• EV could make up about half of all new vehicle sales worldwide by 2035
  • Efforts to diversify EV battery manufacturing starting to pay off
  • Azure drilling bears fruit with RC hole hitting sweet lithium interval

All your ASX lithium news, Feburary 13.

 

Electric vehicles could make up about half of all new vehicle sales worldwide by 2035, which provides a hint of where future lithium demand will come from.

Goldman Sachs Research forecast that EV sales will jump to 73 million units in 2040, up from about 2 million in 2020.

Developed countries are expected to be at the forefront of this shift, with EVs expected to secure more than 80% of the market.

“We expect the automobile industry to undergo a major transformation between 2020 and 2030, driven by the increasing adoption of vehicle electrification and autonomous driving,” Goldman Sachs equity research strategist Kota Yuzawa said.

“There will be no let-up in the EV industry’s expansion as environmental rules tighten and electrification technologies become more sophisticated. But the sector’s sources of profits will change dramatically.”

Additionally, the market for EV batteries, which account for as much as 40% of the car’s cost, is becoming concentrated with the top five manufacturers accounting for more than 80% of the global market share in 2020.

Efforts to diversify the battery supply chain are also gaining momentum with the US Inflation Reduction Act, which is due to be officially announced in March, expected to give a relative advantage to manufacturers that are pushing ahead with local production in the US for EVs, battery-related products and EV components.

Goldman Sachs adds that tech innovation will be critical for the industry with the EV battery market expected to grow substantially this decade, driven in part by the development of new materials and the introduction of new battery designs.

Powertrain units and thermal management will also become more efficient to reduce power consumption as engineers seek to reduce the weight of EVs.

 

Here’s how ASX lithium stocks are tracking:

