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Charger’s Targeting Suggests Large Lithium System At Its Bynoe Lithium Project
January 16, 2022
Charger Metals NL (ASX: CHR, Charger or the Company) is pleased to provide an update for its Bynoe Lithium Project in Australia’s Northern Territory. The Bynoe Lithium Project’s ownership is 70% Charger and 30% Lithium Australia NL (ASX: LIT) and is surrounded by Core Lithium Ltd’s (ASX: CXO) Finniss Lithium Project (which has a JORC 2012 compliant Mineral Resource2 totalling 15Mt at 1.3% Li2O).
HIGHLIGHTS
- Recent geochemistry and aeromagnetic programs completed by Charger, combined with drilling information provided to the market by Core Lithium Ltd (ASX: CXO), suggests multiple swarms of lithium-caesium- tantalum (LCT) pegmatites that extend from the adjacent Finniss Lithium Project into Charger’s Bynoe Lithium Project.
- The geochemistry results highlight two large LCT pegmatite target zones, with significant strike lengths of 8km at Megabucks and 3.5km at 7-Up.
- Within each pegmatite zone, drill-ready lithium targets have been identified including at the Megabucks, Jenna’s, Enterprise 1, Enterprise 2, Riverside and 7-Up pegmatites.
- Charger’s aeromagnetic survey imagery indicates that recent drilling by Core Lithium Ltd:
- Which intersected high grade spodumene mineralisation at its Ah Hoy prospect1, is located 3km northeast along trend from Charger’s 7-Up prospect; and
- Which intersected lithium-fertile LCT pegmatites at Centurion, is 600m southwest along trend from Charger’s Enterprise 1 Prospect.
- Planning and permitting for the maiden drill programme at the Bynoe Lithium Project is advancing.
Comment from Charger’s Managing Director, DavidCrook
“Charger’s 2021 geochemistry program has very successfully outlined two large pegmatite emplacement zones which extend for up to 8km, centred on the Megabucks and the 7-Up prospects respectively.
Theinterpretationofallgeochemistryresultssuggestalargelithium-mineralisedsystemandprovidesChargerwith an exploration roadmap, enabling prioritization of the most significant drill-ready targets while identifying areas that need further infill soil sampling andmapping.
The Company is advancing planning and permitting towards its maiden drilling program at Bynoe, aimed to commence at the cessation of the Northern Territory wetseason.”
Click here for the full ASX Release
This article includes content from Charger Metals, licensed for the purpose of publishing on Investing News Australia. This article does not constitute financial product advice. It is your responsibility to perform proper due diligence before acting upon any information provided here. Please refer to our full disclaimer here.
CHR:AU
17h
3 Best-performing ASX Lithium Stocks of 2024
Global demand for lithium-based power presents a significant opportunity for Australia, the world's top lithium-producing nation.
Australia’s abundant lithium reserves and strong output position it as a key player in shaping the battery value chain into the 2030s. However, rapid EV market growth has driven increased mining, leading to a global lithium surplus.
The lithium market experienced significant upheaval in 2024, with oversupply and weaker-than-expected EV demand driving a 22 percent drop in lithium carbonate prices.
The year began with a supply glut weighing heavily on prices, which briefly rose in March before resuming their decline. Analysts project a continued surplus into 2025, despite production cuts and project delays.
While Chinese EV sales hit record highs late in the year, geopolitical tensions — including tariffs and potential US policy changes — added uncertainty to the global lithium landscape, leaving the market in a prolonged low-price environment.
Here the Investing News Network looks at the top three ASX-listed lithium companies by year-to-date gains. The list below was generated using TradingView’s stock screener on December 31, 2024, and includes companies that had market caps above AU$10 million at that time. Read on to learn more about their activities over the past year.
1. Vulcan Energy Resources (ASX:VUL)
Year-to-date gain: 84.48 percent
Market cap: AU$1.19 billion
Share price: AU$5.35
Europe-focused Vulcan Energy Resources aims to support a carbon-neutral future by producing lithium and renewable energy from geothermal brine. The company is currently developing the Zero Carbon lithium project in Germany's Upper Rhine Valley. Vulcan is utilising a proprietary alumina-based adsorbent-type direct lithium extraction (DLE) process to produce lithium with an end goal of supplying sustainable lithium for the European EV market.
