Wednesday, December 9, 2009

Money goes to Quality Groups - TNR.V, CLQ.v, WLC.v, LI.v, EFG, MCI, ETN, AMLM

The confidence of a good salesmen is when he doesn't even take credit for the sale - as he knows there's a much bigger goal in the future...

If a store owner puts more money into his own business without asking outside investors - what does it mean?? He must have something good, so good he doesn't want to dilute it down with outsiders.

Quality junior companies always attract quality groups - high networth large shareholder/chairman Klip finds a strategic investor... makes you think that whatever he has planned for TNR & International's bound to be more than few measly 10% gain, no?


December 8, 2009


Vancouver B.C.: TNR Gold Corp. (“TNR” or the “Company”) and wholly-owned International Lithium Corp. (“ILC”) are pleased to announce a fully subscribed non-brokered private placement in TNR for 10,000,000 ( ten million) units (the “Units”), priced at $0.30 per Unit, to raise $3,000,000 (the “Offering”). Each Unit consists of one common share and one-half common share purchase warrant. Each whole warrant entitles the holder to purchase one additional common share of the Company at a price of $0.40 for a period of twenty four months from the date of closing. There are no finders fees payable for the placement.

TNR’s Non-Executive Chairman, Mr. Kirill Klip, will be taking 5,000,000 units of the private placement and will concurrently sell 5,000,000 shares privately in order to bring key energy sector strategic investors into the Company. Mr. Klip has filed a notice of distribution to disclose the sale of 5,000,000 shares privately. The remaining 5,000,000 units of the private placement will go to one subscriber.

TNR President and Executive Chairman, Gary Schellenberg states, “We are encouraged by the continuing support received from Mr. Klip and welcome new strategic investors in TNR and International Lithium Corp. It is clear that our strategic focus on Lithium, other Rare Metals and Rare Earth Elements properties around the world has attracted energy sector investors who are building a portfolio of green energy assets including TNR and wholly-owned International Lithium Corp”.

All securities issued pursuant to this financing are subject to a 4-month hold period from the date of closing. The Offering is subject to TSX Venture Exchange approval and any regulatory approvals.

Proceeds of the private placement will be used to fund the evaluation of TNR’s Lithium, other Rare Metals and Rare Earth Elements properties, implement the proposed spin-off of International Lithium Corp. and for general corporate purposes.

Further to the Company’s news release dated September 22, 2009, TNR will not be proceeding with the brokered private placement.

Thursday, December 3, 2009

Lithium the next big automotive trend...

Toyota to Drive Lithium Stocks? (Canaccord Coverage)

According to the Associated Press, Toyota (TM) is planning to release a new larger Prius
wagon powered by a lithium-ion battery. This is a first for Toyota which has relied on nickel-metal hydride batter batteries until now.

The new Prius, which will either be a station wagon or an SUV, is expected to be on sale by the end of next year. Toyota currently leads rivals in hybrids and hopes to widen its lead over rivals by introducing a model with a more powerful battery.

The article highlights that Toyota has been working on lithium-ion batteries for years and has established a joint venture with Panasonic to make the necessary technological improvements to develop these batteries for cars. News that Toyota will soon introduce the lithium-ion battery into its line-up appears very positive for lithium stocks.


Who on the TSX has some of the best portfolio of lithium resources (meaning both pegmatites & brines!) around? I'd have to narrow it down to a few - RM.V, CLQ.V, WLC.V, and of course TNR.V (actually really the International Lithium subsiidary)

TNR samples 1.39 wt % Li2O over 4.7 m at Mavis Lake

2009-11-19 10:15 ET - News Release


TNR Gold Corp. and wholly owned International Lithium Corp. (ILC) have released the results of the 2009 fall field program demonstrating widespread and strong rare metal (lithium, tantalum, rubidium and cesium) mineralization on the 100-per-cent-owned Mavis Lake property in Northwestern Ontario.

Key point summary:

  • Up to 2.11 wt per cent Li2O from grab and 1.39 wt per cent Li2O over 4.7 metres in channel samples reported;
  • 40 per cent of 244 samples exceed the maximum detection limit for Ta2O (greater than 122 parts per million);
  • Several samples exceed upper detection limits for Rb2O (greater than 1.09 wt per cent) and Cs2O (greater than 530 ppm);
  • Sampling extends lithium litho-geochemical anomaly (greater than 50 ppm Li) by 1.1 kilometres to 4.5 km in length.