CODE COMPANY PRICE % TODAY MARKET CAP
XTC Xantippe Res Ltd 0.006 20% $51,725,174
PSC Prospect Res Ltd 0.2 14% $80,895,406
LSR Lodestar Minerals 0.0045 13% $6,953,749
AML Aeon Metals Ltd. 0.029 12% $28,506,416
STM Sunstone Metals Ltd 0.033 10% $78,613,393
VKA Viking Mines Ltd 0.012 9% $11,277,843
KGD Kula Gold Limited 0.025 9% $8,307,874
RDT Red Dirt Metals Ltd 0.485 8% $200,208,371
JRL Jindalee Resources 2.55 6% $137,709,518
ALY Alchemy Resource Ltd 0.017 6% $18,849,220
MM1 Midasmineralsltd 0.205 5% $11,140,694
IPT Impact Minerals 0.0105 5% $24,813,706
EVR Ev Resources Ltd 0.021 5% $18,719,681
KAI Kairos Minerals Ltd 0.023 5% $43,210,057
BYH Bryah Resources Ltd 0.025 4% $6,750,083
RGL Riversgold 0.026 4% $23,636,693
TYX Tyranna Res Ltd 0.026 4% $60,135,633
EMH European Metals Hldg 0.685 4% $83,158,291
LPD Lepidico Ltd 0.0155 3% $114,566,576
ZEO Zeotech Limited 0.041 3% $65,628,227
SGQ St George Min Ltd 0.083 2% $67,828,229
KTA Krakatoa Resources 0.044 2% $14,822,526
PGD Peregrine Gold 0.5 2% $18,993,816
INF Infinity Lithium 0.1275 2% $57,824,012
MIN Mineral Resources. 91.22 2% $17,042,048,128
PLS Pilbara Min Ltd 4.855 2% $14,330,294,162
DAL Dalaroometalsltd 0.09 1% $2,658,875
CY5 Cygnus Gold Limited 0.465 1% $84,582,138
SYA Sayona Mining Ltd 0.2425 1% $2,085,509,849
AKE Allkem Limited 12.675 0% $8,047,245,045
IGO IGO Limited 14.54 0% $11,003,101,323
ADV Ardiden Ltd 0.0075 0% $20,162,515
1MC Morella Corporation 0.013 0% $79,281,546
AVZ AVZ Minerals Ltd 0.78 0% $2,752,409,203
EUR European Lithium Ltd 0.075 0% $108,692,938
RLC Reedy Lagoon Corp. 0.009 0% $5,100,476
TKL Traka Resources 0.008 0% $5,782,196
BMM Balkanminingandmin 0.45 0% $20,147,406
LEL Lithenergy 0.9 0% $54,135,000
ARN Aldoro Resources 0.23 0% $25,969,833
AAJ Aruma Resources Ltd 0.075 0% $11,772,113
PAM Pan Asia Metals 0.36 0% $52,868,012
AX8 Accelerate Resources 0.027 0% $10,195,247
AM7 Arcadia Minerals 0.23 0% $10,740,515
DTM Dart Mining NL 0.046 0% $7,158,546
EMS Eastern Metals 0.079 0% $3,086,089
FRS Forrestaniaresources 0.14 0% $8,524,782
GSM Golden State Mining 0.044 0% $5,148,625
RAG Ragnar Metals Ltd 0.016 0% $6,066,958
TMB Tambourahmetals 0.105 0% $4,325,223
EMC Everest Metals Corp 0.092 0% $9,791,846
WML Woomera Mining Ltd 0.016 0% $15,298,579
MTM Mtmongerresources 0.079 0% $4,504,913
SCN Scorpion Minerals 0.076 0% $26,273,671
AZI Altamin Limited 0.075 0% $29,378,756
ENT Enterprise Metals 0.009 0% $6,345,726
AVW Avira Resources Ltd 0.0025 0% $5,334,475
NVA Nova Minerals Ltd 0.62 0% $130,233,561
GT1 Greentechnology 0.815 0% $155,451,790
BNR Bulletin Res Ltd 0.12 0% $35,230,932
RMX Red Mount Min Ltd 0.006 0% $12,554,183
CAI Calidus Resources 0.23 0% $101,051,771
A8G Australasian Metals 0.19 0% $7,822,394
EFE Eastern Resources 0.018 0% $22,355,036
SRZ Stellar Resources 0.012 0% $12,055,571
AOA Ausmon Resorces 0.0055 0% $4,852,591
SRI Sipa Resources Ltd 0.028 0% $6,388,428
VMC Venus Metals Cor Ltd 0.135 0% $24,040,622
ZNC Zenith Minerals Ltd 0.225 0% $79,133,860
EPM Eclipse Metals 0.021 0% $42,589,256
WC8 Wildcat Resources 0.03 0% $19,860,682
MNS Magnis Energy Tech 0.425 0% $412,390,880
THR Thor Energy PLC 0.006 0% $8,853,677
CZL Cons Zinc Ltd 0.021 0% $10,129,514
MXR Maximus Resources 0.039 0% $12,443,175
DRE Dreadnought Resources Ltd 0.094 0% $309,610,453
M2R Miramar 0.079 0% $5,583,858
LLI Loyal Lithium Ltd 0.43 0% $22,570,700
WMC Wiluna Mining Corp 0.205 0% $74,238,031
AUN Aurumin 0.06 0% $10,694,458
DAF Discovery Alaska Ltd 0.028 0% $6,278,572
FTL Firetail Resources 0.13 0% $8,450,000
IR1 Irismetals 1.16 0% $74,506,800
LNR Lanthanein Resources 0.023 0% $25,796,238
TUL Tulla Resources 0.35 0% $74,496,958
CMD Cassius Mining Ltd 0.035 0% $14,297,252
RIO Rio Tinto Limited 122.315 0% $45,492,547,026
AGY Argosy Minerals Ltd 0.735 -1% $1,039,261,549
WR1 Winsome Resources 2.02 -1% $327,994,295
WES Wesfarmers Limited 48.69 -1% $55,939,846,523
LTR Liontown Resources 1.42 -1% $3,165,774,672
AZL Arizona Lithium Ltd 0.07 -1% $173,417,829
OCN Oceanalithiumlimited 0.35 -1% $12,926,970
TKM Trek Metals Ltd 0.067 -1% $24,748,266
AOU Auroch Minerals Ltd 0.062 -2% $26,954,243
CXO Core Lithium 1.0275 -2% $1,933,438,653
MLS Metals Australia 0.055 -2% $33,994,027
CRR Critical Resources 0.055 -2% $89,058,627
GW1 Greenwing Resources 0.275 -2% $41,512,482
INR Ioneer Ltd 0.3875 -2% $828,843,615
ESS Essential Metals Ltd 0.5 -2% $136,459,014
LLL Leolithiumlimited 0.5975 -2% $601,860,716
PLL Piedmont Lithium Inc 0.94 -2% $406,521,600
LIT Lithium Australia 0.045 -2% $56,174,817
IMI Infinitymining 0.22 -2% $17,207,622
QPM Queensland Pacific 0.1075 -2% $192,098,271
LPI Lithium Pwr Int Ltd 0.405 -2% $261,075,487
TON Triton Min Ltd 0.04 -2% $56,694,151
GL1 Globallith 2.09 -3% $458,322,500
MRR Minrex Resources Ltd 0.034 -3% $37,970,363
LRD Lordresourceslimited 0.165 -3% $5,659,661
LLO Lion One Metals Ltd 0.95 -3% $11,554,654
LKE Lake Resources 0.7075 -3% $1,036,559,633
NMT Neometals Ltd 0.84 -3% $480,884,823
VUL Vulcan Energy 6.91 -3% $1,026,996,755
CHR Charger Metals 0.39 -4% $17,704,319
PNN Power Minerals Ltd 0.485 -4% $36,484,151
TEM Tempest Minerals 0.024 -4% $12,619,154
FG1 Flynngold 0.095 -4% $10,184,480
QXR Qx Resources Limited 0.045 -4% $42,152,529
VSR Voltaic Strategic 0.022 -4% $7,067,905
ASN Anson Resources Ltd 0.205 -5% $253,324,808
AS2 Askarimetalslimited 0.625 -5% $32,594,449
LIS Lisenergylimited 0.345 -5% $60,558,678
LRV Larvottoresources 0.165 -6% $11,769,576
MQR Marquee Resource Ltd 0.03 -6% $10,470,640
A11 Atlantic Lithium 0.6325 -6% $408,875,621
GLN Galan Lithium Ltd 1.12 -7% $371,367,640
NWM Norwest Minerals 0.062 -7% $14,881,195
LRS Latin Resources Ltd 0.12 -8% $286,215,139
MMC Mitremining 0.275 -8% $10,795,530
WCN White Cliff Min Ltd 0.011 -8% $9,408,653
RAS Ragusa Minerals Ltd 0.11 -8% $17,111,854
PAT Patriot Lithium 0.42 -9% $27,893,251
CTN Catalina Resources 0.01 -9% $13,623,356
KZR Kalamazoo Resources 0.16 -14% $27,531,584
G88 Golden Mile Res Ltd 0.019 -14% $4,500,975
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Lithium stocks stumbled today in line with the broader market with 50 companies in the red, 58 unchanged and just 29 companies in the green.