On April 11, Vulcan announced the commencement of lithium chloride production at its lithium extraction optimisation plant in Germany. According to the company, the milestone marks the first lithium chemical production in Europe using local supply. The plant consistently exhibited over 90 percent lithium extraction efficiency.
The company already has binding lithium offtake agreements in place with major automakers and battery manufacturers, and expects to supply enough lithium for 500,000 EVs during the first phase of production.
During the third quarter, Vulcan received its first licences for lithium and geothermal exploration in Alsace, France. The permits cover 463 square kilometres, expanding Vulcan's total licenced area in the Upper Rhine Valley to 2,234 square kilometres across France and Germany.
In early August, Vulcan began commissioning its downstream lithium hydroxide optimisation plant (CLEOP) near Frankfurt, Germany, which will process the lithium chloride concentrate from its DLE plant.
A mid-October release from Vulcan outlines a memorandum of understanding with industrial software designer AVEVA. The partnership will see AVEVA build a digital framework for Vulcan’s Zero Carbon lithium project.
Also in October, the company earned S&P Global’s highest "dark green" sustainability rating, a first for the mining sector, under its Green Financing Framework.
On November 8, Vulcan announced it had commenced lithium hydroxide production at CLEOP. The milestone coincided with an AU$162 million funding infusion from Germany’s Federal Ministry of Economics and Climate Protection and the European Recovery and Resilience Facility.
To end the year, Vulcan announced the signing of a AU$1.45 billion conditional debt commitment letter with Export Finance Australia and a group of seven commercial banks.
2. Ioneer (ASX:INR)
Year-to-date gain: 6.67 percent
Market cap: AU$353.35 million
Share price: AU$0.16
Australia-listed Ioneer owns the Rhyolite Ridge lithium-boron project in Nevada, US. The project is considered the “sole lithium-boron deposit in North America.”
As part of the permitting process for the Rhyolite Ridge project, Ioneer completed and submitted the administrative draft environmental impact statement (EIS) to the US Bureau of Land Management (BLM) in mid-January. In mid-September, Ioneer announced that the BLM published the final EIS, moving the company closer to construction.
The comprehensive review process addressed environmental concerns, particularly regarding the protection of the endangered Tiehm's buckwheat plant found at the site. Ioneer has committed to measures aimed at safeguarding the plant's habitat.
In October, Ioneer securedfinal federal approval for its Rhyolite Ridge project, marking the first US lithium mine authorized under the Biden administration.
Rhyolite Ridge is projected to produce sufficient lithium for approximately 370,000 electric vehicle batteries annually. Construction is slated to commence in 2025, with production expected by 2028.
3. Prospect Resources (ASX:PSC)
Year-to-date gain: 2.25 percent
Market cap: AU$52.03 million
Share price: AU$0.09
Africa-focused exploration company Prospect Resources holds a diversified portfolio of assets in Zimbabwe, Zambia and Namibia. The company’s lithium prospects, Omaruru and Step Aside, are in Namibia and Zimbabwe respectively.
In late June, Prospect released an update on its exploration activities, reporting strong assay results from Phase 4 diamond drilling at the Step Aside lithium project in Zimbabwe and follow-up Phase 2 drilling at the Omaruru lithium project.
In the statement, Managing Director Sam Hosack highlighted the significant mineralization potential at both projects.
Moving forward, Prospect plans to slow down spending at its lithium projects as it turns to its newly acquired Mumbezhi copper project in Zambia. The company believes it can monetize Step Aside in the near term to aid in this goal.
In its June quarterly results, Prospect noted the completion of drilling and fieldwork for the Phase 4 diamond drilling program at the Step Aside lithium project in Zimbabwe, with no further exploration planned. The project is being prepared for sale to help fund the Mumbezhi copper project.
Meanwhile, Phase 2 drilling at the Omaruru lithium project is complete, and the company has reduced spending to holding costs as focus shifts to the Mumbezhi project.
In its September quarterly report, the company noted it was discontinuing its Bikita Gem earn-in project in Southeastern Zimbabwe after drilling results failed to identify economically viable volumes of petalite-rich lithium mineralization.