2009 follow-up pegmatite sampling program

An initial reconnaissance prospecting and litho-geochemical sampling program was conducted by TNR in the summer of 2009 and revealed strong rare metals mineralization on the Mavis Lake property. Samples collected from pegmatite 18 returned up to 3.61 wt per cent Li2O from a grab sample, and a composite of channel samples returned assays with 1.24 wt per cent Li2O over 5.3 metres (see news in Stockwatch Oct. 5, 2009).

A follow-up work program was initiated in the fall of 2009 to further evaluate the lithium and rare metal potential of the property and consisted of a litho-geochemical, mapping and sampling survey. A total of 244 grab and channel samples were collected from the nine previously known occurrences (pegmatites 11 and 19) and from one new occurrence (the RVL pegmatite). The most significant grab assay of 2.11 wt per cent Li2O came from pegmatite 18, and a composite of channel samples at pegmatite 11 assayed 1.4 wt per cent Li2O over 4.7 metres. Some of the most significant lithium, tantalum, cesium and rubidium assays, as oxides, are shown in the table.


Pegmatite Width (m) Li2O (wt %) Ta2O5 (ppm) Cs2O (ppm) Rb2O (ppm)

Dike No. 14 0.09 >122.1* >530* 6542
Dike No. 17 1.86 74.7 155 3862
1.72 >122.1* 206 2844
Dike No. 18 2.11 93.4 56 700
1.26 50.9 108 1871
Dike No. 19 2.01 >122.1* >530* 3752
0.16 >122.1* >530* >10940*
RVL 0.81 62.5 114 3698

*Samples results with above upper detection limits.
(as weighted averages)

Pegmatite Width (m) Li2O (wt %) Ta2O5 (ppm) Cs2O (ppm) Rb2O (ppm)

Dike No. 11 4.7 1.39 >86.4** 148 2985

** Sample contains a 0.7-metre interval with greater than
122.1 parts per million Ta2O5. The weighted average was
calculated with an assumed value of 122.1 ppm Ta2O5.

In addition to strong Li2O results, highly anomalous tantalum and cesium values are notably widespread on the property and indicate a high potential for zoned, complex-type pegmatites enriched in tantalum and cesium. Complex-type pegmatites are excellent targets for economic deposits of lithium, tantalum, cesium and rubidium such as the Tanco pegmatite in southeast Manitoba. In total, 97 samples exceeded the upper detection limit for tantalum (40 per cent of the 244 samples submitted) and are currently being reanalyzed.

A noted example of a complex-type pegmatite on the Mavis Lake property is pegmatite 19, which consists of highly evolved complex-type mineralization and associated sodic aplite veins. A sample of this sodic aplite material registered above the upper detection limits for rubium (greater than 1.09 wt per cent Rb2O), cesium (greater than 530 ppm Cs2O) and tantalum (greater than 122.1 ppm Ta2O5) with anomalous concentrations of lithium (0.15 wt per cent Li2O), beryllium (341 ppm Be), tin (208 ppm Sn) and gallium (127 ppm Ga).

Pegmatite 17, also a complex-type, was mapped and extended 187 metres to a documented strike length of 220 metres. Grab samples indicated a range of Li2 O values up to 1.86 wt per cent.

Channel sampling on pegmatite 11 returned values between 0.9 and 1.74 wt per cent Li2O over 4.7 metres and 0.24 to 0.98 wt per cent Li2O over two metres. Tantalum, cesium and rubidium concentrations from these samples were also highly anomalous, indicating the possibility of a complex-type pegmatite.

2009 lithogeochemical survey

The 2009 lithogeochemical survey was located north and east of the historical grids of Tanco Exploration and Selco Inc. The 2009 TNR cut grid was oriented at 315 degrees azimuth with lines running approximately perpendicular to foliation. Samples were located at 25 metres or as close as the abundance of outcrop would allow. A total of 334 samples were collected over 11.25 kilometres of line.

