Eye on Lithium: Is Tesla about to give the green light to its Mexican EV plant?

Mexico’s president confirms the build of new Tesla EV plant
Oceana confirms high-grade spodumene at the Solonópole Lithium Project in Brazil
Argosy kicks off lithium carbonate production works at Rincon

All your lithium news, Wednesday March 1.

Mexico’s president Andrés Manuel Lopez Obrador says Tesla has committed to building a major electric car plant in the northern city of Monterrey after weeks of speculation over whether the EV maker would choose to operate in the country.

According to reports, Lopez Obrador announced the new plant on Tuesday following conversations with Tesla CEO Elon Musk on the phone.

“It’s good news, yes, the company Tesla is coming,” the president said in his morning news conference.

“The battery plant is still on hold but [its] the whole auto plant, which I understand will be very big.

“He [Musk] was very receptive, understanding our concerns and accepting our proposals.”

While Tesla has yet to make an official announcement, there is widespread speculation it will do so during its Investor Day this evening.

The move comes a couple days after the undisputed leading EV automaker reached a run rate of 4,000 EV per week at its Berlin factory – a 33% increase in production in just two months after reaching 3,000 cars per week in December.

4k Model Y built at Giga Berlin this week 🤘

Congrats to the Tesla team! pic.twitter.com/VJ0qBPkQ6U

— Tesla Europe (@tesla_europe) February 27, 2023

Late last month, Mexico president Andres Manual Lopez Obrador took steps towards nationalising lithium reserves with a newly signed decree.

This move comes after Obrador introduced fast-tracked legislation in April last year, which basically states that lithium exploration, exploitation, and use will be reserved for a new state-owned entity, thereby halting concessions or permits for lithium projects.

The decree orders the energy ministry to carry out the nationalisation process and, in this instance, it has also declared around 907 hectares in Sonora – one of Mexico’s 31 states – as a mining zone.

Here’s how ASX lithium stocks are tracking:

