Member Info for ChameleonMan

Interesting comparison with SAV?

Hats off to Infinity Lithium. In spite of losing their investigative permit for their San Jose Spain project, they announce a letter of intent with LG Chem for a 5-year offtake deal.

https://www.electrive.com/2021/06/28/lithium-infinity-to-supply-lg-es-with-spanish-lithium/

So Europe’s desperately needed lithium would be exported to South Korea?! A nudge to the Spanish authorities perhaps who need to reissue the permit before the deal is ratified?
Well if IL can pull that off then surely SAV, that ticks so many more boxes, has a decent chance of striking an offtake deal sooner rather than later?

Malik has done a great job of pointing out the apparent misalignment of valuations for lithium stocks. While everything he says seems to make sense I adopt the strategy that any and possibly every European lithium junior is going to do well and it’s probably best to hold them all. However I still believe that SAV is best placed and undervalued so keep most of my investment here. One day there will be a major breakthrough announced.

Like most industry trade associations around the world it enables the industry to speak with one voice and that opens doors to dialogue with government bodies. Very positive development.

The point that 4K is making (if not obvious) is that it’s not always easy to get a quote to sell 1Million shares in one go. There is underlying demand as you would expect leading up to reasonable expectations of transformational news.

Had a few myself this morning!

The Barroso Mine is an indispensable project for the future of the region, Portugal and the European Union. This project is a prime example of those investments in which everyone can stand to gain – from investors to local communities – and share benefits.

In fact, a serious and honest discussion must necessarily conclude that, in this project, everyone will be able to extract considerable benefits.

Let's see: the Barroso mine is currently the most significant lithium spodumene exploration project in Western Europe, therefore vital for an effective transition to clean and sustainable energy. In other words, it is a decisive project for environmental sustainability and for Europe.

On the other hand, the very positive socio-economic impacts it will bring to the Boticas region make this project not only decisive for local communities and businesses, but also for the country. About 110 million will be invested, 215 direct jobs will be created, and 500 to 600 indirect ones. An additional €7 million investment over the life of the mine will be made for direct benefits to local communities.

And all with reduced environmental impacts, which can be eliminated or mitigated, as shown in the Environmental Impact Study, which is under public consultation. Also in the environmental area, an investment of more than €15 million is planned in measures to eliminate or reduce potential social and environmental impacts. The Community Information Center, in Covas do Barroso, was reopened and has a new feature: a 3D model of the project, allowing you to understand how the project will be built and how it will be implemented in the place, giving a closer perspective of reality. Since the project is still in the preliminary study phase, the model can be adapted to the possible changes needed, with three alternative options, and, if approved, other changes can be proposed.

In this space, everyone can get to know the details of Savannah's commitment to developing a sustainable and responsible project that will bring added value to the region and its communities.

But access to information does not end here. There is the website www.minabarroso.pt, which is constantly updated, newsletters regularly sent to the community with information about the project, and also various content promoted in the local media.

All to allow all interested parties to access as much information as possible about the merits of the project.

Savannah's pillars are clear: sharing and transparency.

Sharing benefits, information and solutions to everyone's concerns. Transparency about project objectives, implementation and execution. In short, the project is environmentally viable. It is essential for a clean energy transition and is a beacon of economic and social development for the region. All this with Savannah's commitment to mitigate and eliminate negative impacts and develop, together with local communities, a benefit-sharing plan and a good neighbor plan.

An inves

Assuming the royalty IS payable, would it not be as gold is produced rather than up front? Some ARCM clarification would be helpful.

So the target if I understand correctly is…..“ If, within 2 years of the Disposal, the Šturec JORC Indicated and Measured Resource exceeds 1.5 million ounces gold at a grade greater than 2.5g/t (inclusive of recoverable Ag equivalent), MTC will pay Arc a further A$2 royalty per additional ounce of gold . This royalty is capped at 7 million ounces of gold.”

Just checking those figures again…..!!!
Factor of 1000 out!!!
I believe the calculation should be:
660,000 vehicles pa @ 60 kW hr = 39,600,000 kWhr in battery power output
Require 0.85kg LCE per kW Hr = 33,660,000 kg
= 33,660 Tons LCE pa required
SAV MdB can produce 26-30,000 Tons LCE pa so at a push enough to supply just one Gigafactory.
Wow!

Yet in context SAV is saying MdB can produce upwards of 26,000 tons per year LCE so enough for a lot of European gigafactories?

“ Volkswagen has confirmed that it expects to commission a total of six gigafactories in Europe by 2030 to support its battery electric vehicle production ambitions.”
Interesting that Volkswagen opted to buy out Northvolt’s ownership of the Salzgitter battery facility before it begins operations. “Early plans would have seen this facility expand to 16GWh per year of capacity but, with VW’s BEV plans in ascendence, this has now been pushed to a planned 40GWh of capacity – enough for around 660,000 vehicles per year assuming each uses an average 60kWh battery pack.”
That a significant amount of lithium. I make it about 34 Metric Tones of LCE per year (850g/kW hr).

https://www.just-auto.com/features/briefing-vw-ups-its-battery-game-with-northvolt/

Well, DA has been using the VW ID as his Zoom background for a long time. Maybe his loyalty will be rewarded with an offtake deal? I think it’s worth topping up on that snippet which I’ve done this morning. Anything under 4p feels like a bargain!

Published today.

Surely the “green transition” away from oil being forced on European oil companies benefits the likes of Russia and Iran by handing them market share and political leverage? No incentive for them to block it, quite the opposite?

https://theecologist.org/2021/jun/09/unearthing-buried-truth-about-green-mining
Seems to suggest the answer is that we should give up our cars and get on our bikes! Where have I heard that before?
Some perspective on the current stand-off from the “other side” with reference to SAV etc

I remember asking a question at a conference about 15 years ago when someone was talking about “peak oil” and if we didn’t start using less oil we were about to run out. I asked if they had thought about a possible shift to electrification of transport but was told that would never happen because eVs would never have the range ….. and yet here we are.
If it’s a matter of physics then, sure, it’s unlikely but if it’s a matter of engineering, that’s just time and resource?

Well, ask yourself- will run of the mill EVs really need batteries that can take them from 0-60 in 3 seconds with a 300 mile range? I can see batteries getting smaller, lighter and cheaper over time.

I see DA has had another nibble. Will he continue I wonder?

Thanks IB, that’s an entertaining read. I always say never underestimate the ingenuity of men. Current volumes of Li per EV may be reduced by technology development-just like modern lean-burn petrol engines generate as much useful power as their gas-guzzling predecessors.