Lithium Market Continues to Surge as Demand and Supply Issues Persist
PALM BEACH, Florida, June 14, 2018 /PRNewswire/ --
MarketNewsUpdates.com News Commentary
Despite fear of a shortage, professionals in the Lithium Market are confident of the metal's performance well into the 2020's as demand continues to rise and the variety of applications increases in turn. The rise of electric vehicles and smart phones is the primary driver of the market's growth, but there are numerous other uses that are also adding to the overall sense of optimism. Such as demand from other EVs - e-buses, e-trucks, e-ships and e-boats, e-bikes, soon e-planes, the energy storage and electronics sectors. China has long been the leader of lithium supply, but other countries have joined the race as the revenues climb into the multi-billion dollar atmosphere. In 2019 the industry is expected to see some expansion from existing lithium miners to meet the demand surge, and by 2020/2021 some new lithium juniors will mostly likely be entering the space. Active companies in the markets today include: NRG Metals Inc. (TSX-V:NGZ) (OTC:NRGMF), Sociedad Quimica y Minera de Chile (NYSE:SQM), FMC Corporation (NYSE:FMC), Millennial Lithium Corp. (OTC:MLNLF) (TSX-V:ML) Sherritt International Corporation (OTC:SHERF) (TSX:S).
NRG Metals Inc. (TSX-V:NGZ) (OTCQB:NRGMF) (Frankfurt OGPN) BREAKING NEWS: NRG Metals is pleased to report that assays for double packer samples collected over the interval from
100 to 300 meters of the first core have been received, and average 888 mg/L lithium with a relatively low Mg to Li ratio of 3.0 to 1.0. These values are very similar to those returned for the
first 100 meters of the hole, indicating the presence of a remarkably consistent high-grade brine. The assay results are shown in the table that can be seen at:
The hole has been completed to the targeted depth of 401 meters, and the drill has been moved approximately 2.2 kilometers to the east where drilling on a second core hole is underway. As of June 12, the hole had advanced to a depth of 151 meters mostly in clastic sediments consisting of poorly consolidated sandstone and conglomerate.
José de Castro, Chief Operating Officer of NRG Metals Inc., commented, "We are very excited about the outstanding results from our first hole. The results continue to exceed our expectations. These high grades and favorable Mg to Li ratios have the potential to have a very positive impact on any future capital and operating costs should the economic viability and technical feasibility of the project be established. We are very encouraged to see the entry of POSCO from South Korea into the Hombre Muerto basin with their pending $ 280 million purchase of the northern part of the Sal de Vida lithium project from Galaxy Resources Ltd."
The rotary hole located 16 meters east of the core hole has been completed at a depth of 393 meters, and the diameter is being enlarged by reaming in order to install perforated casing for pumping tests. If the results warrant, this hole can be utilized as a production well.
The sampling was conducted with double packer equipment over one-meter intervals approximately every ten meters depending upon conditions in the hole. Samples were not collected from some of the
intervals below a depth of 160 meters due to restricted fluid flow. On site QA/QC for the sampling was directed by Cristian Avila of Montgomery and Associates of
Santiago, Chile under the supervision of Mike Rosko, also of Montgomery and Associates, a Qualified Person under NI 43-101. The
samples were assayed by the Alex Stewart Laboratory Read this and more news for NRG Metals at http://www.marketnewsupdates.com/news/nrg.html
In other mining industry news and developments:
Sociedad Quimica y Minera de Chile (NYSE:SQM) recently reported earnings for the three months ended March 31, 2018 of US$113.8 million(US$0.43 per ADR), an increase from US$103.2 million(US$0.39 per ADR) reported for the three months ended March 31, 2017. Gross profit(3) reached US$192.7 million (37.1% of revenues) for the three months ended March 31, 2018, higher than US$177.9 million (34.3% of revenues) recorded for the three months ended March 31, 2017. Revenues totaled US$518.7 million for the three months ended March 31, 2018, representing a slight increase of 0.03% compared to US$518.6 million reported for the three months ended March 31, 2017. SQM's Chief Executive Officer, Patricio de Solminihac, stated, "Our results for the first three months of the 2018, were positive, the performance seen in our main business lines was strong. The lithium market and lithium prices continue to exceed expectations. In the potassium chloride and potassium sulfate business line, sales volumes were significantly lower, and as indicated before, should be lower than one million metric tons this year.