Member Info for Rpks

Karel HAVLÍCEK, Deputy Prime Minister of the Czech Republic / YES 2011 / If we succeed and I think we have it well worked out now, especially the ball is on our side and again we have it under control, we have become basically a country that will to have a super strategic raw material just below him and he will control it himself. Jaromír SOUKUP, moderator Oh no, it's that it will be a little Country for The Future. I'll say a frightening thing. OKD, when Zdenek Bakala just hard-boiled black coal, sold and the money disappeared, well, there's plenty, that's just a terrible idea. If lithium is mined by the state itself and can make it a product with high added value and succeed on the world market, I would take it as a turning point that we would no longer sell purely raw materials and let us be glad that someone will give us something for it. Karel HAVLÍCEK, Deputy Prime Minister of the Czech Republic / YES 2011 / That's why we went, and the chance is really, really great and if we succeeded as if we were not far, but I just don't want to praise the day before evening, that this is one of the government's greater achievements. Jaromír SOUKUP, moderator I agree. Okay, thank you for the interview.

I'm calm, I believe we'll be rewarded...

Jaromír SOUKUP, moderator Can I still have one last stuff? With the lithium. This is also in the sector of industry and trade. It was a terrible policy that the billions of values ??would somehow drive or extract and sell us Australians and the money would end up in Australia. And it was also a pre-election theme in 2017 and so and then somehow it was solved and it looked like the state CEZ would buy or control the company and in what state it is. Karel HAVLÍCEK, Deputy Prime Minister of the Czech Republic / YES 2011 / I think we have moved a lot, the ball is our side, to put it simply. With CEZ we agreed that CEZ realized there, now I want to say a little in Czech, not an option, but the opportunity to acquire a majority stake in the company so that it could call it and pay off that share so it has to carry out the final research. All of this will end no later than March 31 of this year, and the research is about making sure CEZ assures that the lithium that is proven to be there, but it is somehow simply tied to mica, so it can be separated and simply work. The research is not just a question of division, but ... Jaromír SOUKUP, moderator Wait, it will really be such a deal. Is it at all, I read that those lithium prices dropped by about 30%, so it somehow let people know, will it really be a deal? We have billions or hundreds of billions in it. Karel HAVLÍCEK, Deputy Prime Minister of the Czech Republic / YES 2011 / It may be very interesting because it seems that the lithium reserves are really large there. Of course they are demanding in terms of separation from the mica, but it must give logic ... Jaromír SOUKUP, moderator That it was like we saved for the state, so now the second question, if it is really such a huge value as we thought . Karel HAVLÍCEK, Deputy Prime Minister / YES 2011 / In principle, let's look at it a bit from that psychological point of view. We said that super-strategic raw materials such as lithium, such as gold, such as uranium, should be kept under control, and we did. That is, that's the first first thing. The second thing that everyone knows and knows that lithium will be a truly strategic resource for the future, for electric cars, mobile phones and so on. The other thing is that there really is a lot of lithium in it, if you really can work with it, and also in favor of CEZ, who could make it a really interesting chain if it had lithium if it had a superfabric at the same time and at the same time it would actually be able to distribute and sell it to the automotive industry, with which the energy industry is connecting a lot today, so it's a great thing. Jaromír SOUKUP, moderator Right, because I thought it was nice. If CEZ were able to mine lithium, to process it myself, I would just have to sell the stupid raw material. If we could make a product out of it, like the car battery or batteries for those high value-added electric cars and sell it, that's exactly what I think is right.

