Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
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Https://www.telematicswire.net/mexico-halts-incentives-for-chinese-ev-makers/
During this meeting, Mexican officials clarified that they would not extend incentives previously awarded to automakers. Furthermore, future meetings with Chinese automakers are on hold. This decision reflects concerns about Chinese automakers accessing the US market through Mexico, potentially circumventing tariffs and other trade barriers.
The move is attributed to pressure from the US government, particularly the Office of the United States Trade Representative (USTR), which aims to prevent Chinese automakers from entering the free trade zone established under the North American Free Trade Agreement (NAFTA).
The Mexican Economy Ministry declined to comment. The office of Mexican President Andres Manuel Lopez Obrador did not immediately respond to a request for comment. A White House spokesperson affirmed President Joe Biden’s stance: Chinese vehicles threatening national security won’t inundate the US market.
They odds are stacked against the MEX GOV, it seems obvious Ganfeng were their best way to having an industry:
Lithium Americas Plunges After Shares Sold at Steep Discount
https://ca.finance.yahoo.com/news/lithium-americas-plunges-shares-sold-133628815.html
I'm not sure how they think they could improve on what Ganfeng have to offer $1bn - $3bn, mine, processing plant and recycling plant - plus they are the world number one lithium metal producer as well as forty lithium compounds in production.
I would say a dead cert battery production would be on the cards now.
The problem is the autocratic narcissist and the way he weakens the judiciary and manipulates legislation:
https://apnews.com/article/mexico-president-projects-rushing-mistakes-lopez-obrador-1d287dc9ebf4872ce7ef9e742a2bc232
On Wednesday, his party pushed through the Senate a law that would prohibit judges from blocking government projects, even if citizens file appeals against them.
Have a read to understand what we are up against, and a typical project AMLO decides will get done and Durazo is implicit.
https://apnews.com/article/mexico-train-environment-climate-rewild-biodiversity-812e0f33dea38eb41220025afdcef2fa
-----------------Last part to the REM story & Sonora------------
From the horse's mouth to El Pais, 24.10.23 [there is NO further articles from BCN'@ Mr S, so El Pais is the latest available]. Two statements from CEO of BCN: [1] Ganfeng : Sell Sonora. [2] Work round the implied "objection."?
Ganfeng's latest financials: Await legal counsel's advice on Sonora.
SEVERAL POINTS OF DISCUSSION:
[1] It is HARD to SELL any licences @Sonora once under a NATIONALISATION GOVT ORDER by the major@Gan.
This is well known & norm - title under "nationalisation" order.
[2] If still want to sell, can it be done? YES, still possible. But if one follows some examples in biz, it may be sold for "option" money? But of course, the major can try if they want to. Usually, option money is £1.
[3] REM Mexico is NOT selling their 30% @Sonora - the above principle is the reason as norm, per point [2]. So, REM Mexico has RNS 'ed that they have approached the Mexican govt which is the 1st step before any arbitration potentially.
[4] Who can the major sell Sonora to? A fellow major? If what Mr S said is correct, then it would appear the answer is NO from the govt.
[5] Gan JV proposal @Sonora: All Minister/s of gov will NOT comment when contacted.
[6] If sold, who is acceptable? From what Mr S said, it will be only from the Five Eyes: Australia, UK, Canada, N.Z & U.S countries.
[7] Is/was David Lenigas acceptable? Likely, given it is a UK co @REM plc, London and DL is Australian & Brit as well.
[8] Where is Mr S? He has been appointed executive director of an ASX co called Parabellum Resources, Mkt Cap A$3m on 9 Nov 2022. The non-executive Chairman is Mark Hohnen. This co is in REE, Mongolia. Mr Hohnen was from BCN.
[9] Mr S, per Companies House [active] is CEO of BCN. Mr S nationality on public open file at Co House: "Nationality: Australian". Training & profession: Mining Engineer.
[10] If the major wants to SELL per Mr S of BCN @CEO, then it could be sold to say, a fellow major and that may be also subject to approval or not depends on the agreements/s if any.
[11] From recall, DL said it was legally structured that REM MEXICO can SELL the 30% JV@Sonora licence to anyone they like.
[12] The 1st likely candidate? REM Mexico can sell to GAN, the major but if they did want it, they would have offered
at the same time as the BCN takeover or later but nothing to date.
[13] GAN can also per textbook theory SELL TO REM MEXICO. Again, only DL will know what is in the agreement/s.
QUESTION:
Will Sonora ever be developed, JV'ed? Yes, if text book and history of other projects go, it is possible. Who will be acceptable? That will remain to be seen. There is a lot of news passing through that the Middle Country may be subject to "sanctions" & this comes from the Uncle Sam administration? I just saw the headlines late last night so will check today.
