Lithium deposits on land are estimated at just under 100 million tons. In the world's oceans, there are said to be considerably more.
Of the approximately 100 million tons of lithium stored in salt lakes and in rocks, around 26 million tons are forecast to be economically mineable. Electromobility and electricity storage for renewable energies are becoming increasingly important and are generating huge demand for lithium. Estimates put demand at over 2,000 GWh in 2030. As recently as 2020, this figure was around 185 GWh. For energy from wind and solar power to be used flexibly, it must be storable. Stationary battery storage will therefore drive-up lithium demand alongside the batteries needed for electromobility. U.S. legislation (Inflation Reduction Act; IRA) requires that half of the critical raw materials used in EV batteries come from North America or U.S. allies by 2024.
This will also attract increased companies to North America. In August 2022, the IRA went into effect. Accordingly, Tesla, for example, has had to change its material sourcing measures. This is because by 2027, as much as 80 percent of battery materials must have been produced in the U.S. or in a partner country, and only then will the full rebate be available. The popular Tesla 3 is now entitled to a tax credit of 7,500 US dollars.
In any case, the demand for lithium is not going to slow down anytime soon. Lithium companies like Targa Exploration or ION Energy should therefore have reason to rejoice.
ION Energy - https://www.commodity-tv.com/ondemand/companies/profil/ion-energy-inc/ - is located in mining-friendly Mongolia with its two lithium projects. In the Northwest Territories in Canada, the company has added another lithium project.
In Quebec, Targa Exploration - https://www.commodity-tv.com/ondemand/companies/profil/targa-exploration-corp/ - takes care of lithium. Recently, lithium projects in Ontario and Saskatchewan were added through the acquisition of Pan Canadian Lithium, which is now a wholly owned subsidiary of Targa Exploration.
In accordance with §34 WpHG I would like to point out that partners, authors and employees may hold shares in the respective companies addressed and thus a possible conflict of interest exists. No guarantee for the translation into English. Only the German version of this news is valid.
Disclaimer: The information provided does not represent any form of recommendation or advice. Express reference is made to the risks in securities trading. No liability can be accepted for any damage arising from the use of this blog. I would like to point out that shares and especially warrant investments are always associated with risk. The total loss of the invested capital cannot be excluded. All information and sources are carefully researched. However, no guarantee is given for the correctness of all contents. Despite the greatest care, I expressly reserve the right to make errors, especially with regard to figures and prices. The information contained herein is taken from sources believed to be reliable, but in no way claims to be accurate or complete. Due to court decisions, the contents of linked external sites are also co-responsible (e.g. Landgericht Hamburg, in the decision of 12.05.1998 - 312 O 85/98), as long as there is no explicit dissociation from them. Despite careful control of the content, I do not assume liability for the content of linked external pages. The respective operators are exclusively responsible for their content. The disclaimer of Swiss Resource Capital AG also applies: https://www.resource-capital.ch/en/disclaimer/
Of the approximately 100 million tons of lithium stored in salt lakes and in rocks, around 26 million tons are forecast to be economically mineable. Electromobility and electricity storage for renewable energies are becoming increasingly important and are generating huge demand for lithium. Estimates put demand at over 2,000 GWh in 2030. As recently as 2020, this figure was around 185 GWh. For energy from wind and solar power to be used flexibly, it must be storable. Stationary battery storage will therefore drive-up lithium demand alongside the batteries needed for electromobility. U.S. legislation (Inflation Reduction Act; IRA) requires that half of the critical raw materials used in EV batteries come from North America or U.S. allies by 2024.
This will also attract increased companies to North America. In August 2022, the IRA went into effect. Accordingly, Tesla, for example, has had to change its material sourcing measures. This is because by 2027, as much as 80 percent of battery materials must have been produced in the U.S. or in a partner country, and only then will the full rebate be available. The popular Tesla 3 is now entitled to a tax credit of 7,500 US dollars.
In any case, the demand for lithium is not going to slow down anytime soon. Lithium companies like Targa Exploration or ION Energy should therefore have reason to rejoice.
ION Energy - https://www.commodity-tv.com/ondemand/companies/profil/ion-energy-inc/ - is located in mining-friendly Mongolia with its two lithium projects. In the Northwest Territories in Canada, the company has added another lithium project.
In Quebec, Targa Exploration - https://www.commodity-tv.com/ondemand/companies/profil/targa-exploration-corp/ - takes care of lithium. Recently, lithium projects in Ontario and Saskatchewan were added through the acquisition of Pan Canadian Lithium, which is now a wholly owned subsidiary of Targa Exploration.
In accordance with §34 WpHG I would like to point out that partners, authors and employees may hold shares in the respective companies addressed and thus a possible conflict of interest exists. No guarantee for the translation into English. Only the German version of this news is valid.
Disclaimer: The information provided does not represent any form of recommendation or advice. Express reference is made to the risks in securities trading. No liability can be accepted for any damage arising from the use of this blog. I would like to point out that shares and especially warrant investments are always associated with risk. The total loss of the invested capital cannot be excluded. All information and sources are carefully researched. However, no guarantee is given for the correctness of all contents. Despite the greatest care, I expressly reserve the right to make errors, especially with regard to figures and prices. The information contained herein is taken from sources believed to be reliable, but in no way claims to be accurate or complete. Due to court decisions, the contents of linked external sites are also co-responsible (e.g. Landgericht Hamburg, in the decision of 12.05.1998 - 312 O 85/98), as long as there is no explicit dissociation from them. Despite careful control of the content, I do not assume liability for the content of linked external pages. The respective operators are exclusively responsible for their content. The disclaimer of Swiss Resource Capital AG also applies: https://www.resource-capital.ch/en/disclaimer/
