Eye on Lithium: Elon Musk pleads - 'Can more people please get into the lithium business?'

Tesla made $18.8b profit in Q1 but upped car prices, anticipating lithium cost increases
Benchmark says prices are 3x past the pain point for carmakers at $60-65/kg
Alchemy finds lithium anomalies at WA gold project

All your ASX lithium news for Friday, April 22.

In Tesla’s Q1 earnings call this week Elon Musk said more people need to get into the lithium business to address the massive supply-demand gap.

The company made a tidy $18.8b profit during the quarter, but it is feeling the pinch as lithium costs soar.

“Can some more people please get into the lithium business?” Musk said. “Do you like minting money? Well, the lithium business is for you.”

The carmaker upped its prices by 5-10% during the quarter in a move that Musk said was about anticipating supplier and logistics cost growth over the next 6-12 months.

Benchmark Mineral Intelligence’s boss Simon Moores flagged on twitter that when OEMs planned their EVs and battery supply they were anticipating lithium at $8-15/kg.

That price is currently more like $60-65/kg.

“Right now, lithium prices are at least 3x past the pain point for electric vehicle makers,” he said.

It takes around 8-12 months for high prices to infiltrate contracts the supply chain, and while long term contracts with fixed prices are one way to tackle high lithium prices, Moore says that’s a 2019-2021 strategy.

“A post 2022 strategy will have to be to own the assets … lithium mines,” he says.

Sky high Lithium prices soften in China, but average global prices are still outrageously high and climbing at present.

When OEMs planned their EVs and battery supply, they were anticipating lithium at $8-15/kg

Right now lithium is $60-65/kg @benchmarkmin prices

… pic.twitter.com/zG8Sri0Q5h

— Simon Moores (@sdmoores) April 21, 2022

Here’s how ASX lithium stocks are tracking today:

Lithium stocks missing from our list? Shoot a friendly mail to [email protected]