http://geomet-cz.com/soubory/technicka-univerzita-analyza-f.PDF

CONCLUSION
Based on our expert review, which we've performed on the data provided
contracting authority, the withdrawal of the investor seems to be clearly the worst variant for the state
from the intention to mine and not to realize the project, as in addition to the loss of future tax revenue
In the order of tens of billions a year, the state is burdened with the cost of the unemployed who would thanks
the intention of the investor to get a job.
The option of non-consensual handover of the project will fully result in the hands of state-owned companies
at best, a significant project delay and a revenue gap of over 200 for the state
CZK billion. In the worst case, due to lack of know-how and lack of financial
resources for high input capital costs, can result in project failure and losses
for the state in the amount of more than CZK 740 billion.
A variant of the state's efforts to maximize revenue through increased fees
resulting from mining beyond the current legal framework can ensure on the one hand the state
increase in revenue only in the order of millions of units, on the other hand, the whole project can
make it unprofitable for the investor with the above-mentioned losses for the state in the order of tens
billion.
A variant to start the project as soon as possible with the creation of a coherent chain in the territory
Czech Republic, from mining to the final product with high added value is
on the contrary, because:
? significantly reduces unemployment (more than 8,000 may be involved)
employees),
? significantly increases the economic recovery of all regions concerned,
? significantly contributes to the state budget (minimum yield over 30
CZK annually represents more than 2.5% of revenues of the current state budget).

https://ekonomickydenik.cz/lithium-scene-vlada-pripravuje-statni-tezbu-hry-vstupuje-dulni-firma-cezu/

Yes Sid,
DFS finished early next year.

The scramble for lithium is gone, CEZ has agreed to cooperate with the miners
December 3, 2019 15:32

  Extraction of lithium, the lightest and at the same time key metal for the development of electromobility, could start in Cínovec in the Ore Mountains within five years. However, if it pays off, it will only show the final feasibility study, which should be completed by the beginning of next year at the latest.

  After the planned lithium mining, there is no monument to Tinovec in the Ore Mountains today. You would be looking in vain here for mining machines or even drilling systems.

  The fact is that in the foreseeable future there will be one of Europe's largest mines for cinvaldite, ie lithium mica, from which the key raw material for battery production and the development of electromobility is obtained.

  “There's nothing going on right now. Awaiting the results of the final feasibility study, which should be completed at the end of this year or early next year. Only then will it become clear whether mining really pays off, ”says Petr Pípal, mayor of Dubí, under which Cínovec falls.
https://www.idnes.cz/usti/zpravy/tezba-lithium-cinvaldit-cinovec-krusne-hory-european-metals-holdings-cez-richard-pavlik-studie-prove.A191130_517763_usti-zpravy_prib

And Geneva's Transamine Trading company lent $ 7.5 million to the Canadian mining company CAT Strategic Metals Group for lithium mining in Zimbabwe this year.
https://archiv.ihned.cz/c1-66685260-investicni-fondy-laka-lithium

Private investment funds and other investors are attracted by the fall in the price of lithium so much that they want to invest billions of dollars in its mining. The price of metal, which can not do without batteries for electric vehicles, has decreased by more than 50 percent since last year. Miners thus reduce capital spending and their expansion is slackening. The stock prices of the major metal producers are also falling, which is of concern to small investors - unlike the big players.

Non-traditional investors and lenders feel the opportunity. They point out that in an increasing number of countries electric cars are gaining popularity and that fossil fuel consumption is declining. An example is the investment company Traxys, in which the majority share is held by the Carlyle Group.

"Now is the time to invest," said Traxys Projects Director Erez Ichilov. Together with the Pallinghurst Group, which invests in metals, the division has established a $ 2 billion (over CZK 46 billion) fund. It is designed to invest in all parts of the electric car supply chain.

"If you look at the lack of investment in this value chain, two billion dollars is not a high amount," Ichilov thinks. "We want to take important steps in 2020," he said. "We truly believe in the transformation of energy. It is a fundamental change," Ichilov added.

"Mining needs more capital than it receives," said Sam Jaffe, director of energy storage research and consulting firm Cairn Era. Jaffe estimates that suppliers of minerals needed in batteries - such as lithium, nickel, or graphite - need an investment of over $ 100 billion ($ 2.3 trillion).

Some agencies refer to the unusual conditional agreement of the Australian EMH with CEZ on a strategic partnership and a significant investment in the lithium mining project in Tinovec. If the agreement is completed, CEZ will acquire a 51 percent stake in Geodet, a Czech subsidiary of EMH, which owns mining rights, for EUR 34.06 million (almost CZK 870 million).

