A deal between Korean steel producer, POSCO and Etna Resources Inc. is set to double the steel company's investment in non-ferrous metals this year.
With the price of Lithium rising, due to its use in portable electronics, and electric vehicle production ramping up, investment in lithium production looks like a sure bet for POSCO.
Etna Resources' letter of intent for the deal with POSCO is worth CDN $5 million.
POSCO, the Pohang Iron and Steel Company, is registered on both the New York Stock Exchange and the Korea Stock Exchange. It is the second largest steel producer in the world, by market value. Etna Resources, Inc. trades on the Canadian Venture Exchange. Etna Resources, Inc. is soon to be renamed Pan American Lithium Corp.
Seeing the non-ferrous metals Lithium and Magnesium as "the new growth engines for the next generation of the company," POSCO CEO Joon-yang Chung also signed a letter of understanding to build a magnesium refinery in Gangwon Province, South Korea, last November. Building the refinery should save the company some USD $30 million by producing magnesium ingots locally, over importing them from China.
POSCO has 30 days to complete its due diligence on Etna Resources' lithium properties. The CDN $5 million funding covers the Etna Phase One development costs for the exploitable mineral brine recovery at the Cierro Prieto Geothermal Plant, 30 km south of Mexicali, Baja California, Mexico.
According to a report at Axcessnews, the rights to this site were optioned by Etna Resources in Q4, 2009, when the annual recoverable minerals were estimated at between $450 to $500 million. There are six square miles of existing sequential evaporation ponds where the brines are recovered and the metals concentrated to almost twelve times original salt content.
Source: Newsblaze
Showing posts with label lithium. Show all posts
Showing posts with label lithium. Show all posts
Sunday, January 17, 2010
Sunday, November 29, 2009
South Korea To Invest In Rare Metals
Reuters reports that South Korea will invest KRW 300 billion to develop technologies and raise self sufficiency rates of rare metals such as lithium and magnesium by 2018.
The statement said that in the private sector, POSCO will invest KRW trillion in 5 sectors including rare metals, non ferrous metals, carbon materials, future new materials and recycling through 2018. LS Nikko will spend KRW 500 billion in expanding production of rare metals by 2020. Local demand on rare metals has been rising sharply along with the growth of future advanced businesses including LCD and hybrid cars.
It said that "Through the investment the government aims to raise the self sufficiency rates of rare metals from current 12% to 80% by 2018."
South Korea SK Energy said that in October it would supply lithium ion batteries for a hybrid electric vehicle project for Daimler unit Mitsubishi Fuso, joining the competition with early movers in the sector including LG Chem and Samsung SDI.
The statement said that as part of the investment POSCO will set up a magnesium refining plant to produce 10,000 tonnes per year from 2011 and 100,000 tonnes from 2014 in an eastern province of Kangwon, which accounts for 40% of magnesium ingots buried in the country, to reduce imports of magnesium ingots.
Source: Steel Guru
The statement said that in the private sector, POSCO will invest KRW trillion in 5 sectors including rare metals, non ferrous metals, carbon materials, future new materials and recycling through 2018. LS Nikko will spend KRW 500 billion in expanding production of rare metals by 2020. Local demand on rare metals has been rising sharply along with the growth of future advanced businesses including LCD and hybrid cars.
It said that "Through the investment the government aims to raise the self sufficiency rates of rare metals from current 12% to 80% by 2018."
South Korea SK Energy said that in October it would supply lithium ion batteries for a hybrid electric vehicle project for Daimler unit Mitsubishi Fuso, joining the competition with early movers in the sector including LG Chem and Samsung SDI.
The statement said that as part of the investment POSCO will set up a magnesium refining plant to produce 10,000 tonnes per year from 2011 and 100,000 tonnes from 2014 in an eastern province of Kangwon, which accounts for 40% of magnesium ingots buried in the country, to reduce imports of magnesium ingots.
Source: Steel Guru
Friday, January 16, 2009
Sumitomo Developing Nickel And Lithium Projects
Sumitomo Corp. is bolstering efforts to secure natural resources used in rechargeable batteries before shortages predicted for the future materialize.
The company is working with Professor Kazuharu Yoshizuka of the University of Kitakyushu to create technology for developing lithium resources in Bolivia, where the Salar de Uyuni salts flats have 5.4 million tons of confirmed lithium deposits, half of the world's reserves. Development has been slow due to difficulty extracting the element.
By developing extraction technology ahead of other companies, Sumitomo aims to participate in a Salar de Uyuni development project.
The company is also developing a large-scale nickel mine in Madagascar and aims to place the mine into service in the second half of 2010 at a total cost of US$3.7 billion. The mine is expected to produce 60,000 tons of nickel ore annually, enough to meet 25 per cent of Japan's aggregate demand.
Shortages of rechargeable battery materials are forecast accompanying the growing popularity of hybrid and electric cars. By securing stable procurement routes early, Sumitomo hopes to boost profits.
The company is working with Professor Kazuharu Yoshizuka of the University of Kitakyushu to create technology for developing lithium resources in Bolivia, where the Salar de Uyuni salts flats have 5.4 million tons of confirmed lithium deposits, half of the world's reserves. Development has been slow due to difficulty extracting the element.
By developing extraction technology ahead of other companies, Sumitomo aims to participate in a Salar de Uyuni development project.
The company is also developing a large-scale nickel mine in Madagascar and aims to place the mine into service in the second half of 2010 at a total cost of US$3.7 billion. The mine is expected to produce 60,000 tons of nickel ore annually, enough to meet 25 per cent of Japan's aggregate demand.
Shortages of rechargeable battery materials are forecast accompanying the growing popularity of hybrid and electric cars. By securing stable procurement routes early, Sumitomo hopes to boost profits.
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