within the same geological trend of the Eastmain Greenstone Belt.
According to Adrian Lameroux, CEO of 92 Resources - "As we advance the Hidden Lake Pegmatite Property we felt it critical to maintain a pipeline of additional high-quality, early-staged, lithium pegmatite projects, each with potential as stand alone opportunities. Early indications at our newly acquired Corvette Property are of a high-potential pegmatite with a thickness of at least 30 m containing abundant coarse-grained, spodumene."
Lithium X Energy Corp. (OTCQX: LIXXF) is a lithium exploration and development company with a goal of becoming a low-cost supplier for the burgeoning lithium battery industry. The Company's wholly owned flagship project is the Sal de los Angeles lithium brine project. The project consists of 8,154 hectares covering 95% of Salar de Diablillos, and has an NI 43-101 mineral resource estimate of 1.037 million tonnes of lithium carbonate equivalent in the indicated category and 1.007 million tonnes of lithium carbonate equivalent in the inferred category. On July 11, 2017, the company announced it has closed the definitive agreement with Aberdeen International Inc. for the purchase of Aberdeen's remaining 50% interest in Potasio y Litio de Argentina S.A. which controls 100% of the Sal de los Angeles Project. Under the Acquisition, the Company has acquired Aberdeen'sremaining 50% interest in the Sal de los Angeles Project by paying to Aberdeen$5 million in cash and issuing 6 million common shares of the Company.
Lithium Americas Corp. (OTCQX: LACDF), together with SQM, is developing the Cauchari-Olaroz lithium project, located in Jujuy, Argentina, through its 50% interest in Minera Exar. In addition, Lithium Americas owns 100% of the Lithium Nevada project, and RheoMinerals Inc., a supplier of rheology modifiers for oil-based drilling fluids, coatings, and specialty chemicals. On June 7, 2017, the company announced it has completed the closing of the investment agreement with GFL International Co., Ltd., a wholly-owned subsidiary of Jiangxi Ganfeng Lithium Co., Ltd. Pursuant to the Investment Agreement, Ganfeng Lithium agreed to provide Lithium Americas with an aggregate of approximately US$172 million in financing.
Advantage Lithium Corp. (OTCQX: AVLIF) is a resource company specializing in the strategic acquisition, exploration and development of lithium properties and is headquartered in Vancouver, British Columbia. Recently, the company announced further positive progress with its Cauchari JV drilling program where three drill rigs are now expanding the depth and lateral extent of the existing NI43-101 mineral resource dated December 2016. Initial results from the first set of composite brine samples from hole CAU10 in the SE sector have returned an average lithium grade of 678 milligrams per liter with sample results ranging from 585 to 724 mg/l lithium and excellent Mg/Li ratios averaging 2.1/1 These initial 17 samples were collected as part of a preliminary pumping test conducted on the hole; a second set of samples from this hole are due later this month. Systematic double-packer sampling of individual filter sections will proceed shortly over the total 340m depth of the developed well.
Nemaska Lithium (OTCQX: NMKEF) intends to become a lithium hydroxide supplier and lithium carbonate supplier to the emerging lithium battery market that is largely driven by electric vehicles, cell phones, tablets and other consumer products. The Corporation is developing in Quebec one of the most important spodumene lithium hard rock deposit in the world, both in volume and grade. The spodumene concentrate produced at Nemaska Lithium's Whabouchi mine will be shipped to the Corporation's lithium compounds processing plant to be built in Shawinigan, Quebec. On August 1, 2017, the company announced diamond drilling results from the 2017 drill program at its 100%-owned Whabouchi lithium mine project. The 4,361-metre drill program combines definition drilling to a depth of 50 metres in the "Five Year Starter Pit" between sections 200E and 700E as well as expansion drilling in the Doris zone located immediately to the SW of the main Whabouchi deposit.
