Jack Lifton with Neo Lithium’s Gabriel Pindar, says “the lithium market is a permanent bull market at this time”

In a recent InvestorIntel interview, Jack Lifton speaks with Gabriel Pindar, COO and Director of Neo Lithium Corp. (TSXV: NLC | OTCQX: NTTHF) about Neo Lithium’s latest updated results that “…confirm that 3Q Project is one of the most significant lithium brine discoveries in recent history” (source).

In this InvestorIntel interview, which may also be viewed on YouTube (click here to subscribe to the InvestorIntel Channel), Gabriel went on to say that further to the 125% increase in resource at their 3Q Project located in the Lithium Triangle: “The company expects to begin commercial production of lithium carbonate in the last quarter of 2023 reaching full production of 20,000 tons per year in 2025.”  Jack then comments on the Neo Lithium deal with CATL. CATL, which is the largest EV battery producer in the world, is a strategic partner with Neo Lithium. Gabriel draws Jack’s attention to the competitive cost for extraction, Jack adds “the lithium market is a permanent bull market at this time”.

To watch the full interview, click here

About Neo Lithium Corp.

Neo Lithium Corp. has quickly become a prominent new name in lithium brine development by virtue of its high quality 3Q Project and experienced team. Neo Lithium is rapidly advancing its 100% owned 3Q Project – a unique high-grade lithium brine lake and salar complex in Latin America’s “Lithium Triangle”. The 3Q Project is located in the Catamarca Province, the largest lithium producing area in Argentina covering approximately 35,000 ha including a salar complex of approximately 16,000 ha.

To learn more about Neo Lithium Corp., click here

Disclaimer: Neo Lithium Corp. is an advertorial member of InvestorIntel Corp.

This interview, which was produced by InvestorIntel Corp. (IIC) does not contain, nor does it purport to contain, a summary of all the material information concerning the Company” being interviewed. IIC offers no representations or warranties that any of the information contained in this interview is accurate or complete. 

This presentation may contain “forward-looking statements” within the meaning of applicable Canadian securities legislation.  Forward-looking statements are based on the opinions and assumptions of management of the Company as of the date made. They are inherently susceptible to uncertainty and other factors that could cause actual events/results to differ materially from these forward-looking statements. Additional risks and uncertainties, including those that the Company does not know about now or that it currently deems immaterial, may also adversely affect the Company’s business or any investment therein.

Any projections given are principally intended for use as objectives and are not intended, and should not be taken,  as assurances that the projected results will be obtained by the Company. The assumptions used may not prove to be accurate and a potential decline in the Company’s financial condition or results of operations may negatively impact the value of its securities. Prospective investors are urged to review the Company’s profile on www.Sedar.com and to carry out independent investigations in order to determine their interest in investing in the Company.

If you have any questions surrounding the content of this interview, please email info@investorintel.com.

Neo Lithium reaches nirvana with 125% increase in resources

Whenever someone mentions lithium to me, the first thing that pops into my head is Kurt Cobain and Dave Grohl. Obviously, I’m still stuck in the 90’s thinking about great songs like this Nirvana offering. The recording of which is arguably responsible for Dave Grohl joining the iconic band. But when I drag my head out of the clouds and back to today the most important lithium going is the commodity that is vital to the build out of electric vehicles, consumer electronics and various energy storage applications involving rechargeable batteries. You’ve heard us go on and on at InvestorIntel about the importance of lithium, perhaps no more clearly than this article by Jack Lifton (a must read). So I won’t pound the table anymore on that topic as long as you read Jack’s article.

So what if there was a junior miner that just announced a 125% increase of measured and indicated resources in their lithium brine project in Catamarca Province, Argentina. I bet that would get you pretty excited. Well, you are in luck. Neo Lithium Corp. (TSXV: NLC | OTCQX: NTTHF) just announced exactly that at their Tres Quebradas (3Q) project.

