Member Info for jimb2

Interesting this close to the Joe Biden and John Kerry visit, my thoughts are someone has bitten off more than they can chew!

https://miningmexico.com/amlo-visitara-sonora-para-revisar-plan-de-litio/

time will tell.

I share the view that we are very close to some major development in Sonora or Amapa.

I'm hopeful Ganfeng will show their cards over the next week or two, it does seem as if the Mexicans are willing to take a chance that they can build an industry from practically scratch with the caveat that the private sector will bail them out if all fails - that could take couple of years to play out.

https://mexicobusiness.news/mining/news/mexican-government-has-plan-b-lithium-exploration?tag=mining

The federal government is looking to develop the Sonora Plan in 2023 and harness lithium exploitation under the lead of Litio para México (LitioMx). However, the authorities created a backup plan to include the private sector in case it needs support. Nonetheless, the plan might not be as viable as the government expects it to be.

I would add that the tour of the pilot plant might have given them some confidence they can process from the clays if the local Bacanora plant staff are skilled up to do so and the possible $48bn loan from the US - An outside chance Hanwa will take a second look!

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I'm a little lost with all the posting around no 9 and In Rem -

Exeter 2:40 yesterday:

In Rem was no 5, no 9 was a Time to Shine and came 4th with no place pay out - ironic though as the two names do go well together with the pfs due:

'A Time to Shine In Rem'

I'll give up trying to make any more sense of this and put it down to people polishing off the leftovers from Christmas.

Good to see the neighbours reaching this milestone!

https://corelithium.com.au/announcements

The Honourable Natasha Fyles, Chief Minister of the Northern Territory, and the Honourable Nicole Manison, Deputy Chief Minister and Minister for Mining & Industry, joined Mr Michael Rukuita, Finniss Operations Mine Manager at the Darwin Port today to witness loading of the first export shipment of product from the Finniss mine.

This first shipment of 15,000dmt of 1.4% Li2O Direct Shipping Ore (DSO), announced 3 October 2022, was successfully tendered using a digital exchange platform achieving a price of US$951/dmt. Once loading is complete the Rossana ship with 15,000dmt will depart Darwin for Fangcheng, China.

Hopefully a positive for Evergreen attracting investors.

Thanks @Bannor,

Fingers crossed we get settled at near the current SP,

I doubt anyone can consider expectations from a year ago to be valid with world events:

Just as his cautious tips has performed:

For the cautious: BT (169.55p)
113.32p

cautious: Costco Wholesale ($565.30)
$458.60

cautious: Ashtead (5942p)
4760p

None of his tips have returned a profit.

The interests will be sold for A$9.0 million to be settled by the issue of fully paid ordinary shares in Hastings at a price to be determined based on 30 days VWAP before completion, which is set at six months from the date of signing of this agreement. The commercial terms are summarised below.

From today's RNS:

Yangibana Rare Earths project ("Yangibana")

In June 2022, Cadence entered into a binding agreement to sell its working interests and tenements in Yangibana to Hastings Technology Metals (ASX: HAS) ("Hastings") for A$9 million (£5.1 million), satisfied by the issue of fully paid ordinary Hastings shares. Cadence's 30% interest in tenements covers a small portion of the Yangibana project and potentially represents one year of the 16-year mine life.



All of the preconditions for the completion of the sale, apart from state approval for the transfer of the mineral licenses, have been satisfied. Once completed, Cadence will provide a further update and a definitive timeline.

Question:

has the VWAP period been reached or does it continue until the mineral licenses are transferred, I would be happy with the transfer of shares at the current HAS SP?

From the sale RNS:

• Conditions precedent to be completed within 180 days; otherwise, either party may terminate the binding term sheet.

So perhaps we now have options if the SP rises?

Just tried a dummy sell with Barcs 150,000 sell no problem and NT for 200,000 - considering it's a short day (in hours)!

I'm sure the PFS release will be supported with webcasts/podcasts on the day, so something to look forward to next week.

@deepbreath,

I hope that's not the case, next week would suit me when the markets are over the sleepy Christmas period

Indeed @EV_Bull, similar to Canada

https://nationalpost.com/news/politics/federal-government-moves-to-cut-china-out-of-canadian-critical-mineral-industry

Three Chinese companies ordered to divest as Ottawa moves to protect critical mineral industry
Canada and its allies are desperately trying to upend China's dominance in the field and create a more stable and reliable supply chain

And yes, very possibly already agreed.