Samples returned a range of values from 1.3 to 9,780 ppm Li, with 41 per cent (136 samples) returning values greater than 50 ppm Li. Lithium values greater than 50 ppm can be considered strongly anomalous as the average regional background of lithium in mafic metavolcanic rocks is 16 ppm. The 2009 fall sampling program extended the large lithium dispersion anomaly approximately 1.1 kilometres northeast beyond the 3.4-kilometre-long historical anomaly. The lithium anomaly remains open to the east. The lithium lithogeochemical anomaly has historically shown a strong correlation with the majority of the known pegmatites in the area, thereby indicating a significant potential for the discovery of additional pegmatites on the property.

Mavis Lake property

The Mavis Lake property is located 15 km northeast of Dryden, Ont.; easily accessed via the Trans-Canada Highway and by a series of logging roads. The claim block has a total area of 2,544 hectares and covers several known rare metal pegmatites.

Regional pegmatite mineralization is directly associated with the strongly peraluminous Ghost Lake Pluton and related granite pegmatite dikes. Rare metal mineralization in the Mavis Lake area occurs in zoned pegmatites hosted by mafic metavolcanic rocks. Rare metal mineralization has been noted to occur in four zones: as the endogenous beryl zone along the contact of the Ghost Lake Pluton and away from the pluton into the mafic metavolcanics as the beryl-columbite, spodumene-beryl-tantalite and albite-type zones.

Pegmatites on the Mavis Lake property occur in a swarm of flat-lying and near vertical dikes and bear a noted similarity to the Tanco deposit in southeastern Manitoba. The known pegmatite dikes on the Mavis Lake property consist of albite-spodumene-type with beryl and tantalite, albite-type, and complex-type with lithium tourmaline, tantalite and wodginite. The adjacent Fairservice property is dominated by east-trending albite-spodumene-type pegmatites, considered to be part of the same dike swarm as the Mavis Lake pegmatites, and has a historical (non-NI 43-101-compliant) resource of 500,000 tons at 1.0 per cent Li2O.


Friday, November 27, 2009

American Lithium AMLM - a scam exposed?

This came across from a colleague this morning. You have to love Pinksheet/OTCBB companies that make people believe it's a real deal!!

Sell while you're ahead - you can thank us later.

DJ IN THE MONEY: American Lithium (AMLM) And The Mystery Stock Promoter

Thursday, November 05, 2009 01:08:00 PM

By Carol S. Remond

Like many development stage companies, American Lithium Minerals Inc. has negative working capital, no revenues and little in the form of actual business.
The stock of this Nevada corporation rose to a high of $2.99 last month, spurred by promotional newsletters paid by Lock Partners Inc. Then the company's stock price suddenly dived last week in heavy trading volume. The stock was recently trading at $2.27.
American Lithium came to life in February through a name change and four-for-one forward stock split. The company, which says it's investigating prospective lithium opportunities, has so far spent $61,000 to purchase "an option to acquire" mining claims in Nevada. On Thursday, it said it signed a letter of intent to acquire a lithium project in Utah.
Nobody at American Lithium was available to comment despite repeated phone calls.
A Vancouver promotional outfit called Rhino Marketing Inc., which was hired by Lock to market American Lithium, said Lock might be Swiss, when asked about it. But there's no sign of Lock in the Swiss corporate registry. Disclaimers indicate that Lock paid $300,000 to various outfits to promote American Lithium stock.
While the people behind American Lithium's stock promotion might want to remain anonymous, there are a few signs that might concern investors.
Two of the men hired to run the company have ties to BG Capital, an investment group based in Barbados. BG Capital has a knack for acquiring big stock positions in struggling companies on the cheap and securing large fees for its consulting services. Deals involving BG Capital tend to be highly dilutive to other shareholders.
Robert "Bobby" Genovese, founder and owner of BG Capital Group Ltd and BG Capital Management Corp., didn't return a phone calls seeking comment. Marco Markin, BG Capital Management's chief executive, also didn't return a call. According to its Website, BG has offices in Nassau, Florida, Los Angeles, Toronto and Vancouver.
Matthew Markin, who according to a Canadian news article is Marco's brother, was president of American Lithium from May 2008 to Oct. 2009. He remains as chairman of the board.
Steve Cook, American Lithium's PR guy has worked on BG Capital's two last turnaround projects, Clearly Canadian Brands Corp. (CCBEF) and Spectrum Sciences & Software Holdings Corp., now Horne International Inc. (HNIN).
Matthew Markin nor Cook returned several phone calls seeking comments. Matthew Markin worked for another BG Capital company, Neptune Society, from April 2002 to December 2003. (Marco Markin was president of Neptune Society from October 1999 to January 2004.)
Reached on his cell phone Tuesday, Cook said that this reporter's messages had been passed on to Matthew Markin and hung up.