The Company’s 3Q project is located in the southern end of the “Lithium Triangle” in the Puna Plateau, where over 40% of global lithium is produced. The area is characterized by high altitude salt flats, many of which contain elevated lithium concentrations. The largest lithium brine mines and projects in the world are located in salars (a salt-encrusted depression that may or may not be the basin of an evaporated lake) in the Lithium Triangle including Atacama Salar (SQM and Albermarle), Cauchari-Olaroz Salar (Orocobre and Lithium Americas) and Hombre Muerto Salar (Livent and Galaxy). Neo Lithium is in the same neighborhood as all the big names in lithium.

Source: Corporate Website

This resource increase was a function of the latest drilling results announced by Neo Lithium on May 27th where the company intercepted a new deep brine aquifer, located outside the area which resulted in the Company’s previous Mineral Resource Estimate prepared by Groundwater Insight Inc. with an effective date of August 14, 2018. So they gave Groundwater a call and asked them to work on a new resource estimate using the results from the new wells. Those results are summarized as follows (lower right of the table is the impressive 125% increase):

Source: Corporate Press Release

As an investor trying to make a decision on whether this is a good stock to buy or not, let’s have a look at some of the other important facts about Neo Lithium. Notwithstanding the overall outlook for lithium, which I promised not to keep droning on about, there are several corporate specific items that are key. The Company has a lot of money to begin the commercial development of this project, $59 million at the end of March. They have the world’s largest battery manufacturer Contemporary Amperex Technology Co. Limited (CATL) – a global leader in the development and manufacturing of lithium-ion batteries and the world’s No. 1 ranked EV battery producer – as a strategic investor (8% equity interest), including a seat on the board. A pre-feasibility study, done prior to the latest resource increase, had a 50% IRR, $1.1 billion after tax NPV (8% discount rate), and a 1 year 8 month payback period.

Additionally, the 3Q project is 100% owned and Neo Lithium controls the entire salar which still has exploration upside. The high-grade core of the 3Q project is 3rd highest grade lithium project in the world, 4th best on overall average grade. The low impurities contribute to this project being estimated to be in the lowest quartile OPEX in the industry at US$2,900/t. Pilot plant operations have run for over a year achieving battery grade quality (99.797% lithium carbonate) and pleasing CATL with the results. Similar processing operations have run in the area for over 20 years, so it’s not like this project is reinventing the wheel, perhaps just advancing a better way to power the wheel.

All of this make 3Q one of the best undeveloped lithium projects worldwide. But there’s the key – undeveloped. So what’s next for Neo Lithium? The Company plans to complete the final feasibility study in Q3/21 at which point it will finalize financing discussions with CATL, assuming they’ve obtained the Environmental Impact Assessment. At that point, they can start executing a construction plan and get this impressive project making all that money that the PFS indicated was there for the taking, assuming lithium prices remain strong but we’ve already covered that!

Neo Lithium’s Gabriel Pindar on the rising demand for lithium in electric vehicles

In a recent InvestorIntel interview, Tracy Weslosky spoke with Gabriel Pindar, COO and Director of Neo Lithium Corp. (TSXV: NLC | OTCQX: NTTHF) about their recent news release about CATL increasing its investment in Neo Lithium.

CATL is one of the largest battery manufacturers for electric vehicles in the world which made a strategic investment in Neo Lithium in September last year. In this InvestorIntel interview, which may also be viewed on YouTube (click here to subscribe to the InvestorIntel Channel), Gabriel went on to say that CATL is expanding its plants globally and “for every one of those plants they will need more materials. That is why they are talking to us about lithium.”

Neo Lithium was recently named to the 2021 OTCQX® Best 50. Speaking on the competitive advantages of Neo Lithium’s 3Q Project, Gabriel said that it is a high-grade lithium brine project which is “one of the lowest impurity projects in the market” which allows for efficient lithium carbonate production.