FAQs for investing in lithium
What is lithium?
Lithium is the lightest metal on the periodic table, and it is used in a wide variety of applications, including lithium-ion batteries, pharmaceuticals and industrial applications like glass and steel.
How do lithium-ion batteries work?
Rechargeable lithium-ion batteries work by using the flow of lithium ions in the battery's cell to power a device.
A lithium-ion battery has one or more cells, depending on the amount of energy storage it is capable of, and each cell has a positive electrode and negative electrode with an electrolyte separating them. When the battery is in use, lithium ions flow from the negative electrode to the positive electrode, running out of power once all have transferred. When the battery is charging, ions flow the opposite way.
Where is lithium mined?
Lithium is mined from two types of deposits, hard rock and evaporated brines. Most of the world's lithium production comes out of Australia, which hosts the Greenbushes hard-rock lithium mine. The next-largest producing country is Chile, which like Argentina and Bolivia is located in South America's Lithium Triangle.
Lithium in this famed area comes from evaporated brines, including the Salar de Atacama. Lithium can also be found in sedimentary deposits, but currently none are producing.
Where is lithium found in Australia?
Australia is the world’s top producer of lithium, and its lithium mines are all located in Western Australia except for one, which is Core Lithium’s (ASX:CXO,OTC Pink:CXOXF) Finniss mine in the Northern Territory. Western Australia accounts for around half of global lithium production, and the state is looking to become a hub for critical elements.
Who owns lithium mines in Australia?
Several companies own lithium mines in Australia, including some of the biggest ASX lithium stocks. In addition to the entities discussed above, others include: Pilbara Minerals (ASX:PLS,OTC Pink:PILBF) with its Pilgangoora operations; Arcadium Lithium with the Mount Cattlin mine; Jiangxi Ganfeng Lithium (HKEX:0358), which owns the Mount Marion mine alongside Mineral Resources (ASX:MIN,OTC Pink:MALRF); and Tianqi Lithium (SZSE:002466), which is a partial owner of Greenbushes via its stake in operator Talison Lithium.
Who is Australia’s largest lithium producer?
Australia’s largest lithium producer is Albemarle (NYSE:ALB), which has interests in both the Greenbushes and Wodgina hard-rock lithium mines. Greenbushes is the world’s largest lithium mine, and Albemarle holds 49 percent ownership of operator Talison Lithium’s parent company.
Albermarle also has 60 percent ownership of Mineral Resources’ Wodgina mine, and owns the Kemerton lithium production facility as part of a 60/40 joint venture with Mineral Resources.
Don’t forget to follow us @INN_Australia for real-time updates!
Securities Disclosure: I, Georgia Williams, currently hold no direct investment interest in any company mentioned in this article.
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02 January
CEOL Application and Amended 2024 Interim Results for ASX listing
CleanTech Lithium PLC ("CleanTech" or the "Company"), an exploration and development company advancing lithium projects in Chile for the clean energy transition, provides an update on the Laguna Verde CEOL application (CEOL Application Update) and on the Company's amended unaudited financial results for the six months ended 30 June 2024 (Interim Results) first published on 30 September 2024.
CEOL Application Update
On 28 November 2024, the Company confirmed it was on course to submit its application for the Special Lithium Operating Contract ("CEOL") for its Laguna Verde project by 31 December 2024. The 31 December 2024 deadline was initially set by the Chile Government Mining Ministry (the "Ministry") and served as the basis on which the Company timed its CEOL application. Since setting that initial deadline, the Ministry, in addition to announcing it would consider CEOL applications from private companies on a further six projects, announced it was extending the deadline for CEOL application submissions by one month, to 31 January 2025. Notwithstanding the extended deadline, the Company intends to submit its CEOL application in the early part of January 2025, well in advance of the new deadline, and announce same once made.
The Company is encouraged by recent progress on its CEOL application. The application itself will be a substantial document, supported by an extensive collection of technical, operational and financial data produced and gathered from activities at Laguna Verde over the last 3-4 years. The Company believes it is well-placed to secure the award of the CEOL and meet specific criteria, established by the Ministry, to allow applicants to enter into direct discissions with the Ministry and avoid the need for any subsequent public tender process.