It will take some time before any news is out, so, that's all from me. Mon, 22.4.24.
I think the Mex gov under Morena will want to take possession of the Sonora clays for as little as possible, there's no one reason they have given for the Ganfeng and REMM concessions, the mining laws, spend, environmental and the next obstacle will be the open pit mining ban:
Claudia Sheinbaum, a presidential candidate with a clear lead in polls and a member of López Obrador's Morena party, has already made promises to push for the ban.
https://www.spglobal.com/marketintelligence/en/news-insights/latest-news-headlines/mexico-s-push-to-ban-open-pit-mining-likely-to-outlast-l-243-pez-obrador-s-term-80738199#:~:text=Indeed%2C%20the%20open%20pit%20mining,recent%20polls%2C%20according%20to%20Reuters.
My view is their plan is to introduce the open pit mining ban and then develop the Sonora open pit mining using the military to circumnavigate any environmental requirements and little exposure to the media - if you look at the projects AMLO has rushed through involving the military.
There's 500 plus Amparo's from mining companies in place!
Whatever happens AMLO has to come out smelling of roses if its within his term if not then Claudia Sheinbaum will only continue under his influence.
I'll take international Arbitration as the Mexican gov seemed determined to miss an opportunity rarely seen in a lifetime to have a robust industry supporting EV's and Storage.
IMHO
P.S.
Australia is part of the 5 [[0]] =Australia, Canada, UK, New Zealand & US.
--------------Question: So is David Lenigas, an Australian acceptable to the Mexican Govt?-------
Ref: From the horse's mouth @BCN below in the article from El |Pais in English?
I have NOT told David Lenigas yet @Twitter or sent him the article from El Pais, 24 .10.23 as I just saw it tonight.
Ganfeng, a/c to |Mr Secker, CEO of BCN wants to RE-SELL SONORA now?
Who is going to buy it from Ganfeng?
Who is acceptable to the Mexican Govt from what Mr Secker himself said in El Pais above?
LoL As they say in school, should have looked before jumping in, eh?
Its like a Bond movie LoL.
I will leave Barksy1 to tweet to DL if she choses to as she is the team leader of the 5p London party.
Nice surprise for David Lenigas as he is the right nationality ie Australian and perhaps why Elon accepted for REM to be the lithium supplier to Elon of Tesla. Why Australia? Well, its a neutral country and I am sure Uncle Sam wouldnt mind Australians owning Sonora? Isnt life strange? News, Sun, 21 Apr 2024.
[1]----"Bacanora Lithium: Nothing is off the table in fight to defend Mexico concessions."- El Pais, 24.10.23----
Link: https://english.elpais.com/economy-and-business/2023-10-24/bacanora-lithium-nothing-is-off-the-table-in-fight-to-defend-mexico-concessions.html#
"...We believe from a MEXICAN point of view, it would be BETTER to have a LITHIUM HUB IN SONORA, where they could have their own lithium, producing their own batteries, supplying to their own vehicles and then DELIVERING IT INTO THE U.S." -CEO of Bacanora Lithium, Mr S.
"Suggestions that Lopez decision to CANCEL THE CHINESE CONCESSIONS has been INFLUENCED BY THE U.S, Mexico's top trading partner, are nothing but conspiracy theories. I have heard this that before.... ----------THERE HAS BEEN P O L I T I C A L MOTIVATION FOR THIS, and we just have to work round it, the executive concluded."
-----[2] "Ganfeng open to Mexico venture on canceled lithium mine."-Mining .com,10 Nov 2023.
https://www.mining.com/web/ganfeng-open-to-mexico-venture-on-canceled-lithium-mine/
"MEXICO'S ECONOMY MINISTRY, ENERGY MINISTRY & THE PRESIDENT'S OFFICE DID NOT REPLY TO REQUESTS FOR COMMENT."
"SECKER, CEO OF BACANORA LITHIUM: While the preferred outcome is to DEVELOP THE SONORA project, ---------GANFENG WOULD -----------EVENTUALLY OPT TO SELL THE SITE. --------------No one is going to invest a billion $ unless they have some kind of security..."
Comment: The above is as Phalen and others on REM forum said: it is easier to be at Hemlo and then trucking them back to the USA from Sonora. 2nd: WELL, GANFENG WANTS TO RE-SELL SONORA per Secker above. 3rd: Well, it is the US per Secker? 4th: DL is not Chinese LoL, so possibly pass.? Too late now though since REM's bid was rejected at £1 by BCN?
HISTORY NOW.
