Member Info for r7632

https://www.proactiveinvestors.co.uk/companies/news/932964/vsa-capital-market-movers---bacanora-lithium-932964.html

I've always had problems buying and selling this one. Max about £4k.

Although as you cant generally buy why does n't that show demand, and force the price up?

Still if it ever shows a much larger market cap like Lithium Americas I'm hoping that will make the share more liquid. There is always talk from PS of moving it to the main market in time.

The share price can be quite volatile on news. In 2018 it went from 100p ish to 145p then dropped as low as 12p in 2019.

Since then Ganfeng have taken a large stake, and M&G responded by increasing it stake back up to 19.9%.

EPC should be produced by Q4 2020 Which should see new interest and a SP rise.

Q1 2021 should see next attempt at financing - which if successful should see it see the highs of 2018 {wishful thinking}.

EPC is a given - although may be late.

Financing with Ganfeng support and the projected need for huge increase in supply Lithium should not pose a problem imho.

Time is running down to some big events here.

https://insideevs.com/news/451522/tesla-panasonic-prototype-4680-battery-cell-line/amp/

https://electrek.co/2020/10/26/tesla-tsla-12-billion-investment-electric-car-battery-factories/

I think Ganfeng and Hanwa are taking all of the phase one and Phase two lithium at Market Prices.

Not a big deal for Ganfeng as they own 25% of BCN and 22.5% of Sonora. In that a lot of those profits come back to them anyway.

So their effective cost of lithium will be much lower than taking spudomere from Australia and processing in China

And further to that between them Ganfeng and Hanwa have offtake agreements for all of Phase one and Phase two production. So nothing in it for them to sell this of on the cheap. Not only do they want the Lithium this is also likely to make them lots of money with IRR of 26% , NPV of 1.25 Billion, and 200 years worth of Lithium, 8.1mt of it. Easily expandable to produce 50k Tonnes, or more, per year.

EPC is due end of Q4 2020. Not much longer to hear news that should bring the SP back to where it was in 2018. But this time with Ganfeng on board and Tesla Battery day in every bodies mind funding should not pose such a problem.

I think things are lining up for a good 2021 for BCN and a major re-rating of the SP

In December 2015, the company raised $17.9m (£8.8m) through a private placement of 11.4m shares at $1.51 (£0.77) secured by its first major institutional shareholder, M&G Investments.

https://www.sharecast.com/news/aim-bulletin/bacanora-minerals-to-progress-with-feasibility-study-at-lithium-project--1849206.html

Under the equity investment deal, Hanwa will acquire an initial 10% stake in Bacanora, raising approximately £10.2 million for the company through the placement of 12,333,261 shares at 82.5 pence each

https://www.spglobal.com/marketintelligence/en/news-insights/blog/street-talk-episode-69-banks-left-with-pockets-full-of-cash-and-few-places-to-go

I don't believe the Big Shareholders in BCN - Ganfeng, M&G , Hanwa would be willing to sell this one out cheaply.

I think M&G and Hanwa first investments were at around 80-90p per share. Maybe someone can do the research

https://insideevs.com/news/449856/lg-chem-230-gwh-battery-annually-2023/

"One worry I had a few months ago was that Ganfeng were building a position in order to prevent the mine from coming online, essentially controlling the supply by constraining it, which would help prices. But it was a worst case fear, and I hope baseless"

Even with BCN Ganfeng would only be supplying a small % of the worlds supply/demand. Absolutely no logic in not bringing this into production. If you do so other miners would just jump in. Besides even with BCN output there is still expected to be s shortfall in supply.

I'm not sure Mexico want to go the Venuzuela route to ruin its economy.

Or the Bolivian route of no new mines.

Both of these fine examples of Nationalisation would put any sensible politician off.
Or the Bolivian route ic no new mines.

"It takes seven years for a lithium miner at best to fund and build a new mine"

This bit stood out for me when I hear all the criticism of the delays in BCN and PS. Its in line with the above statement.

https://investingnews.com/daily/resource-investing/battery-metals-investing/lithium-investing/investing-lithium-after-tesla-battery-day/?mqsc=E4121724

What I find curious in this is that if the Avg Cost of Lithium 11k and BCN can produce for 4k. That would be a saving of almost 64%.

Why is Tesla saving only 33% are they getting Lithium at less than 11k?

I thought everything would change last year when Ganfeng came on board. But Ganfeng have taken much longer than I expected.

Still q4 2020 is close.

Q4 2020 should see EPC from Ganfeng - I would expect big sp rise.
Q1 2021 should see funding finalised and build start - I would expect even bigger sp rise

But see it back to low 20's if delayed.

Until then just treading water unless there is a leak or if these comes earlier.

I don't think Thacker Pass is anywhere near as advanced as Sonora. Also I believe they had a flow sheet. But have decided to redo it. They have not completed a DFS or obtained Project permits on Thacker Pass yet.

Lithium America (owner of Thacker Pass ) is concentrating on its Argentinian Brine deposit - which is now 51% owned by Ganfeng.

In August 2019, Ganfeng Lithium Co. Ltd. completed a $160.0 million investment (“Project Investment”) in Cauchari-Olaroz increasing its interest to 50% from 37.5% and reducing the Company’s interest from 62.5% to 50%.

One wonders how much Ganfeng would have to pay to increase its share from 22.5% to 50% of the Sonora Project?

Well its concentrated resources. Wonder what the cost per tonne is for each material from this process. It wont be like plastic where the recovery probably doesn't cover the cost of recycling.

This will help in s steady state environment, but cars and energy on an exponential growth curves they will need to keep extracting for xxx years to replace all cars and provide enough energy storage for renewables.

https://www.youtube.com/watch?v=w3CrFR1Jk1w&ab_channel=ImageMakerAdvertising%2CInc.

Would be nice to see something like this from BCN as long as it doesn't give away any Intelectural Property

In did say health reasons. Life plan changes when you get health problems.

I have no faith in the SFO caring about UK PLC. That is the general health and prosperity of our country.