Review and amendment of 2024 Interim Financial Results for ASX listing
In progressing the documentation to support the Company's proposed dual listing on ASX, it has been necessary for the Interim Results to be independently reviewed by the Company's auditor.
As a result of that review, the Company has reconsidered its interpretation of the accounting standards related to the recognition of the commissions and warrants associated with the issuance of Loan Notes, which were first announced on 1 July 2024. Following the reinterpretation of guidance, the fair value of warrants and the commissions directly linked to the Loan Notes are now recognised as a part of the liability within the statement of financial position and will be amortised to the income statement over the life of the Loan Notes. This differs from the original (incidentally more prudent) treatment, which recorded the full value of the commissions and warrant fair value in the income statement upon initial recognition. As a result, the Loan Note liability is now shown as £1.5 million (previously reported as £2.1 million) with an operating loss for the period of £2.2 million (previously reported as £2.8 million). Any other changes to the Interim Results are a consequence of those changes or reflect typographical corrections.
A copy of the reviewed and amended financial results for the six-month period ended 30 June 2024 is available for investors on the Company's website https://ctlithium.com/investors/circulars-documents/
For further information contact: | |
Steve Kesler/Gordon Stein/Nick Baxter | Jersey office: +44 (0) 1534 668 321 Chile office: +562-32239222 |
Or via Celicourt | |
Celicourt Communications Felicity Winkles/Philip Dennis/Ali AlQahtani | +44 (0) 20 7770 6424 cleantech@celicourt.uk |
Beaumont Cornish Limited (Nominated Adviser) Roland Cornish/Asia Szusciak | +44 (0) 20 7628 3396 |
Fox-Davies Capital Limited (Broker) | +44 (0) 20 3884 8450 |
Daniel Fox-Davies | |
Canaccord Genuity (Broker) James Asensio | +44 (0) 20 7523 4680 |
Beaumont Cornish Limited ("Beaumont Cornish") is the Company's Nominated Adviser and is authorised and regulated by the FCA. Beaumont Cornish's responsibilities as the Company's Nominated Adviser, including a responsibility to advise and guide the Company on its responsibilities under the AIM Rules for Companies and AIM Rules for Nominated Advisers, are owed solely to the London Stock Exchange. Beaumont Cornish is not acting for and will not be responsible to any other persons for providing protections afforded to customers of Beaumont Cornish nor for advising them in relation to the proposed arrangements described in this announcement or any matter referred to in it.
Notes
CleanTech Lithium (AIM:CTL, Frankfurt:T2N, OTCQX:CTLHF) is an exploration and development company advancing lithium projects in Chile for the clean energy transition. Committed to net-zero, CleanTech Lithium's mission is to become a new supplier of battery grade lithium using Direct Lithium Extraction technology powered by renewable energy.
CleanTech Lithium has two key lithium projects in Chile, Laguna Verde and Viento Andino, and exploration stage projects in Llamara and Arenas Blancas (Salar de Atacama), located in the lithium triangle, a leading centre for battery grade lithium production. The two most advanced projects: Laguna Verde and Viento Andino are situated within basins controlled by the Company, which affords significant potential development and operational advantages. All four projects have good access to existing infrastructure.
CleanTech Lithium is committed to utilising Direct Lithium Extraction with reinjection of spent brine resulting in no aquifer depletion. Direct Lithium Extraction is a transformative technology which removes lithium from brine with higher recoveries, short development lead times and no extensive evaporation pond construction www.ctlithium.com
Click here for the full release
This article includes content from Cleantech Lithium PLC, licensed for the purpose of publishing on Investing News Australia. This article does not constitute financial product advice. It is your responsibility to perform proper due diligence before acting upon any information provided here. Please refer to our full disclaimer here.
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31 December 2024
Lithium Market 2024 Year-End Review
Lithium prices remained low in 2024 on the back of oversupply and weak demand.
Lithium carbonate spent the majority of the year contracting, shedding 22 percent between January and December. Prices started the 12 month period at US$13,160.20 per metric ton (MT) and ended it at US$10,254.16.
The weak price environment was the result of a supply glut, a factor that S&P Global expects to persist in 2025.