Code	Company	Price	% Month	% Week	% Today	Market Cap
ALY	Alchemy Resource Ltd	0.029	123%	61%	53%	$18,094,552.91
LRV	Larvotto Resources	0.465	116%	72%	33%	$14,422,625.00
LRD	Lordresourceslimited	0.255	0%	28%	21%	$6,464,770.41
EMS	Eastern Metals	0.225	22%	15%	13%	$7,120,000.00
G88	Golden Mile Res Ltd	0.068	6%	3%	10%	$12,445,422.07
1MC	Morella Corporation	0.037	16%	9%	9%	$175,991,275.52
RAG	Ragnar Metals Ltd	0.05	67%	6%	9%	$17,143,504.89
MMG	Monger Gold Ltd	0.2925	19%	-1%	8%	$6,750,000.00
ZEO	Zeotech Limited	0.065	2%	5%	8%	$91,494,928.20
LSR	Lodestar Minerals	0.016	45%	0%	7%	$26,076,560.22
MXR	Maximus Resources	0.087	38%	4%	6%	$26,068,272.98
CRR	Critical Resources	0.1	33%	20%	5%	$141,199,074.18
M2R	Miramar	0.205	21%	11%	5%	$9,713,928.90
GSM	Golden State Mining	0.084	8%	-8%	5%	$8,305,172.16
TEM	Tempest Minerals	0.105	377%	5%	5%	$39,919,917.50
ENT	Enterprise Metals	0.022	69%	0%	5%	$13,537,583.96
BNR	Bulletin Res Ltd	0.225	45%	2%	5%	$62,368,486.56
KZR	Kalamazoo Resources	0.465	60%	9%	4%	$64,611,496.43
ADV	Ardiden Ltd	0.0145	21%	4%	4%	$37,248,992.98
MQR	Marquee Resource Ltd	0.145	46%	16%	4%	$38,211,704.44
XTC	Xantippe Res Ltd	0.0145	142%	4%	4%	$107,242,857.69
SRZ	Stellar Resources	0.03	11%	0%	3%	$24,281,776.15
AM7	Arcadia Minerals	0.31	35%	15%	3%	$10,497,750.00
INF	Infinity Lithium	0.175	17%	6%	3%	$70,521,004.97
FRS	Forrestaniaresources	0.36	3%	4%	3%	$9,834,581.40
AZL	Arizona Lithium Ltd	0.185	16%	9%	3%	$400,377,031.02
MRR	Minrex Resources Ltd	0.074	25%	0%	3%	$64,846,871.50
LIT	Lithium Australia NL	0.1075	-2%	-2%	2%	$108,649,928.52
ARN	Aldoro Resources	0.3	-8%	7%	2%	$26,554,008.76
CAI	Calidus Resources	1.015	9%	0%	2%	$402,297,008.00
QPM	Queensland Pacific	0.1775	15%	-7%	1%	$270,044,797.93
SYA	Sayona Mining Ltd	0.355	103%	4%	1%	$2,508,813,386.45
FFX	Firefinch Ltd	1.085	33%	-3%	1%	$1,263,930,246.47
LRS	Latin Resources Ltd	0.1825	172%	-9%	1%	$302,872,408.74
MNS	Magnis Energy Tech	0.47	1%	1%	1%	$449,090,177.99
AGY	Argosy Minerals Ltd	0.475	20%	-3%	1%	$636,388,522.98
PGD	Peregrine Gold	0.5125	11%	7%	0%	$19,526,201.19
CXO	Core Lithium	1.385	12%	1%	0%	$2,377,742,968.90
EMH	European Metals Hldg	1.26	2%	-2%	0%	$177,378,975.90
ESS	Essential Metals Ltd	0.685	54%	25%	0%	$167,375,201.60
GXY	Galaxy Resources	0	-100%	-100%	0%	$2,715,139,305.12
RLC	Reedy Lagoon Corp.	0.034	26%	3%	0%	$18,644,145.82
TKL	Traka Resources	0.0105	-5%	5%	0%	$7,232,132.89
TON	Triton Min Ltd	0.036	24%	13%	0%	$44,740,230.37
CHR	Charger Metals	0.715	0%	-6%	0%	$23,295,440.03
AAJ	Aruma Resources Ltd	0.12	22%	-14%	0%	$18,835,380.36
AX8	Accelerate Resources	0.05	4%	-24%	0%	$12,672,944.95
IMI	Infinitymining	0.22	29%	19%	0%	$12,650,000.00
SHH	Shree Minerals Ltd	0.015	-21%	-6%	0%	$18,333,553.38
TSC	Twenty Seven Co. Ltd	0.004	33%	0%	0%	$10,643,255.62
PNN	PepinNini Minerals	0.84	100%	-1%	0%	$51,438,503.76
AZI	Altamin Limited	0.086	26%	-7%	0%	$33,442,987.87
KAI	Kairos Minerals Ltd	0.03	15%	-3%	0%	$58,862,804.73
AVW	Avira Resources Ltd	0.006	0%	0%	0%	$12,712,740.00
RMX	Red Mount Min Ltd	0.0095	19%	6%	0%	$15,602,456.65
A8G	Australasian Metals	0.505	3%	-2%	0%	$20,286,099.47
EFE	Eastern Resources	0.05	0%	0%	0%	$49,721,831.55
AOA	Ausmon Resorces	0.01	25%	-9%	0%	$8,572,893.43
SRI	Sipa Resources Ltd	0.049	-8%	-8%	0%	$10,046,215.35