To watch the full interview, click here

About Neo Lithium Corp.

Neo Lithium Corp. has quickly become a prominent new name in lithium brine development by virtue of its high quality 3Q Project and experienced team. Neo Lithium is rapidly advancing its 100% owned 3Q Project – a unique high-grade lithium brine lake and salar complex in Latin America’s “Lithium Triangle”.

The 3Q Project is located in Catamarca Province, the largest lithium producing area in Argentina covering approximately 35,000 ha including a salar complex of approximately 16,000 ha.

To learn more about Neo Lithium Corp., click here

Disclaimer: Neo Lithium Corp. is an advertorial member of InvestorIntel Corp.

Global leader in lithium-ion batteries invests in what many believe will be the next major lithium producer

There is a very high probability you are reading this on your smartphone, tablet or laptop. If that is the case, you know the value of lithium, because it’s in the battery powering your device.

Until some better storage system comes along, lithium-ion batteries are the industry standard. There is much talk about improving lithium battery performance using platinum group metals, carbon nanotubes etc., but that is not now.

Lithium is not like oil – it’s pretty much everywhere on Earth, according to Elon Musk. But like oil, the devil is in the details – extraction costs are key.

Enter Neo Lithium Corp. (TSXV: NLC | OTCQX: NTTHF), a C$110 million market capitalization company that proudly proclaims to be “the next major lithium producer” with its Tres Quebradas (3Q), located in the Lithium Triangle in South America. The project is located at the southern end of the triangle in northern Argentina.

Source: Neo Lithium

Lithium is mainly sourced via hard rock mining (spodumene) or brine production. The majority of the mining projects are located in Australia while brine production is centered around the Lithium Triangle, which has an estimated 75% of global lithium reserves according to the US Geological Survey, although other reports state that the area only contains just over 50% of global reserves. In any event, the area does account for 40% of global lithium production and 90% of global brine production.

Brine production of lithium in South America is in the high altitude (~4,000 meters elevation) salt flats (salars) in the Lithium Triangle and is accomplished through a pond evaporation process. The Lithium Triangle is ideal for this, as it is characterized by very arid conditions, solar radiation and dry winds, resulting in high evaporation rates. Lithium brine extraction in the area has been underway for more than 25 years, so this is not “new” technology.

Like any commodity, the view to significantly increased demand in the past 5 years resulted in a rush to develop new lithium mining projects. This led to an oversupply situation and a significant downturn in lithium prices in 2019. But, with the rush to electric vehicles, absent any new battery technology, experts anticipate a ten-fold increase in demand for lithium over the next decade and only a three-fold increase in supply in the next five years – demand could outweigh supply and result in significantly higher lithium prices.

OK – now you understand….lithium may be a great place to invest for the future.

Neo Lithium is well on its way to becoming one of the next lithium producers in the Lithium Triangle. The Tres Quebradas project is 100% owned by the company and was discovered in 2015, so this is not something that is just a concept project. A preliminary economic assessment was completed in late 2017 and an updated resource estimate (NI 43-101) was completed in July 2018 with a 227% increase in Measured and Indicated categories. The results of a Preliminary Feasibility Study were announced in March 2019 with a $1.1 billion NPV at 8% discount rate ($587 million NPV at 14%) and an Internal Rate of Return of 50%. In addition, a pilot plant began operations in 2019 resulting in 99.1 % lithium carbonate in the first batch, improving to battery grade lithium carbonate (99.6% lithium carbonate) from the pilot plant in March 2020.

A long five year journey through discovery, evaluation, permitting and pilot plant has confirmed that this project has a high grade, low impurity deposit. The final feasibility study is currently underway and expected as early as Q1-2021 along with the final EIA for the final construction permit. The company believes that the Tres Quebradas project is the third highest grade project in the world and the chemical makeup of the deposit should result in low operating costs and resultant high profitability.