In a November report, the firm forecasts a “global surplus of approximately 33,000 metric tons of lithium carbonate equivalent in 2025, a decrease from the 84,000 metric tons surplus projected for 2024 and 2023's 120,000 metric tons."
Against that backdrop, S&P is projecting continued lithium carbonate price declines next year, with the annual average price projected at US$10,542 in 2025, down from US$12,374 in 2024 and a steep drop from US$40,579 in 2023.
Adding to price pressure, advances in alternative battery technologies are posing challenges to lithium's traditional dominance. In 2024, these factors combined to create a year of volatility and transformation for the critical battery metal.
Supply surplus weighs on lithium prices
Market saturation emerged as a key theme for lithium early in the year as a continued surplus weighed on prices.
The excess comes on the back of steadily growing mine supply over the last four years. In 2020, the annual global mine supply tally was 82,500 MT, a number that more than doubled in 2023 to 180,000 MT.
Prices for lithium carbonate remained in the US$13,000 range for January, but began to rise in mid-February, ultimately reaching a year-to-date high of US$15,969.26 on March 14.
The price momentum was attributed to announcements that some new projects were being delayed, while operations in development and production were being transitioned to care and maintenance.
“We also began to see some supply response to the persistent lower price environment, with the announcement of delays to expansion plans and layoffs at some lithium producers or aspirants,” Adam Megginson, analyst at Benchmark Mineral Intelligence, told the Investing News Network during the first quarter.
“I only expect this to palpably impact the supply picture in 12 to 18 months, as that is when these expansions were planned to ramp.”
Record-setting lithium M&A activity
This precarious landscape was fertile ground for M&A deals, which occurred throughout the year.
“As lithium projects struggle to stay above water, analysts also expect M&A activity to increase as major producers with positive cash flow try to find deals in the market while junior companies try to sell projects in a market where private capitals are scarcer than previous years," a February 12 report from S&P Global states.
2024 started with the completion of Livent (NYSE:LTHM) and Allkem's merger of equals. The deal saw the two companies combine under the Arcadium Lithium (NYSE:ALTM,ASX:LTM) banner,boasting a market cap of US$5.5 billion and an extensive portfolio of lithium production assets and resources across the Americas and Australia.
By September, the weak price environment had forced Arcadium to halt expansion plans for its Mount Cattlin spodumene operation in Western Australia, with plans to transition to care and maintenance by mid-2025.
Despite that setback, Arcadium made headlines once again a month later as global mining major Rio Tinto (ASX:RIO,NYSE:RIO,LSE:RIO) made a move to acquire the multinational lithium company. Once the US$6.7 billion all-cash transaction closes, Rio Tinto will become the third largest producer of lithium globally.
Another notable 2024 lithium deal was Pilbara Minerals' (ASX:PLS,OTC Pink:PILBF) August plan to acquire Latin Resources (ASX:LRS,OTC Pink:LRSRF) in an all-stock deal valued at approximately US$369.4 million.
The acquisition will grant Pilbara Minerals access to Latin Resources' flagship Salinas lithium project in Brazil's Minas Gerais state, enhancing its presence in the burgeoning North American and European battery markets.
In late November, Sayona Mining (ASX:SYA,OTCQB:SYAXF) and US-based Piedmont Lithium (ASX:PLL,NASDAQ:PLL) unveiled a merger that is set to create a consolidated entity valued at about US$623 million.
These deals helped make lithium one of the most active M&A segments in the critical minerals space.
“Lithium stands out with both the highest volume of deals and largest total deal value from 2020-24 (US$24 billion),” a 2025 critical minerals outlook from Allens reads. “Deal volume for lithium M&A deals peaked in 2023, but remains relatively high in 2024, showing comparable volume to 2022.”
Global EV sales rebound amid trade tensions and policy shifts
As one of the largest end-use segments for lithium, the EV industry is a key factor in the market.
Weak North American EV sales early in the year offset some positivity out of Asian markets; however, in late Q3 and Q4, global sales began to pick up momentum. In October, the Chinese EV market set another monthly record with 1.2 million units sold, a 6 percent month-on-month increase. According to data from research firm Rho Motion, EV sales between January and October were up 24 percent compared to the same period in 2023.