Part 2
Searches of phone records show that the number listed on American Lithium's filings with the Securities and Exchange Commission is registered to "BG Capital Man" - which might stand for BG Capital Management.
Cook features preeminently in a 2008 reality show titled Bobby G: Adventure Capitalist. The show's eight episodes show Cook, Genovese and members of his team hard at work, attempting to turn around Clearly Canadian. The stock of this Canadian beverage company climbed to a high of $4.55 in June 2006, about a year and a half after BG Capital first became involved with the company. The stock was recently trading at 6 cents a share.
Before Clearly Canadian, BG Capital and related entities were working with budding engineering company Spectrum Sciences. Spectrum's stock reached a high of $4.02 in April 2004, months after Genovese began controlling a large portion of its shares through dilutive consulting and financing arrangements. Spectrum shares were down to about $1.30 by late May 2004 after the company said the SEC was looking into its dealings with consultants. In November 2005, BG Capital agreed to pay $3.25 million to settle a lawsuit brought by a Spectrum shareholder seeking to recover short swing profits. That same month, Spectrum Sciences said the SEC had concluded its investigation without recommending any enforcement action. (Spectrum Sciences and Genovese were featured in several In The Money columns in 2004).
According to filings with the SEC, Matthew Markin owns 22 million shares of American Lithium's 49 million shares outstanding at the end of July.
The company said it raised $1.45 million in two private placements in July and October to foreign investors. According to a filing, the July $450,000 placement was purchased by Seaplane Ventures Inc. The document didn't indicate where that entity is registered or who controls it.

(Carol S. Remond, a special writer on the In The Money team, is an award-winning columnist who won a Gerald Loeb Award in 2005 for best news service content with "Exposing Small-Cap fraud," a series of articles that described how three small companies unscrupulously pumped up their stocks. She can be reached at 303-997-5783 or by e-mail:

New Lithium Rush! Toyota converts to Li-ion from NiMh - TNR.V, CZX.V, MAI.V, MCI.V, WLC.V, CLQ.V

Toyota has finally come to their senses and admits Lithium-Ion is the wave of the future...

ToyotaHybridX.jpgToyota Motor Corp.'s made no secret of it desire to leverage its successful Prius into an entire line of cars - why not make good use of a name that's synonymous with 'hybrid' to so many people?

Toyota's been toying with the idea of a Prius wagon for years, as shown by the Hybrid X Concept it debuted at the 2007 Geneva auto show.
So its no surprise that a Japanese newspaper - the widely circulatedYomiuri - is reporting that the automaker plans to launch a Prius sport wagon or sport utility vehicle around the end of next year.

The timing seems spot-on. After all, the industry journal Automotive News reported way back in October of 2007 that Toyota planners had said the 2010 Prius sedan would be followed in a year or so by a wagon version.

That's the year Toyota actually showed us what a Prius wagon might look like with the unveiling of the Hybrid X Concept at the Geneva auto show.

Production would certainly be no stretch. doesn't sell any wagons in the U.S., but Toyota builds several for the home market that could provide underpinnings for a Prius hybrid version. A good argument can be built for considering the U.S.-market Venza (right)introduced this year to be a sporty wagon.

As for a Prius SUV - well, what's the Lexus RX 400h except a Prius SUV wrapped in a luxury body?

A little odd-sounding is the reported choice of a lithium-ion chemistry for the vehicle's batteries - top Toyota officials have been publicly proclaiming for months now that they don't believe lithium-ion batteries are sufficiently cheap or reliable yet for retail use.

Tuesday, November 10, 2009

In every boom there are the OTC scams - beware!

Instead of bringing news from the market today - I thought I would shed light on some potential lithium investments that readers have been bringing to my attention - on the OTCBB/PinkSheets.