To confirm this sentiment, a subsidiary of Contemporary Amperex Technology (CATL), a leading Chinese battery manufacturer and technology company, entered into an equity subscription agreement in September 2020 to invest $8.6 million in new equity in the company. CATL will have Board of Director representation and pre-emptive rights to participate in future equity offerings to maintain its proportionate ownership.

The investment by CATL increases the company’s cash holdings to approximately $37 million and aligns Neo Lithium with a significant global lithium-ion battery maker that specializes in the manufacturing of lithium-ion batteries for electric vehicles and energy storage systems, and battery management systems. It should also give the company access to additional expertise for future development.

There is no question that the world needs more lithium. As with any commodity, supply and demand are rarely in balance, so the best-in-class companies are always the lowest cost operators with the best resources. The company is one of 86 companies presenting at the 121 Mining Investment Online conference October 28-30, 2020. More exposure for a developing story and more investor interest is always good for a publicly listed company like Neo Lithium.

An early stage buying opportunity and the “impending lithium boom”?

2018 was a weird year for the electric vehicle metal miners. While we saw a massive 70% growth in electric car sales in 2018, most of the lithium/cobalt/graphite/nickel miner’s stock prices fell in the wake of some oversupply fears and concern over the trade war and China’s slowdown. Of course for greater context it should be noted that 2016 and 2017 saw stellar years with many electric vehicle (EV) metal stocks doubling, tripling or more.

What will 2019 bring? Analysts are somewhat mixed in their 2019 forecasts. For lithium some are forecasting oversupply and weak lithium prices, while others maintain lithium prices will remain high due to strong demand and the typical lithium supply lag.

Bloomberg’s annual electric vehicle sales forecast – 30m pa by 2030, 60m pa by 2040

What we can say with some confidence is that any junior EV metal miner that can make significant progress towards production is likely to do well, especially assuming electric vehicles continue to grow rapidly. It is easy to forget we may be looking at a 54 fold increase in electric cars between 2017 and 2040, based on Bloomberg’s forecast. Other research firms are increasingly making similar forecasts, and the battery supply chain is gearing up with 68 mega-factories already in the planning or construction stage. Many cities and countries are even banning or punishing petrol or diesel cars to reduce carbon emissions.

All this means that from now to 2040 at least, we are very likely to see an unprecedented demand pull on the EV metals – Lithium, cobalt, rare earths, graphite, nickel, and copper. The chart below (courtesy of Bloomberg) shows the impact that a 100% EV world would have on the key EV metals, noting those with smaller markets like lithium and cobalt would feel the greatest impact. Lithium would see a 29 fold demand increase.

EV metals demand in a 100% EV world

Where will all this lithium come from?

Exploration companies have a great interest in the vast Lithium Triangle in South America that covers Argentina, Chile, and Bolivia. It has been estimated the Lithium Triangle hosts about 54% of the world’s lithium resources. Argentina produces approximately 16% of the world’s lithium, making the country, the 3rd largest global producer in 2017. The lithium in these areas is in salt lake (salar) brines.

Argentina Lithium and Energy Corp. (TSXV: LIT | OTCQB: PNXLF) is part of the Grosso Group, a resource management team that pioneered the mineral exploration industry in Argentina. The group believes it can build value for its shareholders by capitalizing on its team’s experience and success to acquire the best underexplored and undeveloped lithium projects. The global demand for a greener future is a goal which Argentina Lithium believes it can support through exploration for alternative fuel materials in Argentina’s lithium salars. The Company’s focus is on its two lithium properties within the Lithium Triangle.

Argentina is part of the lithium triangle

The Incahuasi Salar 

Covering over 25,000 hectares the 100% owned Incahuasi Salar is located in Catamarca province. Argentina Lithium believes Incahuasi is underexplored, and in particular supports conditions for quality lithium brines at depth. Initial sampling has returned up to 409 mg/L lithium, and 1.56% potassium, which are quite promising initial results.

