In a recent interview with Midas Letter MGX Minerals (CSE:XMG) Chairman and CEO of U.S. subsidiary Petrolithium Corporation of America outlines the reasons he sees MGX founder Jared Lazerson as a visionary, and why he thinks MGX is the “first mover” in the Petro lithium space.
Marc Bruner: Well I think so, and the thing that really attracts me here is that the oilfields, okay, that produces the water, okay, and especially the stuff in Canada – I mean, it’s a wastewater product, right? Anyone that would come in and turn wastewater into an economical project has a big benefit. There’s a symbiotic relationship between the people that own the oilfields and MGX, because MGX owns the brines.
I think the other thing that’s important to consider is a lot of these oilfields are at the twilight of their existence. And you know, the oil companies have substantial plugging liabilities out here. Anything that will help mitigate those plugging liabilities and give those oil companies additional cash flow streams is a very good thing for both companies. So I think that’s, I’m very confident that as this process develops with striking the lithium from these oilfield brines in Canada, it’s going to work out very well for MGX.
James West: Sure.
Marc Bruner: In the United States, MGX has just announced that they have placer claims, staked placer claims, across Lisbon Field in the Paradox Basin. Paradox Basin happens to be one of the richest brine deposits, if not the richest brine deposit, in the United States, in my opinion. Some of the lithium contents are up to 1700 parts per million where we staked in this old field, and those lithium contents are commensurate with lithium contents down in Argentina and Chile, where you have some substantial deposits. But the nice thing about this deposit is that you don’t have political risk associated with it. With Jared’s extraction process, you could start producing lithium from day one, not have to wait up to 24 months to produce the lithium.
So many advantages associated with what we’ve just done in the Paradox Basin, and we’re very excited about it being our first acquisition in the United States.
James West: Right. So do you think that, from a geographical perspective, considering the bias of the new administration towards American-sourced raw materials and goods, you think that there’s a potential assuming that MGX reaches commercial production and commercial volumes of lithium production from these projects, that they could realistically expect to have relationships with the likes of Tesla and other consumers of lithium for the battery space?