 

Who’s got news out?

Azure Minerals (ASX:AZS)

Azure Minerals has intersected a lithium-rich pegmatite at its Andover project which returned an assay of 7.2m at 1.51% Li2O from hole ANDD0199 which was drilled near the VC30 VTEM nickel target.

Other holes in the same program targeting extensions of the Southern Mineralized Corridor proximal to the VC-30, VC-31 and VC-32 VTEM anomalies also intersected pegmatites containing lithium mineralisation.

The results highlight the extensive lithium prospectivity of the Andover project.

An initial drilling program of 30,000m of Reverse Circulation and 10,000m of diamond core drilling will be undertaken to determine the scale and depth potential of the lithium mineralisation already mapped and sampled at surface.

 

Encounter Resources (ASX:ENR)

Rock chip sampling has return highly anomalous assays of lithium and other critical minerals which confirm the presence of lithium-caesium-tantalum pegmatites at Encounter’s Junction project in the Northern Territory.

Top assays include 0.2% Li2O, 0.57% rubidium, 500 parts per million (ppm) tin, 498ppm caesium, 51ppm tantalum and 740ppm tungsten.

The outcropping pegmatite trend at the project covers at least 4km of strike and potentially extends under shallow cover.

Encounter will complete the soil sampling program to define targets for drilling.