VMC	Venus Metals Cor Ltd	0.2	14%	0%	0%	$30,215,736.60
ZNC	Zenith Minerals Ltd	0.45	41%	13%	0%	$154,756,869.75
RAS	Ragusa Minerals Ltd	0.086	15%	-4%	0%	$10,806,573.38
WC8	Wildcat Resources	0.037	28%	6%	0%	$23,875,090.90
THR	Thor Mining PLC	0.016	14%	0%	0%	$16,222,261.30
AOU	Auroch Minerals Ltd	0.135	17%	4%	0%	$48,775,742.87
NMT	Neometals Ltd	1.765	0%	1%	0%	$970,626,220.92
PLL	Piedmont Lithium Inc	0.98	4%	3%	-1%	$519,657,238.00
AS2	Askarimetalslimited	0.695	40%	1%	-1%	$28,781,048.10
GT1	Greentechnology	1.135	38%	18%	-1%	$121,370,000.00
LKE	Lake Resources	2.14	35%	6%	-1%	$2,770,528,067.28
LEL	Lithenergy	0.97	-1%	-3%	-1%	$44,100,000.00
DRE	Dreadnought Resources Ltd	0.0435	9%	-1%	-1%	$124,902,076.24
SCN	Scorpion Minerals	0.074	10%	-6%	-1%	$20,212,964.40
QXR	Qx Resources Limited	0.073	18%	-5%	-1%	$61,483,811.75
RGL	Riversgold	0.072	121%	-4%	-1%	$38,434,804.63
MM1	Midasmineralsltd	0.36	118%	3%	-1%	$19,869,915.63
PSC	Prospect Res Ltd	0.955	8%	10%	-2%	$418,354,866.69
BYH	Bryah Resources Ltd	0.057	19%	2%	-2%	$13,120,016.15
NWM	Norwest Minerals	0.055	-10%	-8%	-2%	$10,114,013.67
MIN	Mineral Resources.	60.75	30%	-2%	-2%	$11,739,938,617.35
INR	Ioneer Ltd	0.665	22%	-6%	-2%	$1,421,572,911.32
AVZ	AVZ Minerals Ltd	1.085	14%	-8%	-2%	$3,916,890,020.28
VUL	Vulcan Energy	8.91	-14%	-1%	-2%	$1,200,603,220.80
GL1	Global Lithium Resources	2.12	-14%	-6%	-2%	$342,462,399.58
JRL	Jindalee Resources	4.59	51%	-3%	-2%	$269,681,140.20
AKE	Allkem Limited	12.77	28%	-6%	-3%	$8,353,320,926.60
DTM	Dart Mining NL	0.076	-6%	-7%	-3%	$9,710,292.54
MMC	Mitremining	0.185	16%	-3%	-3%	$5,146,169.00
EPM	Eclipse Metals	0.036	38%	-3%	-3%	$71,081,677.28
PLS	Pilbara Min Ltd	2.78	-3%	-6%	-3%	$8,513,745,791.98
WR1	Winsome Resources	0.5	9%	1%	-3%	$69,360,196.91
RIO	Rio Tinto Limited	112.9	2%	-6%	-3%	$43,194,718,661.04
MLS	Metals Australia	0.16	108%	-9%	-3%	$63,274,741.53
FG1	Flynngold	0.155	15%	-9%	-3%	$10,249,768.00
CZL	Cons Zinc Ltd	0.03	7%	0%	-3%	$10,892,092.20
EVR	Ev Resources Ltd	0.059	20%	-5%	-3%	$56,485,028.33
LPI	Lithium Pwr Int Ltd	0.845	24%	1%	-3%	$305,501,742.00
ASN	Anson Resources Ltd	0.135	13%	-7%	-4%	$143,003,217.70
TMB	Tambourahmetals	0.26	16%	-4%	-4%	$11,122,001.46
LTR	Liontown Resources	1.575	-10%	-5%	-4%	$3,595,249,324.72
GLN	Galan Lithium Ltd	1.92	24%	-4%	-4%	$608,774,724.00
BMM	Balkanminingandmin	0.35	30%	-5%	-4%	$11,953,750.00
IGO	IGO Limited	13.585	11%	-3%	-4%	$10,730,484,910.21
RDT	Red Dirt Metals Ltd	0.565	3%	-6%	-4%	$176,860,052.59
WMC	Wiluna Mining Corp	0.89	-3%	-4%	-4%	$196,522,898.85
NVA	Nova Minerals Ltd	0.755	10%	-13%	-4%	$142,359,805.15
EUR	European Lithium Ltd	0.105	-16%	-5%	-5%	$152,120,499.96
MTM	Mtmongerresources	0.21	45%	11%	-5%	$7,625,207.26
WML	Woomera Mining Ltd	0.0305	79%	17%	-5%	$21,978,658.11
LPD	Lepidico Ltd	0.039	15%	0%	-5%	$259,765,393.22
STM	Sunstone Metals Ltd	0.071	-13%	1%	-5%	$167,964,073.43
PAM	Pan Asia Metals	0.535	3%	-3%	-6%	$41,985,427.08
IPT	Impact Minerals	0.015	36%	7%	-6%	$35,047,385.38
WCN	White Cliff Min Ltd	0.029	4%	-12%	-6%	$20,261,704.22
AUN	Aurumin	0.19	15%	-5%	-7%	$20,545,766.66
VKA	Viking Mines Ltd	0.012	9%	9%	-8%	$13,328,359.60
KGD	Kula Gold Limited	0.047	0%	0%	-8%	$10,973,957.23
AML	Aeon Metals Ltd.	0.059	13%	-17%	-16%	$60,606,622.16