CODE	COMPANY	PRICE	% TODAY	MARKET CAP
LRD	Lordresourceslimited	0.19	23%	$5,160,279
SRZ	Stellar Resources	0.0115	15%	$10,046,309
CY5	Cygnus Metals Ltd	0.325	12%	$53,323,521
AX8	Accelerate Resources	0.028	12%	$9,440,044
VSR	Voltaic Strategic	0.021	11%	$5,838,704
ARN	Aldoro Resources	0.23	10%	$23,711,587
OCN	Oceanalithiumlimited	0.39	8%	$13,109,040
ZEO	Zeotech Limited	0.057	8%	$86,957,401
LRV	Larvottoresources	0.17	6%	$10,760,756
DRE	Dreadnought Resources Ltd	0.0845	6%	$263,498,258
PSC	Prospect Res Ltd	0.205	5%	$90,140,595
AKE	Allkem Limited	11.93	5%	$7,237,419,276
TMB	Tambourahmetals	0.105	5%	$4,119,260
AGY	Argosy Minerals Ltd	0.7275	5%	$976,063,211
GW1	Greenwing Resources	0.225	5%	$31,875,656
MNS	Magnis Energy Tech	0.375	4%	$349,319,334
ASN	Anson Resources Ltd	0.1975	4%	$224,074,587
GL1	Globallith	1.6	4%	$328,286,814
MIN	Mineral Resources.	85.64	4%	$15,850,867,198
WR1	Winsome Resources	2.005	4%	$311,499,235
LPD	Lepidico Ltd	0.0145	4%	$106,928,804
CHR	Charger Metals	0.295	4%	$12,458,595
MTM	Mtmongerresources	0.15	3%	$8,268,512
AZL	Arizona Lithium Ltd	0.062	3%	$146,550,278
EVR	Ev Resources Ltd	0.0155	3%	$14,039,761
LTR	Liontown Resources	1.405	3%	$2,989,898,301
MRR	Minrex Resources Ltd	0.032	3%	$33,630,893
ALY	Alchemy Resource Ltd	0.016	3%	$18,260,182
SYA	Sayona Mining Ltd	0.2425	3%	$2,043,375,359
A11	Atlantic Lithium	0.655	3%	$384,645,954
IGO	IGO Limited	13.54	3%	$9,942,926,385
SCN	Scorpion Minerals	0.069	3%	$23,162,315
KZR	Kalamazoo Resources	0.175	3%	$25,299,294
NVA	Nova Minerals Ltd	0.54	3%	$110,278,419
LLL	Leolithiumlimited	0.54	3%	$517,994,879
AS2	Askarimetalslimited	0.545	3%	$26,233,690
RIO	Rio Tinto Limited	119.99	3%	$43,332,068,660
PLS	Pilbara Min Ltd	4.285	3%	$12,501,694,340
CXO	Core Lithium	0.955	3%	$1,725,165,618
QPM	Queensland Pacific	0.094	2%	$160,664,009
TKM	Trek Metals Ltd	0.063	2%	$22,564,595
LPI	Lithium Pwr Int Ltd	0.36	1%	$223,329,634
PLL	Piedmont Lithium Inc	0.965	1%	$413,303,945
GLN	Galan Lithium Ltd	1.165	0%	$356,021,870
WES	Wesfarmers Limited	48.31	0%	$54,703,794,775
ADV	Ardiden Ltd	0.007	0%	$18,818,347
AML	Aeon Metals Ltd.	0.023	0%	$25,217,214
AVZ	AVZ Minerals Ltd	0.78	0%	$2,752,409,203
INF	Infinity Lithium	0.11	0%	$50,885,130
JRL	Jindalee Resources	2.58	0%	$148,037,732
RLC	Reedy Lagoon Corp.	0.008	0%	$4,533,757
TKL	Traka Resources	0.006	0%	$4,336,647
PAM	Pan Asia Metals	0.37	0%	$54,336,568
DTM	Dart Mining NL	0.042	0%	$6,536,064
FG1	Flynngold	0.08	0%	$8,229,883
GSM	Golden State Mining	0.038	0%	$4,446,540
MMC	Mitremining	0.3	0%	$10,795,530
RAG	Ragnar Metals Ltd	0.016	0%	$6,066,958
CTN	Catalina Resources	0.006	0%	$7,430,921
TEM	Tempest Minerals	0.022	0%	$11,143,063
WCN	White Cliff Min Ltd	0.011	0%	$8,624,599
WML	Woomera Mining Ltd	0.013	0%	$12,430,096
LRS	Latin Resources Ltd	0.115	0%	$253,190,316
QXR	Qx Resources Limited	0.039	0%	$34,977,631
AZI	Altamin Limited	0.075	0%	$29,378,756
ENT	Enterprise Metals	0.008	0%	$5,640,646
KAI	Kairos Minerals Ltd	0.019	0%	$37,317,776
PGD	Peregrine Gold	0.4625	0%	$17,932,924
RMX	Red Mount Min Ltd	0.0045	0%	$10,223,330
A8G	Australasian Metals	0.165	0%	$6,793,132
MQR	Marquee Resource Ltd	0.03	0%	$9,816,225
LSR	Lodestar Minerals	0.005	0%	$8,692,187
AOA	Ausmon Resorces	0.005	0%	$4,826,447
VKA	Viking Mines Ltd	0.01	0%	$10,252,584
SRI	Sipa Resources Ltd	0.03	0%	$6,844,744
VMC	Venus Metals Cor Ltd	0.135	0%	$24,040,622
ZNC	Zenith Minerals Ltd	0.22	0%	$77,375,330
RAS	Ragusa Minerals Ltd	0.1	0%	$14,259,879
G88	Golden Mile Res Ltd	0.021	0%	$4,296,385
EPM	Eclipse Metals	0.02	0%	$40,561,196
WC8	Wildcat Resources	0.029	0%	$19,198,659
MM1	Midasmineralsltd	0.15	0%	$8,569,765
M2R	Miramar	0.065	0%	$4,594,313
AOU	Auroch Minerals Ltd	0.058	0%	$24,815,018
WMC	Wiluna Mining Corp	0.205	0%	$74,238,031
AUN	Aurumin	0.05	0%	$8,912,049
LIS	Lisenergylimited	0.29	0%	$48,115,114
TYX	Tyranna Res Ltd	0.022	0%	$52,919,357
DAF	Discovery Alaska Ltd	0.027	0%	$6,054,337
FTL	Firetail Resources	0.145	0%	$9,425,000
IR1	Irismetals	1.16	0%	$74,506,800
DAL	Dalaroometalsltd	0.08	0%	$2,390,000
TUL	Tulla Resources	0.25	0%	$53,212,113
CMD	Cassius Mining Ltd	0.033	0%	$13,480,266
SGQ	St George Min Ltd	0.071	0%	$59,454,374
LLO	Lion One Metals Ltd	0.9	0%	$10,611,417
PAT	Patriot Lithium	0.33	0%	$20,010,376
LKE	Lake Resources	0.6225	0%	$887,465,439
ESS	Essential Metals Ltd	0.495	-1%	$133,783,347
PNN	Power Minerals Ltd	0.435	-1%	$31,788,171
LIT	Lithium Australia	0.04	-1%	$49,458,263
RDT	Red Dirt Metals Ltd	0.4	-1%	$180,187,533
AAJ	Aruma Resources Ltd	0.062	-2%	$9,888,575
CRR	Critical Resources	0.047	-2%	$76,335,966
MLS	Metals Australia	0.046	-2%	$28,530,701
GT1	Greentechnology	0.68	-2%	$132,563,183
CAI	Calidus Resources	0.225	-2%	$101,096,693
EMC	Everest Metals Corp	0.086	-2%	$9,366,114
KTA	Krakatoa Resources	0.037	-3%	$13,098,977
EUR	European Lithium Ltd	0.068	-3%	$101,446,742
TON	Triton Min Ltd	0.034	-3%	$48,397,446
MXR	Maximus Resources	0.034	-3%	$11,166,952
STM	Sunstone Metals Ltd	0.033	-3%	$89,095,178
EFE	Eastern Resources	0.0165	-3%	$21,113,090
VUL	Vulcan Energy	6.18	-3%	$917,985,926
FRS	Forrestaniaresources	0.135	-4%	$8,524,782
INR	Ioneer Ltd	0.365	-4%	$797,368,541
AM7	Arcadia Minerals	0.23	-4%	$11,207,494
BNR	Bulletin Res Ltd	0.115	-4%	$35,230,932
BYH	Bryah Resources Ltd	0.021	-5%	$6,187,576
RGL	Riversgold	0.021	-5%	$20,800,290
LEL	Lithenergy	0.73	-5%	$46,014,750
CZL	Cons Zinc Ltd	0.019	-5%	$9,647,156
LNR	Lanthanein Resources	0.018	-5%	$21,309,936
EMS	Eastern Metals	0.067	-6%	$2,773,573
EMH	European Metals Hldg	0.585	-6%	$78,118,395
LLI	Loyal Lithium Ltd	0.34	-8%	$22,011,300
1MC	Morella Corporation	0.011	-8%	$73,182,965
XTC	Xantippe Res Ltd	0.0055	-8%	$63,480,598
NMT	Neometals Ltd	0.815	-8%	$491,939,647
NWM	Norwest Minerals	0.032	-9%	$7,773,759
KGD	Kula Gold Limited	0.02	-9%	$7,946,662
THR	Thor Energy PLC	0.005	-9%	$8,115,871
BMM	Balkanminingandmin	0.345	-9%	$17,013,365
IMI	Infinitymining	0.18	-10%	$15,295,664
IPT	Impact Minerals	0.009	-10%	$24,813,706
AVW	Avira Resources Ltd	0.0025	-17%	$6,401,370