“The global EV market is now picking back up again, hitting record sales for the second month in a row. Most of the growth is coming from China and Western manufacturers are clearly feeling threatened by this. The US market remains buoyant in part thanks to Inflation Reduction Act (IRA) funding for consumers switching to electric which may be at risk with the start of the Trump presidency,” said Charles Lester, data manager at Rho Motion.
However, there is speculation that President-elect Donald Trump will dismantle key components of the IRA, particularly targeting the US$7,500 EV tax credit. His transition team has indicated intentions to eliminate this consumer incentive, which was designed to promote EV adoption and bolster the country's clean energy sector.
Critics have argued that removing the tax credit could hinder domestic EV sales and potentially benefit foreign competitors, notably China, by undermining investments in the US battery supply chain.
With that in mind, the proposed repealing of the tax credit has raised concerns among automakers and environmental advocates about the future of America's competitiveness in the rapidly growing global EV market.
The Biden administration made efforts to address that issue in May, when it sharply increased tariffs on Chinese EVs, raising duties to over 100 percent to counter alleged unfair trade practices. While the move was made to bolster domestic EV production and sales, critics said it could disrupt supply chains and raise consumer costs.
Following suit in August, North American neighbor Canada levied a 100 percent tariff on Chinese EVs, aligning with the US and EU to counter China’s trade practices. At the time, Prime Minister Justin Trudeau criticized China’s policies as unfair, citing their impact on Canadian industries and workers. He emphasized the need to protect the domestic EV and metal sectors from overcapacity caused by China’s state-driven production.
Canada also introduced a 25 percent surtax on Chinese steel and aluminum imports.
In response, China filed a formal complaint with the World Trade Organization over Canada’s decision to impose tariffs on Chinese-made EVs, steel and aluminum. Beijing criticized the measures as protectionist and in violation of international trade rules. China also filed similar complaints against the US and EU.
As uncertainty continues to plague the lithium space, analysts are projecting a sustained low-price environment into 2025, despite the production cuts and project delays that were prevalent in 2024.
"With the production cuts announced so far having primarily been about slowing future growth rather than immediate production, strong mine supply growth is still expected in the short-term, namely 24.7 percent in 2024 and 17.4 percent in 2025," Macquarie analysts told S&P Global as 2024 drew to a close.
"This suggests lower prices will need to persist for longer in the absence of any further price-induced cuts that rebalance the market sooner than our forecasts indicate.”
Don't forget to follow us @INN_Resource for real-time updates!
Securities Disclosure: I, Georgia Williams, hold no direct investment interest in any company mentioned in this article.
Editorial Disclosure: The Investing News Network does not guarantee the accuracy or thoroughness of the information reported in the interviews it conducts. The opinions expressed in these interviews do not reflect the opinions of the Investing News Network and do not constitute investment advice. All readers are encouraged to perform their own due diligence.
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30 December 2024
Top 5 Canadian Lithium Stocks of 2024
Ongoing surpluses in the lithium market continued weighing down prices and impeding the sector’s growth throughout 2024.
A broad consolidation prompted analysts to declare that prices have bottomed, signaling a potential recovery ahead.
According to a Sprott Insights report from late July, a lithium shortage could materialize in 2025 and will be exacerbated by the lack of new production able to ramp up quickly.
“There are currently only 101 lithium mines in the world, and even as more mines and exploration projects come online, the added supply may likely not be able to keep up with demand,” Jacob White wrote.
Demand from China alone is projected to climb by nearly 20 percent annually over the next decade.
The impact of lithium shortages may also be heightened by the low-price environment that has plagued the market in 2024.
“This is especially evident given that the current unsustainably low lithium prices have led to project curtailments and driven some miners to reduce capital expenditures and investments in future supply,” White noted. “We believe that the lithium price may have bottomed, and higher lithium prices may be necessary to incentivize the required future production.”
The Investing News Network has created an overview of the top 5 Canadian lithium stocks listed on the TSX, TSXV and CSE. This list was created on December 27, 2024, using TradingView‘s stock screener, and all data was current at that time. Only companies with market caps above C$10 million for TSX and TSXV and above C$5 million for CSE are included.