Salar de Antofalla

The Project covers over 14,000 hectares that includes a 100% interest in approximately 9,000 hectares of mining claims with option agreement to earn a 100% interest in three additional properties totaling over 5,300 hectares. Reported grades from the salar include 350 mg/L lithium and 6,400 mg/L potash.

At the helm of Argentina Lithium is President and CEO Mr. Nikolaos Cacos. He brings over 25 years of management and advisory expertise in the mineral exploration industry to the company and has worked with the Grosso Group since inception. He currently serves as an officer and director of a number of TSX Venture Exchange listed companies.

Lithium is about to support almost every major energy source that we need, and the vast Lithium Triangle in South America holds over half of the globes lithium resources. The impending lithium boom could be similar to the oil boom after the gasoline car was revolutionized by Henry Ford in 1908 with the Model T. Today we have the Tesla Model 3.

Argentina Lithium focused on lithium’s green energy revolution

The Lithium Triangle, that includes parts of northwestern Argentina, produces about half of the world’s lithium, and hosts approximately 70% of known global lithium reserves. Argentina produces approximately 16% of the world’s lithium, making it the third largest global producer.

Argentina Lithium and Energy Corp. (TSXV: LIT | OTCQB: PNXLF) has two large projects amounting to approximately 50,000 hectares in the heart of the triangle. The Company is focused on acquiring high quality lithium projects, and advancing them towards production in order to meet the growing global demand from the battery sector.

Argentina is part of the lithium triangle

The Incahuasi Salar Project

The Incahuasi Salar has characteristics prospective for lithium-rich brines. The Incahuasi Salar stretches 17 km north-south and extents 2.5 km east to west. The Company has 100% control of the salar and basin that covers over 25,000 hectares with no royalties or option payments. Initial sampling of near-surface brines has returned up to 409 mg/L lithium, and 1.56% potassium, with 52 reconnaissance pit samples taken at a depth of a maximum of 8 meters. The average was 62 mg/L lithium, 4661 mg/L potassium and 9800 mg/L magnesium. Investors should note these are only surface indicators and drilling is required to get accurate results. Geophysical surveying indicates the potential for lithium-rich brines at depth. So far the 4 drill hole results had an average of 109mg/L lithium.

The Antofalla Project

The Antofalla Project includes over 14,000 hectares on the Salar de Antofalla in Salta Province, Argentina. This includes a 100% interest in approximately 9,000 hectares of mining claims in the north end of the Salar de Antofalla and an option agreement to earn a 100% interest in three additional properties totaling over 5,300 hectares situated adjacent to the staked properties. Reported grades from the salar include 350 mg/l lithium and 6,400 mg/l potash. The Salar de Antofalla is approximately 150 km long and 5-7 km wide, and is situated at 3,900 meters elevation. The salar is accessed by Provincial highway 43 and unpaved roads, with the small town of Antofalla approximately 50 km to the south and the city of Salta approximately 500 km away. The geophysical survey has been completed finding high-conductivity targets identified in the upper 100 m and additional targets at depth, with drilling to follow.

Argentina Lithium’s two projects in northern Argentina

Argentina Lithium & Energy Corp. is a member of the Grosso Group, a private management company founded in 1993 that is recognized as a leading pioneer of mineral exploration in South America. The Grosso group operates with the objective of creating investor value through growth of publicly listed companies. The Grosso Group has been following the lithium battery sector and believes this is the time to expand its efforts in lithium resource development in the highly prospective Argentinean portion of the Lithium Triangle.

Lithium is the green revolution. There’s a bright future ahead of us with a reduced reliance on fossil fuel produced energy. Maybe the greatest benefit will be from the massive uptake of electric vehicles. Networks are also getting faster and communication devises are getting smarter. 5G is almost with us now, which will mean new and more mobile phones and tablets. There is one thing you can be certain about, these new markets are going to need lithium batteries, and hence new lithium mines.