The scary thing is - 99% of these companies are not real. Call me a skeptic, but when insider tradings and Financial Statements do not have to be filed and audited - how does anyone know what they're told is verified?

For example, if I started a work program on the Toronto Stock Exchange (TSX) - I will need a QP (Qualified Person) statement such as the one below from TNR Gold Corp (TNR:TSX) today.

TNR Gold to option Sarcobatus from Tonogold Resources

2009-11-10 14:59 ET - News Release

Mr. Gary Schellenberg reports


TNR Gold Corp. and its wholly owned International Lithium Corp. have signed a letter agreement to acquire up to a 100-per-cent interest in the 1,076-hectare Sarcobatus Flats lithium brine property, located 109 kilometres south of Tonopah, Nye County, in Nevada, from Tonogold Resources Inc. of La Jolla, in California.


  • Acquires 1,076-hectare Sarcobatus Flats property;
  • An underexplored analogue to the producing lithium brines at Clayton Valley;
  • TNR will focus on advancing its highly prospective Nevada projects.

Gary Schellenberg, president of TNR, states: "Our objective is to become one of the foremost companies in the Nevada lithium exploration and development sector. The acquisition of the Sarcobatus Flats property is a definitive step towards achieving our goal."

Sarcobatus Flats is a desert playa lake located in Western Nevada along Route 95, approximately 109 km south of Tonopah and 72 km southeast of Clayton Valley, the location of the producing Silver Peak world-class lithium brine deposit. The Sarcobatus Flats project consists of 105 placer claims totalling 1,076 hectares.

The acquisition of the new claims was prompted by the highly anomalous concentrations of lithium, ranging between 210 and 340 parts per million Li, encountered from a preliminary surface sediment sampling program conducted on the Sarcobatus Flats claim group. There are also several important similarities between the settings of Sarcobatus Flats and a Clayton Valley-type lithium brine deposit. The property is located in a closed structural basin. It contains similar stratigraphy and occupies a lacustrine environment similar in regional hydrogeography and geochemistry to Clayton Valley. In essence, Sarcobatus Flats represents an underexplored early-stage analogue to Clayton Valley.

To earn a 100-per-cent interest, TNR has agreed to make payments totalling $130,000 (U.S.) and issue 675,000 common shares over a four-year period. The vendor will retain a 2.5-per-cent royalty of which TNR has the right to purchase up to 2 per cent of the royalty by paying Tonogold $1-million (U.S.) per 1 per cent purchased, for a total of $2-million (U.S.), thereby reducing Tonogold's NSR to 0.5 per cent. The agreement is subject to regulatory approval.

TNR intends to explore its Nevada properties and determine if lithium evaporates and brine deposits have formed, similar to those found at Clayton Valley. It is developing an integrated regional lithium exploration approach using geochemical and basin modeling with gravity, electromagnetic, hydrogeological, and geochemical fieldwork to identify drill targets. The TNR exploration team has extensive geochemical, GIS modeling and targeting experience across four continents, with specific expertise in lithium and other rare metals.

John Harrop, PGeo, is TNR's qualified person on the project as required under NI 43-101. He has reviewed the technical information contained in this press release.

Of course, I refer to the red-highlighted area above. A credible third-party geolo

gist who has the necessary experiences from years of actual training and work experience. Not to mention it's passed the stringent test of the Canadian educational facilities.

By contrast, take a look at OTCBB's Blackhawk Explorations. No geological consultants mentioned - none of the management has even remote geological experience, coupled with complete lack of transparency on financials.. now they're drilling in Nevada???

If you have been following Mining101 for awhile - you know we have a great track record here - take a look at us calling MCI and HAO shoddy plays back in June - now they're all back down to their lows. Strategy for BHWX is to take profit ASAP.


Black Hawk Exploration Approves Geologists Recommended Drill Program to Explore for Lithium Bearing Brines on Clayton Valley Claims

2009-11-02 06:00 ET - News Release

FOX ISLAND, Wash., Nov. 2 /PRNewswire-FirstCall/ -- Black Hawk Exploration, Inc. ("Black Hawk") announces plans to advance the Blue Lithium 56 claim 1,120 acre land position in the Clayton Valley, Esmeralda County Nevada. Hunsaker, Inc., consulting geologists to Black Hawk have recommended an initial drill program for Lithium bearing brines. The brines are expected to occur between 600 and 800 feet based on the 1980's U.S. Geological Survey work completed in the 1980's by the U.S. Geological Survey and the nearby producing wells at the Chemetall-Foote Silver Peak operation also in Clayton Valley. Drilling costs are estimated to be $30 a foot and the drill program is designed to identify the depth of the Brines, Lithium concentration, chemical characteristics and the geologic/aquifer settings.