1. Q2 Metals (TSXV:QTWO)
Year-to-date gain: 220 percent
Market cap: C$106.11 million
Share price: C$0.80
Exploration firm Q2 Metals is exploring its flagship Mia lithium property in the Eeyou Istchee James Bay region of Québec, Canada. The property contains the Mia trend, which spans over 10 kilometers. Also included in Q2 Metals' portfolio is the Stellar lithium property, comprised of 77 claims and located 6 kilometers north of the Mia property.
In 2024, Q2 Metals also focused on exploring the Cisco lithium property, which is situated in the same region. On February 29, the company entered into three separate option agreements to gain a 100 percent interest in Cisco. The news caused its share price to skyrocket, reaching a Q1 high of C$0.54 on March 4.
Q2 Metals closed the acquisition of Cisco in June and now wholly owns the project.
In mid-May, the company announced the start of a summer drill program at the Cisco property. It has since released multiple significant updates, including the confirmation of eight new mineralized zones on July 8.
On October 1, Q2 released assays from the drill program, and its share price spiked on the news, ultimately climbing to an all-time high of C$1.48 on October 11.
“These assays continue to validate the potential and scale of the Cisco Property as that of a larger mineralized system,” said Neil McCallum, vice president of exploration. “One important observation of these results is the higher-grade nature of the larger mineralized system as we test and track the system progressing to the south.”
By the end of the drill program, the company had drilled 17 holes covering 6,360 meters in total, and it released the final results from the campaign on December 17.
As of mid-December, Q2 now has the exclusive right to acquire a 100 percent interest in 545 additional mineral claims, which would triple its land position at the Cisco lithium property. The new claims, located south of the original property, enhance prospects for development and future mining infrastructure.
2. Power Metals (TSXV:PWM)
Year-to-date gains: 73.08 percent
Market cap: C$67.57 million
Share price: C$0.45
Exploration company Power Metals holds a portfolio of diversified assets in Ontario and Québec, Canada.
In late February, Power Metals commenced a winter drill program at its Case Lake property in Northeastern Ontario. The program was designed to expand and define lithium-cesium-tantalum (LCT) mineralization, building on previous work that revealed high-grade lithium and cesium mineralization.
Company shares rose to an H1 high of C$0.47 at the end of March coinciding with news that Power Metals had staked the 7,000 hectare Pelletier project, consisting of 337 mineral claims in Northeast Ontario. According to the company, the project features LCT potential, with peraluminous S-type pegmatitic granites intruding into metasedimentary and amphibolite formations.
During Q4, Power Metals identified a new pegmatite zone at Case Lake through soil sampling. The samples from the zone, located north-northwest of its West Joe prospect, revealed elevated levels of cesium, tantalum, lithium and rubidium, highlighting promising drill targets for the winter program.
The company has also launched its Phase 2 drone magnetic survey, to refine its structural model for critical mineral targets at West Joe and the Main Zone ahead of 2025 exploration efforts.
In a December 10 exploration update, Power Metals disclosed that its partner Black Diamond Drilling, a First Nations owned drilling company, had completed a total of 16 drill holes for 971 meters of the planned 2,000 meter program. Environmental studies are also ongoing.
Shares rose over the following week to a year-to-date high of C$0.49 on December 16.
3. Lithium Chile (TSXV:LITH)
Year-to-date gains: 45.28 percent
Market cap: C$163 million
Share price: C$0.77
South America-focused Lithium Chile owns several lithium land packages in Chile and Argentina, including its Salar de Arizaro property in Argentina.
On April 9, Lithium Chile announced a 24 percent increase in the resource estimate for Salar de Arizaro. The new total for the project is 4.12 million metric tons (MT) of lithium carbonate equivalent, categorized as follows: 261,000 MT in the measured category, 2.24 million MT in the indicated category and 1.62 million MT in the inferred category.
Not long after, on April 18, the company reported the creation of two wholly owned Canadian subsidiaries — Lithium Chile 2.0 and Kairos Gold — as part of a spinout to separate its Chilean and Argentinian assets.