 

First AU (ASX:FAU)

First Au is spreading its wings with the signing of an agreement to acquire a lithium project in Western Australia’s Pilbara region which is close to projects held by the likes of Pilbara Minerals, Mineral Resources and Sayona Mining.

The 180km2 Red Rock project hosts historically mapped outcropping pegmatites across the tenement package with rock chip and soil sampling returning results of up to 249ppm Li2O and 160ppm Li2O with 48ppm tantalum, 184ppm caesium and 141.5ppm tin.

Additionally, the tenements contain important geological features, including critical ‘young granites’ and mapped greenstone which is a well-known source of many deposits in Western Australia.

 

Forrestania Resources (ASX:FRS)

Forrestania has wrapped up the second lithium-focused reverse circulation drill program at its namesake project with 25 holes drilled for 3,983m over the South Iron Cap East, the Giant Pegmatite, the Gem Pegmatite and Bounty East targets.

Pegmatites were intersected in 13 of the holes with holes at the Giant Pegmatite returning encouraging intervals of 10m from 110m and 11m from 73m.

Additionally, weathered near surface felsic material at South Iron Cap East and Bounty East has been interpreted as pegmatite.

Results from this program will assist in the planning of follow-up drilling.

 

Jindalee Resources (ASX:JRL)

Jindalee is bringing out the big guns, reaching a non-binding memorandum of understanding with South Korean conglomerate POSCO Holdings to undertake joint research into its McDermitt lithium project in Oregon.

This will seek to optimise the flowsheet for the processing of ore sourced from the project with the company providing a large composite sample for testing at POSCO’s research facility in Korea.

Three separate metallurgical processes will be tested as part of the agreement, which is expected to take about six months and cost about $2m with POSCO picking up the tab.

McDermitt has an Indicated and Inferred Resource of 1,820Mt at 1,370ppm lithium, or 13.3 million tonnes of lithium carbonate equivalent.

 

Lepidico (ASX:LPD)

Lepidico has upgraded Ore Reserves at its Karibib project in Namibia by 14% to 9.4Mt at 0.43% Li2O with the definition of a maiden 1.16Mt at 0.62% Li2O Ore Reserve for the Helikon 4 pegmatite.

The company now plans to carry out drilling over the Helikon 2, 3 and 4 pegmatites from this month with the goal of extending Phase 1 operating life at the project to over 20 years.

It is also arranging site access to drill a new w occurrence of lepidolite bearing pegmatites that it had identified last quarter within EPL5439, which has intermittent outcrop and historical workings extending over a 1.5 km strike.

Midas Minerals (ASX:MM1)

Midas is moving to acquire a Canadian lithium project, where historical government sampling returned 15m at 1.25% Li2O across a single pegmatite outcrop, open in all directions.

The 102km2 Greenbush project in Ontario – not to be confused with the Greenbushes lithium mine in Western Australia – has a similar geological setting to the Root Lake LCT pegmatite field less than 100km west which is being explored by fellow Australian Green Technology Metals.

Additionally, the extent of the spodumene pegmatite remains undefined with no evidence of prior drilling within 5km of this outcrop.

Reach Resources (ASX:RR1)

Reach Resource has expanded into lithium with the acquisition of E09/2375, which brings known lithium mineralisation into its portfolio.

Previous work had identified a 5km long lithium soil anomaly with caesium, tantalum in soils to a level that indicates LCT pegmatites.

Widespread outcropping pegmatites have already been mapped across the tenement, which shares the same geology as Red Dirt Metals’ (ASX:RDT) Yinnietharra lithium project, which has seen drill intersections encountering lithium and spodumene mineralisation.

Vulcan (ASX:VUL)

Vulcan has released a Definitive Feasibility Study which outlines robust economics for Phase One of its Zero Carbon Lithium project in Germany’s Upper Rhine Valley.

The project is expected to generate post-tax Net Present Value and Internal Rate of Return, both measures of a project’s profitability, of €2.6Bn ($4bn) and 26% respectively on annual revenues of €700m per annum.

Production has been cranked up to 24,000tpa lithium hydroxide monohydrate to meet European demand.

CAPEX is estimated at just below €1.5bn with payback expected in 3.5 years.