JV WITH MEX GOV - as above article - appears no progress on that re: GAN/ So, latest GAN accounts , they are waiting for counsel's advice but so far no sound yet. So, that concludes the HISTORY of Sonora until as and when. That 's all folks. Thank you. News, 21.4.24 [Sun]
[1] ROAD PIC OF SONORA DATED APR 21, 2021 @BACANORA LITHIUM ON TWITTER POSTED BY THEMSELVES:
Link: https://twitter.com/BacanoraL/status/1387280538109624321 [See detailed tweet]
[2] "BACANORA LITHIUM & GANFENG ANNOUNCE TERMS OF POSSIBLE CASH OFFER FOR BACANORA."-DATED 6 MAY 2021.
https://twitter.com/BacanoraL/status/1390275707914313728 6 May 2021.
[50 replies in the thread. LoL- 1 of the posters here is repeating the same thing he said on this forum. ]
[2nd and last tweet AFTER the above tweet with pic. So, ---------15 DAYS LATER-----------OFFER.
This is the last Bacanora tweet and pinned].
If I were the Mex gov, I would take up the Ganfeng offer - even where the grass might seem greener!
https://www.mining-technology.com/news/lithium-americas-thacker-pass-project/?cf-view
Lithium Americas launches $275m offering for Thacker Pass project The company intends to sell 55 million shares at $5 each through the offering.
The commencement of Phase 1 production is targeted by 2027, with the lithium produced expected to qualify electric vehicles for consumer incentives under the US clean energy tax credits programme.
Last month, Lithium Americas secured a conditional commitment for a $2.26bn loan from the US Department of Energy to construct processing facilities at the Thacker Pass mine.
That was all on the table for Sonora and would have been producing by now. Not forgetting Ganfeng were involved with Thacker Pass and took on Sonora, likely due to Trump rhetoric at the time.
Good@jimb2
I thought about posting for some time but this Sunday, I decided many people who went to the 5p party may never find out so perhaps I should post it on the open forum so that folks are aware that the 5p REM London party figure was not pie in the sky kinda of cals. In fact, had there not been talk of nationalisation, it would have gone for the price nearer US$400m as mentioned by DL vs US$391m offered by the major for BCN. So, 5p was modest given 2.25p was £90m market cap which REM hit at one stage ie 2.25p. DL did his best but history records that there are many stones on the way. In my view, DL was smart to rush everything. Maybe, he knows that slowly, slowly might have an opening ie excuse? But that is up to the other side what they decided. But the moral of the story ends with: UP TO US$600 BILLION is something out of this world. Even Solgold's Cascabel etc is valued at $150bn and Solgold's mkt cap even today is £288m @9.6p [52 wk high 20.61p and low 5.67p]. So, the decision to DO road clearance was all not up to REM by then. The gov said that Sonora was NOT progressing the project kinda of thing and that it was for SPECULATION. Whether the chefs at Sonora can win it back, one doesnt know as that will await further developments. But if it goes to international arbitration, it will cost many millions because it will take at least 2 years to the final hearing at the earliest. It is going to be tough to argue it out and that will take some arguing with precedent law case quoted if any to prove it was not speculation. It is norm in Courts, just saying so is not enough and where is the PROOF? Ah, that is another day in Court. However, IF KDNC could put in the claim with the govt, then I am sure DL got it covered ie they did the scoping study, got Tesla off-take which would have opened the doors to capex and Seeking Alpha USA said so. Even Seeking Alpha was impressed and stunned that a small co like REM could get Tesla off-take, the No 1 electric car co in the USA. So, looks as if REM Mexico has enough proof they intended to take the project forward given DL went to one clay lithium based co to find out how to do the roasting for clay. Otherwise, the gov would not even entertain the submission by REM Mexico nor would Clifford Chance, such a world renowned global law firm have taken it on given they would have egg on their faces to even attempt it with the gov saying it was for speculation, hence taking back the Sonora licences. Anyhow, hope it turns out for REM Mexico . But I hope knowing the story HISTORY NOW will help to fill in the missing bits. Thank you. News, Sun, 21 Apr 2024. Nothing more to say after this.
Yes @News
I do recall
@jimb2
Not sure if you were here @REM plc on this forum but it was like a "mad" house with hundreds of posts running into the night. Ask Barksy1 as we all had a lot of fun then. Everyone was chirping on. PALEN and many others said that the NEAREST for SONORA is to just cart the LITHIUM across from SONORA , Mexico over to the USA BORDER and TESLA was close by. SOME EVEN SCREEN SHOT MAPS OF SONORA , MEXICO TO THE TESLA FACTORY OVER THE MEXICO BORDER and onto USA @Tesla. CHEAPER and DEMAND was there and they wanted lots of lithium, so it made LOGISTIC SENSE. EVERYONE AGREE @REM PLC FORUM THEN. Exporting abroad needs to get to A PORT, then by SHIP and then dock and into containers, then ON AND ON. SHIPPING COST, TIME TAKEN ETC = not so profitable. ACROSS THE BORDER AND NOT TOO LONG A DISTANCE BY ROAD OR TRAIN AND ROAD, NOT SURE as it was a long time ago this was all discussed.
