Member Info for MajorOak

STANDARD LITHIUM "49% larger than the 2019 resource estimate. This difference is directly related to unitization of the resource area. More specifically, the total aquifer volume has increased from 7.66 km3 in 2019 to 8.86 km3 (1.84 mi3 to 2.13 mi3) "
GREAT, nothing more needs to be said other than the options to expand on the Tetra land parcel and licence out the tech for royalties across Mid South USA .... winner winner.

Lithium $2,599 per tonne of lithium hydroxide is one of the lowest reported in the industry owing to two key factors which are location-specific.

A FANTASTIC low cost v all other brine , rock and certainly clay costs. Well done Standard Lithium.

STANDARD LITHIUM "The operating cost estimate includes both direct costs and indirect costs, as well as allowances for mine closure. The majority of the operating cost comprises reagent usage required to extract the lithium from the brine, as well as conversion to lithium hydroxide monohydrate and electricity consumption. Out of this, the greatest amount is related to acid and base consumption (hydrochloric acid and ammonium hydroxide) and was estimated using information from the operating Demonstration Plant located in Union County, Arkansas. The all-in operating cost of $2,599 per tonne of lithium hydroxide is one of the lowest reported in the industry owing to two key factors which are location-specific. DLE processes are reagent intensive; in the case of the LiSTR process, the principal reagent cost is hydrochloric acid. A large portion (approximately 50%) of the acid required is produced on-site as a by-product of the electrochemical conversion of lithium chloride to lithium hydroxide. This can result in significant cost-savings during the lithium extraction step. "
The fact the cost savings come from one of the more distructive parts of processing the metal, does take away some of the discomfort I feel regarding the agents being used. These agents are globally used to more or less of a degree - god knows how much dirty chemical agents are used to make the bad low grade lithium mines across China viable ???
Standard Lithiums I would imagine again would come out high in the charts of the least poluting processing method along with the lower cost of the technical process which reduces the cost per ton.
Great to be honest !

STANDARD LITHIUM "A contingency of 25% was applied to direct costs (US$133 million) to yield an estimated all-in capital cost of US$870 million."

Great to know they have built in to the PEA a hefty US$133M as back up to the project. Peace of mind.

I think the real bonus here is the PEA uses a per ton figure of US$14,500. Current prices are around US$40,000 but will be upwards of US$15,000-18,000 per ton , so the PEA figures could well see a large amount of extra cash profit on the PEA sell on fee, thus any further land parcel purchases - options currently in place & overspends past the contingency of the extra US$133M would be paid off pretty quickly. Yet another bonus to the OPEX Cost of ONLY US$2,500 PER TON. WOW.

STANDARD LITHIUM "A contingency of 25% was applied to direct costs (US$133 million) to yield an estimated all-in capital cost of US$870 million."

Great to know they have built in to the PEA a hefty US$133M as back up to the project. Peace of mind.

LITHIUM PEA "The average brine supply well production rate is similar to the two existing bromine operations located immediately to the east of the Project. Brine from the supply wells would be conveyed to a lithium extraction and lithium hydroxide production facility by a network of underground fibreglass pipelines totalling approximately 18.3 km (11.4 miles) in length. The brine entering the production facility would be pre-treated to remove hydrogen sulphide gas (H2S), suspended solids and hydrocarbons, prior to processing by the Company’s proprietary direct lithium extraction process (LiSTR). After LiSTR processing, the lithium depleted brine is returned to the lower-grade North Resource area by a pipeline system 20.3 km (12.6 miles) in length to a network of 24 brine injection wells completed in the Smackover Formation. All extraction and reinjection would occur in the single unitized area to maintain reservoir pressures (as is the practice elsewhere in southern Arkansas).

Direct Lithium Extraction by LiSTR
The proprietary LiSTR lithium extraction process uses a fine-grained, solid, inorganic adsorbent to selectively adsorb lithium ions from the brine. The LiSTR process produces a concentrated lithium chloride solution. This process is currently being successfully tested by the Company at their Demonstration Plant in Union County, Arkansas (see December 03, 2020 news release). This Demonstration Plant has been successfully operating at a pre-commercial scale since May 2020.

Lithium Hydroxide Production
The concentrated lithium chloride solution from LiSTR is further concentrated by high pressure reverse osmosis and impurities are removed through ion exchange (as also successfully proven at the Company’s Demonstration Plant). The further concentrated and purified lithium chloride solution is processed by electrolysis to form a highly pure lithium hydroxide solution. This solution is crystalized into a solid, battery-quality lithium hydroxide monohydrate."

LITHIUM HYDROXIDE X2-3. The multiples of this first PEA on one project site looks great.

2 questions -

1 - The CEO indicated the role out of the 'MODULAR' technology , hinting at licencing out the tech ?

2 - The CEO quite clearly stated in September the closeness to the main ports on the Southern Coast of the US to supply lithium hydroxide to help with EUROPEAN requirements. Yes or No ? ;-)

Check out STELLANTIS Co for further reading.

STANDARD LITHIUM PEA "It should be noted that the Company has secured an option to acquire a key parcel of land in the contemplated Project area. This land may be suitable for siting a future brine processing and conversion facility as it is well served by existing infrastructure, utilities and pipeline easements. Development of the project, subject to continuing project definition, due diligence and receipt of future feasibility studies, contemplates production commencing in 2025 from the land package assembled by the Company to date"

So the extra land parcel in the Smackover Formation which Albamerle are currently producing millions of litres of bromine brine from , IS 100% LITHIUM enriched and ready to be processed. I mean in that SLI already know the brines are there in the new land they have options on which are NOT included here in this PEA.