The more I look the more I'm convinced Ganfeng will play no part in the Sonora plan development,

https://www.solili.mx/noticias/sonora-recibira-inversion-de-80-mdd-para-construir-planta-de-pilas-de-litio-en-2023/5647/

On the other hand, he indicated that, like the rest of the companies, support from a chain of suppliers is contemplated, be it services or products that are required for the manufacture of lithium batteries.

“They would be in urban areas like Hermosillo or Agua Prieta, because that is what we are structuring, the people in the town where they settle need to have the solvency, because if they go to Bacadéhuachi, 250 people will feel bad,” he said.

Agua Prieta - right on the border.

So what will Ganfeng want to walk away considering they had $3bn investment lined up and are adamant they comply with all requirements.

The Mexican gov put the $600bn price tag on the resource, the goal posts have shifted so many times on the validity of the concessions that must play in Ganfeng's favour if this goes to litigation - I'm expecting we will have some clarification in coming days - could be a gamechanger for us.

https://mexicobusiness.news/energy/news/mexico-acquire-debt-sonora-plan?tag=energy

The summit will open with a bilateral meeting between AMLO and Biden on Jan. 9. This will focus on strengthening bilateral trade relations, accelerating border infrastructure projects, and enhancing cooperation on issues such as labor mobility, security, education and climate change.

The migration crisis on the U.S.-Mexico border will likely be a key shaper of the discussions, as U.S. courts battle over the future of Title 42, the pandemic-era legislation that allows undocumented migrants to be immediately expelled to Mexico.

Ebrard explained that another key topic would be the Sonora Plan — Mexico’s proposal for the U.S. to help finance renewable energy infrastructure in the lithium hub of Sonora. Energy policy has been a recent point of tension between the three countries, with the U.S. and Canada accusing Mexico of unfairly favoring state-owned companies over foreign clean energy suppliers.

so just two and a half weeks away, I can't see the full $48bn being on the table with uncertainty existing between Ganfeng and the Mexican government concerning the $600bn concessions so any day for news IMHO

That $48bn just might help solve one of the biggest issues facing Joe Biden for the next election:

https://www.whitehouse.gov/briefing-room/statements-releases/2022/06/07/fact-sheet-vice-president-harris-announces-more-than-1-9-billion-in-new-private-sector-commitments-as-part-of-call-to-action-for-northern-central-america/

For instance!

Yazaki: Yazaki North America, an automotive components producer, will invest an additional $110 million to hire over 14,000 new employees in Guatemala and El Salvador by the end of 2026. This builds upon a recent announcement to invest $10 million in a new factory in Guatemala, which is scheduled to start production with its first 1,000 employees in January 2023. Yazaki NA provides electrical wire harnesses for General Motors, Ford, Stellantis, and other global automakers.

Just my opinion that the money is there should there be a need to acquire the concessions!

A follow up on that @Mullins58

https://www.bloomberg.com/news/articles/2022-12-15/ford-china-s-catl-mull-workaround-for-a-battery-plant-in-michigan-or-virginia

The proposal is just one option that has emerged since the IRA was signed into law in August, and it’s still far from being a done deal, the people said. The lack of clarity around specific content requirements in the IRA is also impacting the decision, and sites in Mexico and Canada haven’t been ruled out.

And the Mexican company 'managing the plant in Hermosillo'

https://mexicobusiness.news/mining/news/sonora-build-lithium-battery-manufacturing-plant

As part of its strategy to become a clean energy hub, Sonora announced its intentions to construct a lithium battery assembling plant. This announcement came during the meeting between the US Special Envoy for Climate, John Kerry, and President López Obrador.

Sonora’s Minister of Economy, Armando Villa, announced the state’s intention to install the plant in Hermosillo. According to Villa, the factory will require an investment of over US$80 million, to be ready in 2H23. The factory will be managed by a Mexican company called Luna. It is also touted to bring dynamism to the state’s economy and boost the lithium battery value chain. Villa added that at its first stage, the factory will create over 250 direct jobs and another 500 additional jobs from its potential suppliers.

Villa said that the plant was originally meant to be in Hidalgo, but after negotiations, the owners agreed to move it to Sonora since the latter state offered more advantages for the business. The government of Sonora is looking to attract more clean energy-related factories like another battery factory and a spare parts factory for electric vehicles.

Very little is known about the background of De Luna founded by Giovanni De Luna around 18 months ago, the website does show LFP prismatic cells although the images are found elsewhere on the web including those that appear to be of areas of production

https://www.delunalithiumbattery.com/

https://www.epnt.co.kr/product/coating-machinery/advanced-material-film/mlcc-coating-machine/

I’m puzzled by this company more questions than answers and $80m investment based on no history!