OTHERWISE, WHY DL GOING TO TESLA TO GET THE OFF-TAKE?
So, what the chefs say to the Brits is not what is actually happening cos the tweet is from DL and the article is what the chief of BCN told the Mexican gov etc. EVERYONE ALSO KNOWS THAT GANFENG SUPPLIES TO TESLA -that is in the public domain. So, us on REM plc here did KNOW anyway who Gan supplied to ie Tesla and others. All public knowledge. Too long now to call up as REM plc has been deleted by this site. But that DL TWEET IN REPLY AS SAID AND THE ARTICLE BY JORNADO, MEXICO, the leading publication IS PROOF and EVIDENCE OF WHAT I SAID. Hope that clarifies. Sun, 21.4.24.
@jimb2
The reason why I dont post on this forum is that I dont want to argue over small details. Just I regret posting on KDNC.L telling Observer842, it isnt going to £5 soon. But my purpose to post is that since I was IN on Day 1 of REM plc, I can tell the story and it should be told otherwise, there will be a lot of upset over the 5p party in London. I did not attend as I dont live in London.
Here is the PROOF: It is from DAVID LENIGAS HIMSELF to an article which states TESLA @BCN/GANFENG.
Link: https://twitter.com/DavidLenigas/status/1375127025653059588 dated 25 Mar 2021 , 4:46.
David Lenigas tweeted: "I HAD THEM A DEAL WITH A TESLA AND CURRENT BOARD KILLED IT. FUNNY HOW THEY WANT BACK IN. GREAT ANYWAYS. GREAT FOR KDNC."
CLICK THE TWEET OPEN AS DAVID LENIGAS WAS COMMENTING ON AN ARTICLE BY THE RENOWED MEXICAN PUBLICATION, JORNADA, MEXICO DATED 25 MAR, 2021 WHICH TRANSLATED INTO ENGLISH BY TWITTER AS :"BACANORA LITHIUM , the English mining co that owns the most important lithium deposit in Mexico which has not yet entered the production phase, ------------WANTS TO BE A SUPPLIER TO THE ELECTRIC CAR MANUFACTURER T E S L A ."
One can also see the article by the leading Mexican publication, Jornada in Spanish that SAYS "BACANORA LITHIUM AND AT THE END T E S LA ." In Spanish: "ser proveedor ...de auto TESLA." Press Translate on Twitter icon to check.
The picture used by Jornada re: this article shows THE MEXICAN PRESIDENT and battery.
COMMENT: AH, YOU MUST HAVE MISSED IT JIMB2 as a lot of REM holders saw it and GOING BY THE RE-TWEETS AND LIKED. I think Barksy1 may have seen it but I posted it on KDNC.L some time ago what D.L said. Even he was quite stunned hence when that article was sent to him, he replied. THAT WAS HOW WE LOT CAME TO KNOW WHAT REALLY HAPPENED RE: REM AND TESLA OFF-TAKE OBTAINED BY DL. DL showed us a pic of him at Tesla plant. I didnt recognise the Tesla Plant but many did on this forum then @REM P{Lc. Not sure if you were here or you follow DL but many of us follow DL on Twitter and if we find something, we send it to him on public open file so every sees it. Hope that clarifies. Ah, many things were told but one finds that what they told the MEXICANS IS DIFFERENT OFFICIALLY ETC. But no, they never told DL either, hence he was stunned and let the cat out of the bag that they "killed" the Tesla deal @offtake he got for REM/BCN. OTHERWISE, WE WOULD NOT KNOW IE US HOLDERS THEN. DL never TOLD HOLDERS WHY THE TESLA DEAL WAS NOT ;FOLLOWED THRU. BUT I THINK BARKSY1 KNOWS as quite a few of us saw what DL said himself and what happened to the Tesla deal. ALL HISTORY NOW.
@News.
all output was destined for China, Korea and Japan mentioned here, Peter Secker on the REM bid
https://youtu.be/e3yTED79Dhg?si=iwQzok8oWSNA1ATt&t=1404
Peter Secker never considered the US as a market when DL was touting Tesla, I recall later he included Europe and then much later the US, but of course the inflation reduction act wasn't on the horizon back then.
In that clip, imagine if you were to suggest $82,000/t
I still think Hanwa was our missed opportunity if they had delivered on the investments in addition to the off-take - if only!
DL was talking $6,000/t
...... Cos it's not up to us to decide when to ship the stockpiles as you should know
If iron is at recent highs why haven’t we resumed shipping ore?