Site permitting will be done utilizing the Bureau of Land Management's (BLM) Notice Level process. This provides for permitting less then 5 acres of disturbance for exploration on mineral properties which is more than sufficient for Black Hawk's current program. Most typically the entire Notice Level Permitting (NLP) is approved / accepted in 3 to 4 weeks. Once the NLP is submitted the BLM has 15 days to review and issue their comments and/or approval.

The submission of Black Hawk's NLP will describe our ownership, intended exploration program, planned disturbance, and reclamation plans. The reclamation program for the NLP requires bonding based on a prescribed BLM formula. The bonding process will utilize the Nevada Division of Mining Statewide Bonding Pool.

Black Hawk's Board of Directors have approved funding for the program submitted by Black Hawk Exploration's Geologists and expect the Clayton Valley permitting process to begin this week.

The lack of information is amazing - I'd stay away if you value your money.

About Black Hawk Exploration Inc.:

Black Hawk is a diversified metals and energy exploration company with its current focus on lithium exploration through its wholly owned subsidiary Blue Lithium. Black Hawk is committed to an aggressive program of value added property acquisition, project generation, asset diversity and building Shareholder value.

"Safe Harbor" Statement: Under The Private Securities Litigation Reform Act of 1995: The statements in the press release that relate to the company's expectations with regard to the future impact on the company's results from new products in development are forward-looking statements, within the meaning of the Private Securities Litigation Reform Act of 1995.

Certain oral statements made by management from time to time and certain statements contained in press releases and periodic reports issued by Black Hawk (the "Company"), as well as those contained herein, that are not historical facts are "forward-looking statements" within the meaning of Section 21E of the Securities and Exchange Act of 1934 and, because such statements involve risks and uncertainties, actual results may differ materially from those expressed or implied by such forward-looking statements.

Black Hawk Exploration Inc.

CONTACT: Kevin M. Murphy, CEO of Black Hawk Exploration, +1-253-973-7135,


Then, there's American Lithium (AMLM:PK) who blatantly considers their early-stage assets as "Saudi Arabia of Lithium in USA". Despite the laughable attempt to trick mass market investors (unfortunately, with such opaque financial statements and insider trading information), AMLM finds themselves at a point nearly $2/share, which with 50 millions shares outstanding, bringing total market cap to a ridiculous $100 million market cap...based on early stage one lithium brine project?

Completely blown out of proportion and utterly unbelievable.

If you're making money on that position I'd recommend immediately exiting.

With blatant promo like this it's amazing SEC lets' them get away with it.

Monday, November 9, 2009

Dundee Securities coverage on Lithium Sector: TNR.V, CLQ.V, WLC.v

Dundee is one of the well-respected research houses in Canada.
Dundee Bank of Canada is a Schedule I Canadian Chartered bank. We are a member of the Canada Deposit Insurance Corporation.

Dundee Bank of Canada is purpose-built specifically to serve professional financial advisors. We offer innovative and rate-competitive banking products backed by professional sales support, service and execution. Our objective is to help advisors build their business by providing them with better options for their clients. Our commitment to advisors is that we will not cross-sell, solicit or prospect an advisor’s clients.

Dundee trades under the symbol DW on the TSX:Exchange and is now about $12CDN/share.

Similar to the Byron Securities' Lithium overview - Dundee offers a breakdown on the current supply versus demand of lithium, from rough approximation of production figures to comparing it on per vehicle lithium-carbonate requirements.

All very fascinating read. They also then list out credible groups on the TSX and provide an update/background on each. Our favorite small junior exploration group is featured, of course.

