Neometals’ on lithium, vanadium and building a better battery
January 13, 2015 — In a special InvestorIntel interview, Publisher Tracy Weslosky speaks with Christopher Reed, Managing Director for Neometals Ltd. (ASX: NMT) InvestorIntel discuss their core focus towards the development of their lithium, vanadium and battery technology
Tracy Weslosky: I’m very pleased to have an opportunity to speak with you ever since I first read Christopher Ecclestone’s analysis of what was Reed Resources, but, of course you’ve changed your name.
Chris Reed: Yeah. Look, that’s correct. We’ve changed our name to NeoMetals. New metals, lithium to titanium to really reflect our core focus. We’ve divested all our gold assets and we’re focusing on lithium and titanium.
Tracy Weslosky: Okay, this a very exciting topic for our audience as Chris Berry on was explaining that lithium was going to be the hottest metal, energy metal, in 2015. Do you agree?
Chris Reed: I’ve got to admit that there’s some bias there, but I wholeheartedly agree. The fundamentals and the projected demand are far in excess of any commodity that that’s at this stage.
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Tracy Weslosky: I think what a lot of investors are going to be very interested in is that last news release about a patent for lithium hydroxide processes. Is that correct?
Chris Reed: That’s correct Tracy. We’ve got a technology now that will enable us to produce lithium hydroxide, which is a far better battery material than lithium carbonate. At, you know, lower (inaudible) costs, certainly down there with the lowest cost producers. We’ve patented it in Australia and worldwide we’ve got applications in. It’s a key value driver for us.
Tracy Weslosky: You seem to be quite a visionary to be directed into the battery business — of course, you mentioned your family’s been in the mining industry for several generations?
Chris Reed: Yes, a couple of generations. Born and bred in Kalgoorlie, which is only 40 kilometers away from our lithium deposit and Australia’s mining capital. With regards to batteries, the electrification to transport is a megatrend. It’s not really an economic cycle. Irrespective of what happens in the world GDP we can see the world moving into this, you know, hybrids and fully electric cars. Mount Marion was an advanced project. It’s been known about for 40 years. Didn’t produce a lot of technical grade like spodumene like Greenbushes’ so it sat there until this technical demand, this battery demand came along, which means you have to purify the ore. We recognized a trend. We acquired good capital resource. We got a low-cost processing technology. We think we’ve got the right elements there.
Tracy Weslosky: You also have a strategic partnership you have with Mineral Resources because of course, you’re planning on working towards the battery market. Can you tell us a little bit more about this partnership?
Chris Reed: Yeah, absolutely. The two stages, one, we’ve got to make a lithium concentrate, two, then we have to process that into a lithium chemical. The lithium concentrate operation, we chose to joint venture with Mineral Resources because they are Australia’s largest contract processor of minerals….to hear the rest of the interview, click here
Disclaimer: Neometals Ltd. is an advertorial member of InvestorIntel.
An accomplished entrepreneur and corporate finance professional, Tracy Weslosky is the CEO for InvestorIntel Corp. and the VP of Business Development for Bellotti Capital Partners ... <Read more about Tracy Weslosky>