I read that there is a history of tin and lithium mining in the Carolinas and wondered if Piedmont were working old ground with expansion plans or if it was proposing a new greenfield development. I also wanted to get a feel what "Local" media were reporting.
The following article is dated 22nd of July
https://www.wbtv.com/2021/07/21/gaston-county-neighbors-push-back-proposed-lithium-mine/The take away points for me were as follows:
1. The company says they will not discharge wastewater into public water sources. Instead, they plan to have an industrial wastewater pre-treatment facility on site. The company says they also plan to apply for a sewer permit so they can connect to wastewater treatment facilities in the region after the wastewater is treated internally.
2. “We will not have a wastewater discharge from those operations to public waters. Not to groundwater, not to Beaver Dam Creek, not to Little Beaver Dam Creek, or another creek or stream in the region,”
3. To mitigate traffic, noise, and dust, Piedmont Lithium says they are investing $63 million in an electric conveyer belt that will transport material from the quarry to the concentrate and chemical plants, instead of using mining trucks.
4. “Crushing in the quarry and bringing the material up in electric conveyors, which is quiet and dust-free
5. Piedmont Lithium says the electric conveyer belt, concentrate plant, and chemical plant will be indoors. A spokesperson for the company says the quarry will be the only portion of the operation that is outdoors.
6. “We don’t intend to have open stockpiles on our site. That can generate wind-blown dust,”
7. Some areas are zoned for agriculture and residential needs.
(This may indicate that some of the land is already zoned for mining.)8. Already, Piedmont Lithium says they have come to 140 agreements with property owners in the area. They say they have invested more than $27 million in properties so far.
The following link is to an article on a local radio website dated 19th July
https://www.wfae.org/energy-environment/2021-07-19/opposition-expected-when-gaston-county-lithium-mining-plan-is-unveiled-tuesdayThe take away points for me were as follows:
9. Land in question covers an area of approx 3000 acres.
( 3000 acres / 140 agreements = approx 21 acres per agreement. Based on a review on google earth there appears to be no densly populated areas within the mine footprint. My impression is that the vast majority have sold and that it is mainly neighbours who are opposing. Based on points 1 to 8 above it would appear that there are limited opportunities for locals to drive a wedge in the approvals process based on environmental concerns. Blasting over pressures, ground vibration, boundary interfaces and ground water are risk factors but these are usual in all quarries and will have been all be addressed at the Kings Mountain Mine operated by Albermarle which is in the vicinity. IMO ground water and final remediation pose the biggest risk of these.)10. The site is near rail and road transportation routes.
(This coupled with covered conveyors should all but eliminate transport and traffic risks.)
11. He (Risinger) said Piedmont Lithium has bought or contracted to buy all the land it needs for the project. (So all in the mine footprint have sold. Only those that missed out selling neighbouring land or neighbour the mine now oppose it. This appears significant to me. I interpreted reports that there were landholders in the mine footprint who would not sell.)12. could include its own on-site solar farm to power operations.
(Double tick from Mr Biden)13. When the mine closes in 20 years
(20 year mine life)I hold Lynas and note that MP mine rare earth material and ship it to China. US Defense Dept have contracted Lynas with a view to produce heavy rare earths to specification in the USA. Given that the other big lithium companies will be importing from South America and value adding in the immediate vicinity and this mine provides domestic supply security at the most competitive rate of US processors, I believe that overwhelmingly on the balance of probability that the mine will be approved. There are value add industries downstream also.
Happy to hold. I bought at 89c AUD and will look to top up at these levels to hold long term in Super. This is an ASX 200 stock so Australian Super and QSuper will allow it to be bought via the member direct option.
Trusting that time will reward the patient. Hopefully the ride is not too rough over the next 6 months.
(20min delay)