TNR Gold Corp./International Lithium

TNR Gold was an early mover in acquiring lithium properties and has assembled a package of eight properties that continues to grow. The projects are located in diverse geographical locations with pegmatites in Canada and Ireland and brine projects in Nevada and Argentina. TNR Gold plans a spin out of its lithium and rare earth element assets into International Lithium Corp. in the first quarter of 2010. The company will also be looking for joint venture partners to move their extensive property portfolio forward.

Lithium One Inc.

Lithium One’s primary focus is the 1,700 hectare James Bay project in northern Quebec. Several pegmatite dyke swarms have been identified by surface mapping. Drilling and trenching was undertaken in 2009 and most reported intercepts and channel samples have been in the 1.3% to 1.7% Li2O range. Lithium One estimates that true widths of the dykes are up to 30m wide. The company has also recently acquired over 25,000 hectares of land in Argentina with surface brine samples containing high levels of lithium and potash (averaging of 640 ppm Li)

Canada Lithium Corp.

Canada Lithium’s (CLQ) primary focus is its past-producing Quebec Lithium Project. CLQ is also looking at other spodumene pegmatite deposits in Canada and has a 75% interest in a joint venture exploring for lithium brine deposits in Nevada. CLQ has commenced a pre-feasibility study on Quebec Lithium and is aiming for a completed feasibility study in 2010. CLQ suggested in March 2009 that it had materially advanced its lithium carbonate metallurgical process and could ultimately produce battery quality lithium carbonate. Quebec Lithium is located 60 km north of Val d’Or and produced for ten years in the 1950’s and 60’s. Spodumene rich dikes were extracted from an underground operation. An historic resource of 15.6 million tonnes with a grade of 1.14% Li2O remained following a ten year operation.

Wednesday, September 23, 2009

Lithium not ready fo primetime? More like Lithium Supply not AVAILABLE for primetime!

By now most of us have probably seen the news on Bloomberg rolling past - Toyota has decided not to go with lithium in their latest and great Prius Hybrid Car.

Does that mean we should all pack up our bags and go home? Are Lithium junior companies dead in the water at this point?

I hope after all this - you have learned to read mass-market articles with a shrewd contarian sense.

Sept. 14 (Bloomberg) -- Toyota Motor Corp., the biggest seller of hybrid autos, is sticking with nickel as the preferred battery material for most of the vehicles after three years of secretly testing Prius hatchbacks with lithium-ion packs.

Toyota last month ended road tests of 126 Priuses in the U.S., Japan and Europe that began in 2006, Jana Hartline, a company spokeswoman said in an interview. Details of the program, in which the cars’ nickel metal hydride batteries were replaced with more expensive lithium models, weren’t released.

Automakers are introducing models all or partly powered by lithium-ion batteries holding twice the energy of nickel packs. While Toyota’s lithium version performed well and gave “small” fuel-economy gains because of lighter weight, nickel is favored for conventional, mass-market hybrids for its cost, said Kazuo Tojima, the carmaker’s senior staff engineer for batteries.

Lithium’s “durability, stability and safety are assured,” the Toyota City, Japan-based company’s tests showed, Tojima said.

The tests appear to be among the most thorough done by companies planning to introduce the batteries, said Menahem Anderman, president of consulting firm Advanced Automotive Batteries in Oregon House, California.

“We now know that a lithium-ion battery can work; that’s not really the question,” he said. “Cost is critical, and we still don’t know enough about long-term durability.”

Plug-in Prius

Toyota’s American depositary receipts fell 85 cents, or 1 percent, to $83.11 at 4:15 p.m. in New York Stock Exchange composite trading. They’ve gained 27 percent this year. The shares fell 2.6 percent to 3,740 yen in Tokyo Stock Exchange trading.

Toyota has sold more than 2 million hybrid cars and light trucks worldwide since introducing the Prius in Japan in 1997, almost all using nickel. The automaker hasn’t announced plans to sell standard hybrids with lithium batteries in the U.S.

This year, Toyota will begin delivering test fleets in the U.S., Japan and Europe consisting of plug-in Priuses that can run 12 miles (19 kilometers) solely on lithium-ion battery power after charging at an electrical outlet. The car is being shown this week at the Frankfurt Motor Show.

The company also plans to sell a small electric car for urban commuters, powered solely by lithium packs, by 2012.