So I would expect we get to know what they are about during the second week in January and of course being an assembly plant would not in the early stages need a supply chain of raw materials for cell/pack production sourcing from other Ford/CATL plants until local mining and battery production gets underway.

As mentioned last week the same as Ford has discussed as a way around the IRA for CATL in Michigan:

Covered from here:
https://youtu.be/3iTj0bWcbQI?t=545

I would imagine the final two months will add significantly:

https://www.asianmetal.com/news/1886267/MIIT:-China's-lithium-battery-output-exceeds-580GWh-in-Jan-Oct-/1

China's Ministry of Industry and Information Technology (MIIT) announced the operation condition of the lithium-ion
battery industry across the country in the first ten months of 2022. According to relative data, China produced lithium
batteries of over 580GWh in the first ten months of this year. During this period, China's output for consumption type
batteries exceeded 84GWh, the power batteries installed in vehicles were about 224GWh and the exports of lithium
battery products went up by 87% YOY.
In the first ten months of 2022, China's output for cathode material, anode material, diaphragm and electrolyte reached 1.36 million tons, 1.02 million tons, 9.8 billion square meters and 645,000t respectively; meanwhile, the output for lithium carbonate and lithium hydroxide stood at 295,000t and 182,000t respectively.

So for LCE equivalent 295,000 + 273,000 = 568,000 tonnes

Well if that isn't disruption and KDNC have a stake in a globally significant play that just might hit headlines in coming weeks.

Looking at the growth news for EV's and Storage next year could easily see 3x that figure - IMHO.

Indeed @Zoom56,

I've followed that for good while, storage is going ballistic!

@Zoom,

well this turned up in my search:

https://www.bloomberg.com/news/articles/2022-12-15/ford-china-s-catl-mull-workaround-for-a-battery-plant-in-michigan-or-virginia

The proposal is just one option that has emerged since the IRA was signed into law in August, and it’s still far from being a done deal, the people said. The lack of clarity around specific content requirements in the IRA is also impacting the decision, and sites in Mexico and Canada haven’t been ruled out.

Also if you check earlier in the YT video if gives the breakdown of Fords planned EV production.

Many of the current supply deals Ford has are MOU's so I see Ford as the most likely to be involved with Sonora and CATL with the multiply battery supply deals for EV's and storage in NA.

Although this suggests Michigan I would guess Mexico would be a consideration from CATL's point of view, also with the storage deals coming through.

https://youtu.be/3iTj0bWcbQI?t=545

And news today with Mexico again being mentioned - of course this is not new news but they did suspend their decision due to geopolitics:

https://www.energy-storage.news/catl-continues-bess-drive-with-10gwh-gresham-house-deal/

I wonder if the Sonora Plan $48bn loan will go towards a buyout of Ganfeng's concessions or if Ford and CATL can work a deal as in the YT video?

https://www.dossierpolitico.com/vercolumnas.php?artid=275317&relacion=dossierpolitico&categoria=292

The Sonora Sustainable Energy Plan is made up of four aspects, the main one being the LitioMx company, which is responsible for safeguarding lithium deposits in Mexico, since Sonora is home to the largest reserves in the country.

This plan contemplates the exploitation of lithium in Sonora, a process in which individuals may participate, as long as they associate with the company LitioMx and establish their supply chain in Sonora. Governor Durazo Montaño affirmed that it will be in January 2023 when the first vision for the operation of this company will be presented.

And what's changed since September:

https://rundownbulletin.com/world-news/57083.html

Durazo meets a Chinese company:
Durazo Montaño specified that he had already had a meeting with the Chinese capital company, Gangfeng and Bacanora Lithium who have the active lithium mining concession in Bacadehuachi. He said they had informed him that they already had a billion dollar budget to invest in the first stage of their mine, ** but they stopped the project due to the uncertainty of the new law which nationalizes this ore**. However, with this national company, it is possible to establish an association between the two companies and to advance in all the projects; as long as, he said, there is a commitment that the industrialization of lithium be made in Sonora.

The governor explained that this Sonora plan for the production of renewable energies envisages not only the exploitation of lithium, but also the creation of five solar power plants including the one already under construction at rocky point, and the construction of two regasification plants.

Perhaps Ganfeng don't agree with the terms!

@EV_Bull,

Thacker pass delays and a company already working closely with Ganfeng and lithium clays, LAC being Canadian so within T-mec and of course A_L.O stated yesterday:

He's getting along with them. What we are prioritizing is that we do not want the participation of a country that does not belong to the treaty to hinder the possibility of integration and the agreement to walk together, but all this treating it with great respect, with diplomacy looking for options, alternatives " , said.

But I agree this isn't going to be handed over without some serious negotiations!