You are looking at another 30,000-50,000tpa if Lithium Hydroxide from the optionable land. The story here is not simply one unit of land ( not one mine you are investing in ), but the potential of rapid MODULAR EXPANSION across the whole Arkansas Smackover Formation. This PEA only improves data on South & North "Tetra" project.

The real potential is multiples.

STANDARD LITHIUM PEA "The lithium extraction process is based on the Company’s proprietary LiSTR technology, and the final conversion to a lithium hydroxide product will use an electrochemical process tailored to lithium hydroxide production. The project is located in an area with significant existing infrastructure such as water, power, gas, road, rail and workforce; plus existing operating oil and gas assets, including wells, collection systems, easements and gas processing facilities."

LITHIUM US$2,599pt - WOW !!!!
One of THE lowest in the world on ANY lithium production.

The Initial Selling Pric US$/pt14.500 ...currently selling at +US$35-40,000pt so these figures although based in the last 2-3 years as an average could well see the project coming in at 100-200% higher margins - WOW.

LITHIUM "large-scale technology proof that we can hope to deploy it, in the future, on our other assets in the region. The attractive potential economics from this PEA support continued effort to de-risk and advance the SWA Project in parallel with the Company’s immediate focus, which is to deliver the first new lithium production facility in North America at the Lanxess facilities.”

STANDARD LITHIUM PEA update :-
Pre-tax US$2.83 Billion NPV at 8% discount rate and IRR of 40.5%;
After-tax US$1.97 Billion NPV at 8% discount rate and IRR of 32.1%;
20-year mine-life producing an average of 30,000 tonnes per year of battery-quality lithium hydroxide monohydrate (LHM);
Operating costs of US$2,599 per tonne of battery quality lithium hydroxide;
AACE Class 5 Total CAPEX estimate of US$870 Million including conservative 25% contingency of direct capital costs; and,
SW Arkansas Lithium Project PEA lithium brine resource is updated to consider the potential unitized area of production, leading to an increased total (global) in-situ resource of 1,195,000 tonnes Lithium Carbonate Equivalent (LCE) at the Inferred Category.

See though.? That £15k on Monday stood out and I pointed it out as being much higher than average. The next day the PEA drops in ;-)

Tyson I have Approx 3x that figure , most of which you know was bought in Dec 2020/Jan 2021 as my tip of the year with NEL & Directa Plus.

I think very much like the bitcoin rush over the last 12-18 months, hydrogen went high & fast summer 2020 , Biden and Brexit I think provided hope of large investment and easy money.
Then when it didn't really appear the selling / profit taking began.
Back in 2018 I was one of the first to post on here about emh and lithium. I bought at 7-8p average. Lithium stocks back then basically did the very same.
Investors saw the potential , manufacturers talked of batteries and big money but it has been slow to come to the lithium market. So much so that we are only now seeing major investment and behind the curve demand for supply. Most projects are slated for 2025-27 for lithium mining. By 2019 most lithium stocks had taken a beating, just the same as hydrogen now. Pick virtually any specific hydrogen producer or supplier and the 3-5 year charts will look pretty much the same.
Here NEL have a heck of a lot of shares in issue my main contention.
However, they will be one of 3 companies who will be the next giants in global power supply. It would not surprise me if Shell / BP / EXXON / AMECO bought NEL out as a global ready made hydrogen department as they ween off gas and oil. I"d say its more than 50% chance , my guestimate would be almost certain that an offer of big money will come in within 1-2 years. Again , I look at my experiences of lithium. M&A is happening quicker and quicker.
I would imagine the same would apply hear.
Remember Hexagon Composites, Hexagon Reality, Hexagon Purus are also linked along with spin off Everfuel. Tenticles everywhere you look.
I post madly about them to remind people , but most have never heard if Nel let alone just how much influence they will have.
One of my 3 very long term holds 100% sure or until they get bought out.

Next news - who is going to buy the 20,000tpa initial production ? Virtually half of the brine operators in early stage have signed deals for offtake.

Standard Lithium have STELLANTIS & LAXNESS / BAYER and the WHOLE USA MARKET PLACE - TICK

Tyson - they are looking at South zone first then North then Tentra land parcel and applying the plant & tech model to another site & and another & another.
Interesting low footprint model and great way to add scale.
I see no reason why 50,000-60,000tpa or $5Billion market cap cannot be achieved in time. The tech process works and is not going away. I think Seeking Alpha wrote up some notes on brines to out performe traditional mining and then some.
The fact that they use a distructive chemical process to create the acid to make brine clean and filter pure thus cutting down on processing costs whilst retaining the distructive chemicals and replacing cleaner brine back to the aquifer to ensure high pressure is retained is brilliant.
Once Albamerle , Livent , SQM or Ganfeng start to talk about coming around to using 24-36 hour production of LHM it becomes a no brainer and the markets will relax too.
Great news today.

Babis loses election and lets see if the media hits the fan when he forced to leave ? No surprises Diess delaying. Who is coming out in the wash ? The USSR agents will be all over this confusion and miss directed info.
Let the games begin again , round 5 ding ding. 2018 all over again ??? Yawn.

Meanwhile over in the US a company who were still on a white board stage of development are about to start up the demonstration plant and prove production at scale on a PEA of 30,000tpa LHM.

STANDARD LITHIUM operating costs of US$2,599 per tonne of battery quality lithium hydroxide.

One of THE lowest operating cost per tonne of lithium hydroxide in the world !!!

Now what was cinovecs operating costs coming in at ?

Oh, can CEZ licence the tech to multiple companies for lithium extraction and royalties ? Hmmm...

Good point.

STANDARD LITHIUM operating costs of US$2,599 per tonne of battery quality lithium hydroxide.

One of THE lowest operating cost per tonne of lithium hydroxide in the world !!!