Nissan, Mitsubishi

Nissan Motor Co. will begin offering battery-electric Leaf compact cars next year, which the Yokohama-based company says will travel 100 miles on a fully charged lithium pack. Mitsubishi Motors Corp. is selling in Japan the i-MiEV, a 4.6 million yen ($51,000) electric minicar that also travels as far as 100 miles using only lithium-ion batteries.

Toyota doesn’t expect battery-powered cars to succeed in the mass market until 2020 because batteries are too costly and capacity limits their range.

“Electric vehicles of today are less costly than in 1990s, but if you compare them with the other vehicles out there they are still too expensive,” Executive Vice President Takeshi Uchiyamada said today at news conference at the Frankfurt show. “Unless there is a very big breakthrough in battery costs I don’t think electric vehicles can take a large market share.”

U.S. sales operations for Toyota are based in Torrance, California.

If you made a product that's so popular, a large part of your future business depended on it - would you be careful with the technology behind it? Yes.

If the same technology is dependent on limited supply that all your competitors are vying for - would you be worried? Yes.

In our humble opinions, the lithium-ion batteries tested fine.

What Toyota (and every other automotive companies) are worried about - is the fact that they cannot easily control their margins on lithium-ion batteries.

The biggest three producers (monopoly) of lithium in the world belongs to SQM, FCM, and Rockwood Holdings (Chemetall-Foote).

According to Nissan, the Nissan Leaf (a tiny new EV powered solely by electricity) will require almost 10% of the annual lithium-carbonate supply once it goes fully production.

Factor in other companies all bidding up the same supply:

- Ford

- General Motors

- Toyota

- Nissan


- Renault

...and the list goes on!

If one vehicle model at full production can take 10% of the world's lithium annual supply - how do you think the price of lithium will react? See below for in-depth analysis based on Nissan's official production figures.

Nissan's revelation that its 24kWh battery for the Leaf EV will use 4kg of lithium (metal equivalent) breaks the silence of automotive and battery suppliers over the use of much-hyped lithium. For every 500,000 Leaf-sized 24kWh lithium-ion battery powered EVs, lithium demand will be around 2,000t (metal equivalent). This equates to just under 10% of total lithium production in 2008.


Nissan's Leaf EV lithium-ion battery is rated at 24kWh, compared to 1.9kWh in the S400 Blue Hybrid, 16kWh in the Mitsubishi MiEV and Chevrolet Volt and 53kWh in the Tesla Roadster. Until now, data on consumption of lithium in the automotive batteries used in these hybrid and full electric vehicles (HEVs and EVs) has been withheld, prompting estimates from industry followers and analysts varying between a few grams to several kilograms of lthium per kWh. Nissan's revelation that its 24kWh battery, developed in collaboration with NEC, will contain 4kg of lithium (metal equivalent) allows for a more insightful analysis of future lithium demand.
Estimates on future HEV and EV production also vary widely. However, assuming production of lithium-ion battery HEV and EV powered vehicles reaches 500,000 units in 2015 (just under 1% of current worldwide automotive production) and the average vehicle has a 24kWh battery, lithium demand would reach around 2,000t (metal equivalent). This is equivalent to just under 10% of total lithium production in 2008.
Capacity utilisation in the lithium industry in 2008 was around 75%. The leading producers of lithium from brines: SQM, Chemetall and FMC, are expanding capacity (by around 5,000t metal equivalent). Lithium supplies from exisiting and expanded operations are therefore more than sufficient to meet potential demand for 500,000 lithium-ion battery powered vehicles in 2015 and could potentially meet demand for up to 2 million lithium-ion battery powered HEV and EV vehicles in that same period. This scenario excludes potential additional capacity in China, with brine producers of lithium in Tibet and Qinghai adding a further 10,000t (metal equivalent) of lithium production capacity by the early 2010s (although technical hurdles remain), and any new companies such as Galaxy Resources, Western Lithium and Canada Lithium entering the lithium market. Oversupply might be a more pressing question than lithium availability.
It remains to be seen just how quickly demand from automotive lithium-ion batteries for lithium will evolve, given that only a small number of these batteries and their associated platforms have actually been produced and tested. In the mid-term, questions on lithium supply need not be asked; instead it may well be a case of who can supply lithium the cheapest and currently that ball rests firmly in the established brine producers court - competition in the lithium market may be about to hot up!