A total of 43 companies finished in the green, 55 fell flat, and 39 ended in the red.

Who’s got news out?

OCEANA LITHIUM (ASX:OCN)

Oceana has confirmed high-grade spodumene mineralisation at the Solonópole lithium project in Brazil.

Samples taken from exposed pit walls at the western and eastern extremities and pit floor of Mina Bom Jesus de Baixo pegmatite have returned high-grade assays of up to 3.61% Li2O.

This confirms Oceana’s confidence not only in the quality of the Mina Bom Jesus de Baixo target but in the prospectivity of the whole Solonópole lithium project which features around 17km of intermittent outcropping lithium bearing pegmatites.

ARGOSY MINERALS (ASX:AGY)

Argosy has kicked off lithium carbonate production works at the Rincon lithium project in Argentina’s Salta Province.

The company is nearing completion of the commissioning phase works and is now conducting production throughput and scaling trials at the 2,000tpa operations facility whilst moving towards the production ramp-up phase.

Argosy is targeting to complete the full systems ramp-up phase works and achieve steady-state continuous production operations by end the end of Q2, 2023.

WESTAR RESOURCES (ASX:WSR)

Westar has completed negotiations to acquire 100% of P77/4070, adjacent to the Olga Rocks project, prospective for lithium, rare earth metals, and gold.

The P77/4070 tenement compliments the existing holding and is along strike of the north-north-west interpreted central and western pegmatite zone within the southern zone.

With limited systematic exploration, all of which never targeted the known pegmatite bodies, Westar considers the multiple pegmatite intercepts are highly encouraging.

GALAN LITHIUM (ASX:GLN)

Galan’s exploration of the Santa Barbara tenement is off to a great start with the first diamond drillhole intersecting lithium brines while a new survey highlighted brine continuity over the entire area.

Hole SB-01-23 was drilled to a depth of 455m with 72-hour airlift testing extracting brines with an average lithium grade of 829mg/l.

Galan also noted that new geophysical studies have also confirmed the presence of conductive units, brine continuity and upside resource potential at the Santa Barbara tenement within the Hombre Muerto West project in Argentina.