CORRECTION

The Lithium Boom Is Only Just Getting Started

FN Media Group Presents Safehaven.com Market Commentary

NEW YORK, Feb. 22, 2021 /PRNewswire/ -- In 2019, 97-year-old John B. Goodenough received the Nobel Prize for his groundbreaking work on developing lithium-ion batteries. His discovery more than 40 years ago led to a massive breakthrough, giving us the rechargeable batteries hidden inside devices we use every day...From smartphones and computers to power tools and medical equipment. But today, it's led to a boom that's signaling the biggest shift in the auto industry in over 100 years.  Mentioned in today's commentary includes:  Algonquin Power & Utilities Corp. (NYSE: AQN), Suncor Energy Inc. (NYSE: SU), Teck Resources Limited (NYSE: TECK), Westport Fuel Systems (NASDAQ: WPRT), Blackberry Limited (NYSE: BB).

It's expected to change the landscape of our cities… What vehicles we buy… And how we travel throughout the day. That's why Tesla has built a 1.9 million square foot factory to ramp up production of the lithium-ion batteries for their electric vehicles…With plans to produce batteries for over 500,000 vehicles per year.

Given the amount of lithium required to support this huge projected market, lithium mining companies are experiencing a major boost. And one small company, United Lithium (ULTH; ULTHF), could be in a prime position to benefit after agreeing to buy an exciting new property.

While North America has largely been explored already over the last 50 to 100 years…Europe's seeing new opportunities that could prove to be extremely lucrative in the days ahead. And United Lithium is preparing to dive in at their new Bergby Project in Sweden, once their purchase closes. They'll jump right on it, because the deal terms call for United to spend at least $1M on the property in the first 18 months after closing.

Untapped Lithium Deposits Near The Surface

The new Bergby property covers an enormous 1,903 hectares of land. And it hasn't taken long for them to get an idea of what they may find in their upcoming drill program. That's because much of this untapped lithium deposit outcrops on the surface. This means the production costs shouldn't be driven up by deep holes just to test what they're sitting on.

They've got more promising data on the property from historical testing in recent years as well.

In 2017, 33 holes were drilled in the Bergby property, and 27 of them struck lithium. But even with 27 of 33 holes delivering positive results, this number could have been even higher if these initial holes went deeper under the surface.