Lithium Chile will retain its Argentinian lithium projects, and transfer its 111,978 hectares of Chilean lithium properties to Lithium Chile 2.0 and its portfolio of gold assets in Chile to Kairos Gold.
In a July operational update for the Salar de Arizaro project the company highlighted that a drill hole encountered "a brine-rich, sandy formation encountered from 161 to 500-metres."
An August announcement provided an update, noting the spin out of Lithium Chile 2.0 was reliant on finalizing a strategic deal for the company's Arizaro property. As for Kairos Gold, its spin out was effective on December 4.
In mid-December, Lithium Chile penned a letter of intent to sell its 80 percent stake of the Argentinian Arizaro lithium project.
While Lithium Chile did not disclose the buyer it was noted that the buyer “is a large, Asian based company founded over two decades ago (and) a diversified enterprise with significant interests in mining, renewable energy, and technology sectors.”
The move to sell its flagship asset signals a significant step in the company's strategic realignment. Although company shares reached a year-to-date high of C$0.88 in March, the recent sale news has pushed shares into the C$0.80 level.
4. Volt Lithium (TSXV:VLT)
Year-to-date gains: 26.09 percent
Market cap: C$47.53 million
Share price: C$0.29
Volt Lithium is a lithium development and technology company aiming to become a premier North American lithium producer utilizing its unique technology to extract lithium from oilfield brine.
On April 29, Volt announced a strategic investment of US$1.5 million by an unnamed company operating in the Delaware Basin in West Texas, US. This investment is earmarked for the deployment of a field unit to produce lithium hydroxide monohydrate using Volt's proprietary direct lithium extraction (DLE) technology.
The company's share price retreated in the second half of Q2, but July 17 news that Volt increased its processing capacity at its operations in Alberta, Canada, by 100 fold to 96,000 liters per day caused its price to shoot up more than C$0.08 during trading that day.
An August announcement from Volt highlighted the deployment and subsequent production scale up of Volt’s DLE technology in the Permian Basin. The field unit's processing capacity had been increased to 200,000 liters, or 1,250 barrels, of oilfield brine per day on location in West Texas.
At the end of Q3, Volt achieved first lithium production in the Permian Basin. Shares of Volt reached a year-to-date high of C$0.49 on September 26, the day of the announcement.
“Achieving first lithium production establishes Volt as a leader in direct lithium extraction from North American oilfield brines and marks the Company’s strategic shift from development to production,” said Alex Wylie, the company's president and CEO.
During the fourth quarter the company raised C$6.2 million through a two-tranche private placement.
In mid-December Volt partnered with Wellspring Hydro to test its proprietary DLE technology in North Dakota, US. The field study aims to evaluate the feasibility of extracting lithium from oilfield brine in the Bakken formation.
Volt also released another update on its field operations in Texas, where it had increased processing to more than 2,500 barrels per day. In January 2025, the company expects to commission its next field unit, which will process up to 10,000 barrels per day.
5. Nevada Lithium Resources (CSE:NVLH)
Year-to-date gains: 14.89 percent
Market cap: C$62.9 million
Share price: C$0.27
Mineral exploration and development company Nevada Lithium Resources is focused on advancing its flagship Bonnie Claire lithium-boron project, located in Nye County, Nevada, US.
In January, Nevada Lithium released the results of a previously conducted seismic survey. The findings identified “a major north-south-trending fault zone as a target for lithium brine exploration.”
At the beginning of Q2 the company reported the commencement of the updated preliminary economic assessment for Bonnie Claire. Additionally, the company also noted “positive” results from test work on the proposed hydraulic borehole mining method that is being considered for the project.
The company also released several drill hole updates throughout the year highlighting the potential of its asset.
In mid-December, Nevada Lithium filed its mineral resource estimate for Bonnie Claire's Lower and Upper Zones, which featured significantly increased tonnage and grades. The project's Lower Zone hosts an indicated resource of 275.85 million metric tons grading 3,519 parts per million lithium and 8,404 parts per million boron.
The company announced on December 27 that it is commencing trading on the TSXV on December 31. The news sent shares to a year-to-date high of C$0.27 that day.
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Securities Disclosure: I, Georgia Williams, hold no direct investment interest in any company mentioned in this article.
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22 December 2024
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