In the Czech Republic, it is estimated that about three percent of the world's sources of lithium - the vast majority in Cínovec and a small amount in the Slavkov Forest. The deposit near Cinovec is the largest in Europe.

Portuguese mining company Lusorecursos announced that it is negotiating an investment of 400 million euros (10.2 billion crowns) with several international players. He wants to use the money to search for lithium deposits in the north of the country. Portugal is the largest producer of lithium in Europe. But most of it ends up in the ceramics sector.

However, there has been more investment in lithium mining lately. For example, at the end of November, the American investment fund Centaurus Capital bought half of the $ 40 million ($ 629 million) share offering that Australian Ioneer wants to invest in lithium mining in Nevada. And Geneva's Transamine Trading company lent $ 7.5 million to the Canadian mining company CAT

https://mobile.twitter.com/Pavol_Krupa/status/1198991922276315136
https://www.krupainvestments.com/en/kgi-welcomes-emh-agreement-with-cez-group-on-strategic-partnership-for-lithium-mining-project-in-cinovec/

After two years, lithium is again a business, not a political struggle. CEZ Power Company has signed an agreement with Australian mining company EMH. The agreement is valid until the end of March next year. However, according to the preliminary agreement, he was due to finish due diligence by the end of this year. "We now have more time for a thorough economic and technical assessment of the whole project, it is a really complex thing," said CEZ chief Daniel Benes. The new deal with the Australians does not provide for an original loan of two million euros. But the Australians did not borrow the money in the end. One reason, according to HN, was that CEZ decided to acquire a stake directly in Geomet. This company is a more secure investment for CEZ - Geomet as a Czech company is subject to domestic law, it is not on the stock exchange and holds all existing permits and licenses. Director and one of the shareholders of European Metals Holdings Keith Coughlan said the money from CEZ for the sale of the stake will be used by the Australian company to further finance the preparation of mining in Cínovec. The construction of the processing plant together with the start of mining should cost about 10 billion CZK. The Australians were looking for a partner. They were interested in cooperation with CEZ several years ago. According to Benes, the reason why CEZ turned around is the development of electromobility, which has accelerated significantly over the past two years: "Being part of the entire chain, from mining to the production of stationary or automotive batteries, makes a completely different sense today." CEZ does not want to comment on future billions of investments in the processing company or the batteries themselves. However, according to HN, it is more likely that other partners would be sought for these investments. The mining project in Cínovec was one of the most widespread in Europe three years ago.
At a time of political turmoil, less than one percent of shares in EMH were bought by investor Pavol Krúpa. CEZ is now acknowledging the agreement with the Australians and wants to strengthen its share in EMH after the deal is completed. "I want to be a distinctive player," he said without further details. According to HN, he might want to get more than a quarter share. This would ensure his influence and at the same time would not entail any other obligations, such as takeover bids to other shareholders.
In Europe, competition has also advanced: on the German side of Cínovec, Deutsche Lithium has a final mining project and expects it to be built in 2022. In Serbia, the transnational mining giant Rio Tinto is preparing mining in the Jadar region. Savannah Resources, a British company, is already mining lithium in Portugal. "We do everything we can to catch up," said Richard Pavlik, director of Geomet.
http://HN.IHNED.CZ/c1-66681200-cez-udelal-dalsi-krok-k-tezbe-lithia-na-cinovci-byt-soucasti-rozvoje-elektromobility-dava-smysl-rika-benes

Ministr Havlícek pripravil spolecne s CEZ plán, jak získat majoritní podíl v težební spolecnosti, která má na težbu lithia na Cínovci licenci.