A total of 36 stocks were in the green today, with 30 flatlining and 52 in the red.

Who’s got news out today?

ALCHEMY RESOURCES (ASX:ALY)

ALY has found multiple lithium anomalies at its Karonie gold project in WA.

The company says the multi-element signatures of these soil anomalies are consistent with possible hard rock lithium mineralisation associated with lithium-caesium-tantalum (LCT) type pegmatites.

Plus, they’re 8km along strike and within contiguous tenure to Global Lithium Resources’ (ASX:GL1) Manna Lithium deposit (9.9Mt at 1.14% Li201).

“The geochemical review reaffirms the prospectivity of our large tenement package at Karonie in what has historically only ever seen gold and base metals exploration,” CEO James Wilson said.

The $18m market cap player is up 154% year-to-date and had $3m cash at hand at 31 December 2021.

MORELLA MINING (ASX:1MC)

Drilling is underway at Morella’s namesake lithium project in WA, with the RC program expected to be completed in the next week.

Around 1,020m of diamond drilling has begun, and is expected to be completed in four to five weeks.

Plus, the company has completed its fieldwork program completed at the Mt Edon Lithium Project, where it noted that all the pegmatites observed were deeply weathered with decomposed feldspar leading to friable surface outcrop in almost all instances.

Essentially this means that the heavy weathering may result in depleted grades for lithium at surface.

Result are pending.

ZEOTECH (ASX:ZEO)

Zeotech has been named an industry partner of the federal government Trailblazer University Program, and will participate in the Resources Technology and Critical Minerals Processing Trailblazer Program led by Curtin University.

The company expects will accelerate commercialisation of its proprietary cleantech innovation for lithium process by-product in conjunction with project partners – The University of Queensland (UQ) and Covalent Lithium.

The project will include the construction of a large-scale demonstration plant to commercialise the lithium cleantech – which has successfully produced manufactured zeolites using the leached spodumene residue, which could potentially reduce the amount of tailings produced by lithium processing.

The zeolites can in turn be used for a wide range of commercial applications, which include; water purification, animal feed additives, gas stream purification and separation, multiple drying processes and during the cracking processes in the pharmaceutical and petroleum industries.

XANTIPPE RESOURCES (ASX:XTC)

Xantippe has exercised its option to acquire the Rita and Rita I tenements at the Carachi Pampa lithium project in Argentina.

Just last month the company extended its footprint in the Catamarca region in Argentina with its decision to exercise its option to acquire Carolina Lithium – which held the 12,400 hectare project.

Notably, Rita and Rita I cover over 6,000ha on the Carachi Pampa salt flat directly north east of Lake Resources (ASX:LKE) who’s Kachi project has a JORC resource of 4.4 million tonnes of lithium carbonate equivalent.

“In exercising the option to acquire both Rita and Rita I, Xantippe is one step closer to realising our vision to become a lithium brine producer in the heart of the prolific Lithium Triangle of South Americam” MD Richard Henning said.

“We are delighted to have acquired such high quality projects, located next to Tier One clean lithium developers.”

Exploration activities expected to commence in Q3.

NEOMETALS (ASX:NMT)

The company’s recycling joint venture, Primobius, has secured a commercial lithium battery recycling permit for its 10tpd recycling facility in Germany – which enables commercial operations to kick off in the country.

In addition, Primobius is delivering its first intermediate active material (Black Mass) product produced during the demonstration trials to a German metal recycler next week.

Primobius plans to deliver a number of bulk samples from commercial operations to multiple parties for evaluation of larger, longer term offtake arrangements.

The company says the 10tpd Shredding Plant will generate near-term revenue as well as prove the efficacy and operability of the shredding circuit at a 1:5 scale of the larger commercial plants – with 50tpd recycling operations currently the subject of engineering cost studies scheduled for completion by 30 June 2022.

PAN ASIA METALS (ASX:PAM)

The company has released more assay results from its Reung Kiet lithium project in Thailand, with results including 4.4m at 0.74% lithium, 0.08% tin and 115ppm tantalum from 122.6m.

The explorer says there’ll be a “slight delay” in reporting the mineral resource estimate (MRE) update for the project due to increasing assay backlogs at all testing laboratories – plus the company’s decision to include its latest extensional drilling results.

PAM emphasised that the delay is not to do with the project, its geology or its mineralogy.

The MRE is now due in mid-May, followed by a scoping study later in 2022.

MT MONGER RESOURCES (ASX:MTM)

Mt Monger has secured a key piece of ground at its Ravensthorpe Project in WA.

The Young River prospect is a known nickel mineralisation area which contains ultramafic rocks interpreted to be the continuation of the Lake Johnston greenstone belt – plus its prospective for lithium, graphite and rare earth elements (REE) but has never been systematically explored for these commodities.

“We are now busy compiling the exploration information that is available for the new exploration licence application and the surrounding tenements and planning for fieldwork to confirm and extend the historical results from the area,” MD Lachlan Reynolds says.

IMPACT MINERALS (ASX:IPT)

Impact has picked up the Dinninup battery and strategic metals project in the south west of WA.

The company says the project has had no previous exploration except for bauxite, and that high-priority targets for nickel-copper-Platinum Group Elements (PGM), lithium- caesium-tantalum (LCT) pegmatites and Rare Earth Elements (REE) have been identified in a first-pass soil geochemistry survey that tested geophysical targets.

First pass follow-up field checking and sampling will commence in May, with the aim of prioritising areas for more detailed soil geochemistry and ground geophysics.

Earlier this week the company identified spodumene and yttrium-bearing apatite in pegmatite veins at its Kalahari prospect of its Hopetoun project in WA.

It’s the first-time lithium has been found at the project, which covers an interpreted extension of the Ravensthorpe greenstone belt – host to mines such as Allkem’s (ASX:AKE) Mt Cattlin lithium project.