Electric Cars Need This: ASX Junior’s Billion Tonne Potential
Tesla’s electric car sales are up 55% from last year…
With a current market cap of $26BN USD, Tesla is widely tipped to be the first company to take electric cars to the masses.
Rumours abound that software giant Apple, after revolutionising home computers, phones and watches, wants to make electric cars also.
Richard Branson has hinted that his mega corporation Virgin may also have a crack at electric cars – they are sending people to space after all.
Traditional car makers are not going quietly though.
German auto maker BMW has a successful electric car on the market, along with a hybrid coupe.
Rival German Mercedes is also planning a suite of electric vehicles.
The race for electric car dominance is in full swing and hotly contested.
Whichever company can put an electric car in the most garages across the world stands to generate billions of dollars in revenue for decades to come…
The one thing in common with all these cars is that they’re powered by a rechargeable lithium-ion battery.
Lithium is fast becoming the power source of the future – today.
The rise of the electric car has led to soaring demand for portable power gained from rechargeable lithium-ion batteries.
The market for rechargeable batteries is predicted to double by 2016 to
over $22BN, with lithium as the key ingredient.
Add this to the demand generated by renewable energy storage systems – lithium batteries are required to store solar and wind energy – and it’s clear that lithium is a strategic metal for the future.
The next company to bring a big lithium resource into production should find plenty of customers lining up to take its product.
At
The Next Mining Boom we’ve been alerted to an ASX-listed junior capped at just $4.2M that’s got its hands on a huge lithium resource on industrial Germany’s doorstep.
When we say ‘huge’, we really mean it – The company’s inferred resource stands at half a billion tonnes…
The exploration target is another half a billion tonnes…
In terms of volume this deposit is in the Top 4 hard rock lithium deposits in the world, and may one day grow to be the largest in the world with some additional drilling.
But having the largest deposit in the world is useless if the costs to extract are too high.
Again this is where this little company may have an edge.
They have struck up a relationship with a strategic partner that uses a process that could dramatically drops their extraction costs.
We will know specifics on this in just days – when the company releases their Scoping Study results.
This imminent catalyst could be the cause of a re-rate for this company:
European Metals Holdings
ASX: EMH
(20min delay)