A pure play lithium miner with cash and zero debt attracts Galaxy interest.

The salt flats of Chile, Bolivia and Argentina hold the bulk of the world’s supply of lithium. These stunningly beautiful salt flats form a region that has become known as the Lithium Triangle. The demand for lithium is expected to at least triple by 2025.

Australian based Galaxy Resources Limited (ASX: GXY) engages in the production of lithium concentrate, with their flagship project Sal de Vida (Salt of Life) located within the Lithium Triangle, in Argentina. The Company also holds 100% interest in both the Mt Cattlin lithium spodumene mine in Western Australia, and the James Bay lithium spodumene project in Quebec, Canada.

Sal De Vida – “Salt of life”

Sal de Vida

Sal de Vida (SDV) is one of the world’s largest and highest quality undeveloped lithium brine deposits with significant expansion potential. Galaxy controls 100% of the brine mineral rights covering more than 385 square km.

The Sal de Vida brines average about 780 mg/L lithium which is good. They also have potassium concentrations averaging around 0.87 mg/L potassium, with low sulfate and magnesium which is also advantageous (high magnesium content can increase the production costs of lithium carbonate).

In May 2018, an updated Feasibility Study (FS) was released supporting a low cost, long life lithium and potash operation. The updated FS estimated a post tax net present value (NPV) of US$1.48 Billion, with a post-tax IRR of 26.9%, over a 40 year mine life. Average annual revenue was estimated at US$360M and EBITDA at US$270M. CapEx was estimated at US$474M and ongoing expenses at US$3,144/t LCE. Clearly SDV economics are impressive and it looks like it will be a very profitable project. The planned development can use modular designs giving flexibility to add units to upscale the capacity of 25,000 tonnes per year of lithium carbonate and 95,000 tonnes of potassium chloride.

Galaxy’s Q3 activities report

As of the 30th of September 2018 Galaxy had US$54.7M in cash and liquid securities and zero debt. In addition, a US$13.3M payment for a shipment completed in late September was received in early October.

During the past quarter, Galaxy entered into a binding agreement with POSCO to sell a package of tenements located on the northern area of the Salar del Hombre Muerto in Argentina, for a cash consideration of US$280M. In early October, POSCO transferred US$257M into the designated transaction escrow account at HSBC. These funds will be released to Galaxy upon receipt of the tenement transfer deeds which is expected to be released by the end of October 2018. Note that the sale of the northern tenements does not impact Galaxy’s NPV on Sal de Vida as they were not included.

Adding all the cash Galaxy will soon be at about US$348M, which goes a long way towards the US$474M to start Sal De Vida.

Mt Cattlin Spodumene Mine update

During Q3, the Galaxy commenced a 30,000 m drill program in support of exploration, resource and reserve development at Mt Cattlin. As the dry season in Western Australia approaches, exploration activities will include a further round of ground penetrating radar (GPR) west of Mt Cattlin and completion of ongoing geochemical sampling programs confirming earlier GPR work. An updated resource and reserve estimate is expected early in Q1, 2019.

Galaxy Resources’ Mt Cattlin lithium mine

James Bay Spodumene Project update

The James Bay lithium pegmatite project contains indicated resources of 40.3 million tonnes grading at 1.4% Li2O. The deposit occurs at surface and resource modeling indicates it is amenable to open pit extraction. There is excellent potential to increase the resources through additional delineation of the pegmatite dykes along strike and at depth and potential to increase grade through infill drilling. Galaxy is steadily progressing the project towards a Feasibility Study.

If you look from a distance it spells. “Invest in Galaxy”

Galaxy Resources continue to give investors a lower risk, high reward, pure play lithium miner with an achievable pathway ahead which should significantly reward long term investors. Cash flow and reserves are excellent, and several near term catalysts exist. The big one would be a project partner or funding decision on Sal De Vida. Put simply, Galaxy is a great buy.