Member Info for EV_Bull

Sounds to me like they will take a stake in the project @Jimb2

"The possibility is reopened, through a partnership with the state company that is going to be created for the exploitation of lithium, as long as, according to the President, it establishes its process of industrialization of lithium here in Sonora and that will change the economic panorama," he said.

Due soon, would be amazing if it includes the possibility of higher grades (DRI) see page 20 :
Amapá Pellet Feed DR - Fe - 68.0% /Al2O3 – 0.3%/SiO2 – 1.0% Meeting DR requirements
https://www.angloamerican.com/~/media/Files/A/Anglo-American-Group/PLC/media/presentations/2012pres/global_iron_ore.pdf

https://www.mining.com/web/mexico-creates-state-run-lithium-company-to-go-live-within-6-months/
Litio para Mexico may work with either public or private institutions to mine for what has become known as “white gold.”

With the change in rhetoric seems to me that a deal with Ganfeng / Cadence is highly likely.

Why would they make agreement with financial companies… to fund a stake in the Sonora project maybe?

Here is another article explaining
https://jalopnik.com/volkswagen-strikes-a-deal-with-canada-for-ev-credit-fri-1849441041
"The move is meant to shorten supply chains for its U.S. facilities as well as avoid issues with tariffs and tax regulations. On top of all that, it’s also a way the company can comply with new $7,500 EV tax credit rules President Biden signed into law. The new rules place tougher restrictions on where materials and vehicle manufacturing can be done. The majority of the components for the battery need to be manufactured or assembled in North America."

They need to invest there to get the new grants under the inflation reduction act. It shows their intention, makes you wonder if the EU will do a similar scheme requiring local materials.

https://www.reuters.com/business/autos-transportation/vw-aims-take-stakes-canadian-mines-mine-operators-handelsblatt-2022-08-23/
BERLIN, Aug 23 (Reuters) - Volkswagen (VOWG_p.DE) aims to enter the mining business in Canada to ensure its raw material supply for battery production, a board member for the German carmaker told Handelsblatt daily.

"We are not opening any mines of our own, but we want to acquire stakes in Canadian mines and mine operators," Thomas Schmall told the daily on Tuesday.

The president added that in order to exploit lithium, a state company is going to be created –which will be like Petróleos Mexicanos and the Federal Electricity Commission–; Likewise, he indicated that “this company is going to make agreements with financial companies and with the automotive company –for example, here is Ford–, with the purpose of taking advantage of lithium. Batteries can be made in Sonora, as long as more automotive plants are established here.”

He also mentioned that they want to produce batteries in Sonora and attract automakers, he mentioned Ford already being there, big deal for us.

Another article regarding the announcements on Sunday, surely we're going to hear something soon.
https://www.infobae.com/america/mexico/2022/08/21/amlo-anuncio-plan-de-trabajo-con-eeuu-para-creacion-de-empresas-en-sonora-si-hay-bienestar-hay-paz-social/

"This Sunday, August 21, President Andrés Manuel López Obrador (AMLO) offered a press conference before authorities from Sonora and Chihuahua to report on the development of programs in both states."

"An Energy Development Plan for Sonora will soon be implemented , in which five solar plants will be launched and the promotion of lithium exploitation for the automotive industry"

"In addition, he pointed out that in order to integrate Sonora more in the relationship with the United States , this agreement will be made in terms of trade and exchange, which, he said, will give more employment and well-being."

I believe the updates are in preparation for the H1 interim results release which is due any day now going on previous years.

https://twitter.com/sachetweet/status/1560490796343627776

Australia has been granted preferred status ahead of China to supply processed critical minerals for the US electric vehicle battery program under new laws signed this week by President Joe Biden that could be worth billions of dollars to the mining and manufacturing industries.

https://www.investormeetcompany.com/investor/meeting/investor-presentation-156

The webinar will be recorded so you can watch it later

Not everything is binary, all technologies can and will play a part.

AMG has developed an alternative concept in the form of a large scale “hybrid” lithium vanadium redox flow battery (“LIVA”) which avoids CO2 emissions. The lithium part of the new battery design enables fast discharging including black start abilities. The lithium battery is then recharged by the low-cost vanadium battery which in turn is charged by the grid.

Yeah, I was posting so that Fingersxed's 09:32 made sense.

The point being BMW is willing to offer cash upfront to the project and this project is only a fraction of ours I expect Keith is inundated with the automakers and trying to negotiate the best deal.

A battery energy storage system (BESS) is a fancy name for a big battery system like the megapack.
They still use lithium ion batteries (mostly LFP) full of lithium and graphite, graphite demand will also be huge in the coming decades despite what people think, solid state will be complementary if it comes on stream and that will take a decade to be fully proven and mass produced cheaply enough in my opinion.
For BESS it's about cost/reliability/safety not energy density so Sodium Ion and Flow batteries will play a part but the pie is absolutely massive and no one technology will win out or be obsolete any time soon, all batteries will be needed and used somewhere. "Go long what Tesla is short", look at the proportions that come from China, very worrying for the US & EU which is why it's full steam ahead on localised production, (albeit late to the party) and EMH is surely going to be in high demand.
I expect a deal with funding better than the one announced recently by ASX:EUR (European Lithium)
$15m from BMW
https://wcsecure.weblink.com.au/pdf/EUR/02550202.pdf

https://wcsecure.weblink.com.au/pdf/EUR/02550202.pdf
EUROPEAN LITHIUM PARTNERS WITH BMW AG TO SUPPLY BATTERY GRADE LITHIUM
HYDROXIDE

EMH next?

Iron ore has dropped off a bit recently and I estimate very conservatively 49% would give £44m /year net profit
44xPE5 = £220m = £1.28/share (plus other assets)

So what's a good price target if we get $60m+ for Sonora (and EMH get a buyout perhaps) and can then fully fund our 49% of Amapa ($24m) and the 49% share of the equity component of construction costs (~$30m) giving us 49% of a fully funded Iron Ore mine returning it to its former glory... past profits of the following:
2012: $54 million ($77m / £63.6m 100%)
2011: $120m ($171m / £141m 100%)
Take the avg of £102m P/E of 5 and boom.
That is just one of the potential outcomes here, maybe Evergreen will deliver something special.