Created: 09/21/2012 05:25:58 PM -
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Nemaska Lithium Initiates Talks With Lithium Buyers
Nemaska Lithium Inc. ("Nemaska" or the "Corporation") (TSX
VENTURE:NMX)(OTCQX:NMKEF) is pleased to announce that it is discussing potential
off-take agreements with lithium hydroxide and carbonate end users. Nemaska
Lithium has already produced battery-grade lithium hydroxide and carbonate
during the metallurgical pilot plant scale tests done at SGS Canada Inc.
Lakefield laboratory and has sent samples to potential customers for evaluation.
The hydroxide was produced using Nemaska's proprietary electrolysis method. The
patent application on this hydroxide production process was filed on April 23,
The Company's CEO is travelling to China to attend the 3rd Lithium Asia
Conference in Chengdu, China, on September 27 and 28, to further discussions
with potential buyers with a goal of securing long term sales agreements. This
conference is attended by all the major producers and consumers of lithium
globally, including Nemaska's strategic investor, Sichuan Tianqi Lithium
Industries Inc. (Tianqi Lithium). Tianqi Lithium owns 19.9% of Nemaska Lithium
and is represented on the Board of Directors.
Nemaska Lithium is currently developing its Whabouchi lithium project with a
goal to be in production by 2014. The Whabouchi project is the richest North
American spodumene deposit and is ranked as the 2nd hard rock lithium project
closest to enter the chain of supply by independent researchers SignumBox in
Chile. Nemaska Lithium will be releasing the results of its Preliminary Economic
Assessment on October 2nd, 2012.
The production of lithium ion batteries has grown by 20% from 2000 to 2011,
overtaking nickel cadmium type batteries in the market. Manufacturers have made
use of lithium batteries higher energy density, life cycle and low weight in
several applications including mobile telephones, laptops, tablets, and power
tools. Lithium is used in battery cathodes and lithium hydroxide is used in LFP
(lithium ion phosphate) and some NMC (nickel magnesium cobalt) battery cathodes.
The use of LFP and NMC cathode materials has grown since 2010 as these materials
are incorporated into new technologies such as electric vehicles and grid
Nemaska Lithium is an exploration and development company with its Whabouchi and
Sirmac lithium deposits located in the James Bay Region in the Province of
Quebec. Both projects are easily accessible year round by the Route du Nord from
Chibougamau. The Whabouchi lithium deposit is located near the Cree community of
Nemaska and the Nemiscau airport. Nemaska plans to become a lithium
hydroxide/carbonate producer based in Quebec and has filed patent applications
for its proprietary method to produce lithium hydroxide and lithium carbonate.
The Corporation's lithium hydroxide/carbonate processing plant will be located
in Valleyfield, Quebec. Nemaska is also an important shareholder of Monarques
Resources Inc. (TSX Venture Exchange: MQR).