More than rusty ingots from the times of the USSR we should be interested in lithium. This is a truly strategic resource we almost lost. You know ... I was a lot dialed back then. But, as I wrote, we managed to regain control of the project. Minister Havlícek, together with CEZ, has prepared a plan to acquire a majority stake in a mining company licensed for the production of lithium in Cínovec. This was a breakthrough step. Now, CEZ is conducting a thorough analysis of mining performance, mining technology, mechanical processing, chemical treatment for battery use, and an economic assessment of the entire lithium mining and processing chain. We are working on it nonstop, the analysis will be completed by the end of the year, and by the end of March, CEZ must decide whether to use the option and we will definitely obtain a critical raw material for further use.
https://www.parlamentnilisty.cz/politika/politici-volicum/Premier-Babis-My-Cesi-vlastenci-jsme-Diky-tomu-mame-tak-skvele-vysledky-603688

Fingersxed - Unfortunately I don't have a tweeter account.
Someone else?

Another interesting tweet of the Minister of Industry of the Czech Republic Havlícek.
https://twitter.com/KarelHavlicek_/status/1193930213199110144
Also read his reaction in tweet.

Just to remind you, tomorrow 12.11.2019 CEZ will publish its results and I also expect comments on the ongoing due diligence.

The region attracts Elon Musk to the Ústí nad Labem region. They want to attract cheap raw materials.
https://ustecky.denik.cz/zpravy_region/kraj-laka-na-ustecko-elona-muska-chteji-zaujmout-levnymi-surovinami-20191104.html
https://twitter.com/MartinMata30
Come Elon, come on! :-)

mrcautious - Rpks - are you connected with or employed by CEZ ? No.
https://twitter.com/KarelHavlicek_/status/1189474969446682625

On 12 November 2019, CEZ will publish its third-quarter results. Maybe we'll learn more about the conference call ...
I feel in my bones that it will be good! :-)

https://www.kurzy.cz/zpravy/517942-havlicek-mpo-cez-zvazuje-stavbu-tovarny-na-lithiove-baterie/

CEZ is considering a lithium battery factory
31.10.2019
CEZ could build a new large factory for the production of lithium batteries for electric vehicles or battery systems for storing electricity from roof photovoltaics in family houses in the Czech Republic. This was indicated by Minister of Industry and Trade Karel Havlícek (for YES). "CEZ does not rule out that it could be him who will build a gigafactory for lithium batteries," the Minister told Pravo. "We managed to agree with CEZ that lithium would come under the control of the state at least through them. CEZ does not because it wants to help the state, but because it sees the whole business story, that it would be at source and also one of the those who could produce batteries here and invest in it, "Havlicek said. CEZ has the resources and capacity to do so. "It is one of the most important Central European companies and logically moves in a market where it could have an interesting response, because we are an industrial country and an automobile country. Not only the Czech Republic but also Slovakia. I can imagine such a giant factory was created, which would be under the control of CEZ and thus partly the state. We would like it, "added Havlicek. The company is preparing negotiations CEZ itself did not confirm or exclude the possibility of building a battery factory. "Battery systems are the future of power industry and one of the basic preconditions for future growth of renewable electricity production, as well as the expansion of electromobility. batteries to be tested together with the Slovak company Inobat, "Roman Gazdík, a spokesman for CEZ, informed Pravo. Accumulation will also be an important part of electric vehicle charging stations, which CEZ is currently building intensively, and is their largest builder in the Czech Republic. "The automotive industry is one of the basic sectors of the European economy and Europe will continue to be one of the largest markets for electric vehicles in the future. companies would be involved in the preparation of battery plants, "added Gazdík. The target is CEZ in July, the opportunity to acquire a majority stake in the Australian company European Metals Holdings (EMH). It is a 100% owner of the Geomet company in Brno, which holds rights for exploration and development of lithium mining near Cínovec in Krušné hory, where it is estimated to be one of the largest deposits in Europe. CEZ has provided EMH with a loan of EUR 2 million (CZK 51 million), which it can convert into EMH shares by the end of this year or have it paid out with interest. "We will then be able to acquire a majority stake. We have an agreement that we can only own EMH," Ladislav Kríž, head of the CEZ Press Department, confirmed to Pravo. Whether CEZ chooses to convert the loan into shares depends on the results of a survey conducted by CINOVA subsidiary CEZ Severoceske doly. "We are evaluating the project when this process is over, we will announce the result," Gazdík to