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Any comments on the filing.
https://www.globenewswire.com/news-release/2021/11/13/2333690/0/en/Standard-Lithium-Provides-Update-on-Annual-Filings.html
VANCOUVER, British Columbia, Nov. 12, 2021 (GLOBE NEWSWIRE) -- Standard Lithium Ltd. (“Standard Lithium” or the “Company”) (TSXV: SLI) (NYSE American: SLI) (FRA: S5L), an innovative technology and lithium project development company, advises that its audited consolidated financial statements for the fiscal year ended June 30, 2021, included in the Company’s Annual Report on Form 40-F, as amended, contains an audit opinion from its independent registered public accounting firm that includes an explanatory paragraph related to the Company’s ability to continue as a going concern. Release of this information is pursuant to the disclosure requirements of the NYSE American Company Guidelines Sections 401(h) and 610(b). It does not represent any change or amendment to any of the Company’s filings for the fiscal year ended June 30, 2021.
Paragraph from the filing
https://www.sec.gov/ix?doc=/Archives/edgar/data/1537137/000117184321007873/exh_991.htm
The condensed consolidated interim financial statements have been prepared in accordance with International Financial Reporting Standards (“IFRS”) on a going concern basis, which presume the realization of assets and discharge of liabilities in the normal course of business for the foreseeable future. The Company has no sources of revenue and as at September 30, 2021 had an accumulated deficit of $77,976,495 (June 30, 2021 - $68,617,507). These matters raise significant doubt regarding the Company’s ability to continue as a going concern. The Company’s ability to continue as a going concern is dependent upon its ability to raise equity financings. These condensed consolidated interim financial statements do not include any adjustments to the amounts and classification of assets and liabilities that might be necessary should the Company be unable to continue in business.
It is Friday. Typically a bad day for this stock. Looks like it started off with a major sale. Probably someone that doesn't have a clue, just running! Experience suggests that Friday is down while Monday will be UP UP UP! Just take a deep breath and count to a billion.
I reserve the right to be wrong, but if you look at the spread of price and volume, what becomes apparent is a 10 day or so cycle. I am very bullish on this particular stock and within a year anyone that stays in it should be very happy IMHO. If you want to play the swing, it is generally large enough to pick up a few pennies on the way. It is also possible to miss it and lose in the long run. personally, I have been riding this waive since it went on the exchange. The thing that I see is that they own the patent on the process and the lithium in Arkansas is pretty pure to begin with. I read an ad for a company in Nevada that is being hyped, but going nowhere. All they have is the raw material and it is not yet mined.
Anybody here have a sense of why the sudden drop or is it just profit taking?
They fixed it. I contacted Bigcharts and they actually fixed it ! AMAZING.
Previously their SLI was a London-based insurance company.
Now it is Standared Lithium
https://bigcharts.marketwatch.com/advchart/frames/frames.asp?show=&insttype=&symb=sli&x=0&y=0&time=100&startdate=9%2F2%2F2018&enddate=12%2F6%2F2021&freq=1&compidx=aaaaa%3A0&comptemptext=&comp=none&ma=0&maval=9&uf=0&lf=1&lf2=0&lf3=0&type=2&style=320&size=3&timeFrameToggle=false&compareToToggle=false&indicatorsToggle=false&chartStyleToggle=false&state=13
Well, it is not enough to go anywhere, but is enough to buy on the dip. This puppy is one of those investments that you can go to sleep on and wake up to a nice profit over time. If you are going to play the swings, you may miss out on the bigger picture.
I also would like to know the source of that. I am not so sure that it is accurate without some fact checking.
The big thing SLI has going for it is that they are simply taking the brine already mined by another company and extracting LI from it. Since the existing company has been operational for decades there is no environmental issues and they can start almost immediately. The downside is that they only get 30% of the profit.
This earnings report will be important - we need to see some product and hopefully they will deliver.
Y'all know, this is a real multi-bagger. It will saw tooth itself up and up. The plant that went online in Arkansas is actually a pilot plant for a new process to generate battery grade and better lithium of which there is a LOT of in southern Arkansas. The product will make money and the process will be licensed to make money. And, once the pilot plant has done what it is going to, a full scale plant is next. Even though I am playing he volatility at this point, within a year or so, this one will be over 100/share and up and up from there. A true buy and hold IMHO.
It's a shame that Bigcharts is screwed up on the symbol....
that way I'd be able to (easily) see what yer saying
https://bigcharts.marketwatch.com/advchart/frames/frames.asp?show=&insttype=Stock&symb=sli&x=64&y=14&time=13&startdate=2%2F1%2F2020&enddate=10%2F23%2F2021&freq=1&compidx=aaaaa%3A0&comptemptext=&comp=none&ma=0&maval=9&uf=0&lf=1&lf2=0&lf3=0&type=2&style=320&size=3&timeFrameToggle=false&compareToToggle=false&indicatorsToggle=false&chartStyleToggle=false&state=9
10.00 = 12.37 cdn
Earlier today I set a limit at 10 and went to lunch. When I came back it had filled and if I had been here paying attention, I would have held off a bit, but based on the past behavior, I think that the swings will be between 9.5 and 11.5 for at least a few cycles.
Well - So hopefully this has WORKED !.....LoL
I had been noticing lately, that it's susceptible to wild gyrations.
Just figured that I ought to try and take advantage of one !
Last 9.85 US
I was of the opinion that it could pull back to that line.....
Oddly today I've noticed that LAC's "gyrating" also....
Currently they're now at 31.50
Everyone has an opinion. What is yours? This beast will hit a bottom and swing back up. What is your reentry point?
Sold at better than expected....New kid on the block : Out at 11.16 US
https://investorshub.advfn.com/Rock-Tech-Lithium-Inc-TSXV-RCK-33139/
About $13 on this run imo
This is one that is aw crap! I was playing the swing and made some money and then some analyst gave a buy recommendation wile I was out and rocket north! Darn
But to answer your question, this stock has a long ways to go ...
Good call, too bad I am not in.. What is your price target here? What does the chart say?
10 BUCKS!!! Yeah!!!
Standard Lithium Announces Positive Preliminary Economic Assessment and Update of Inferred Mineral Resource at South-West Arkansas Lithium ProjectPress Release | 10/12/2021
EL DORADO, Ark., Oct. 12, 2021 (GLOBE NEWSWIRE) -- Standard Lithium Ltd. (“Standard Lithium” or the “Company”) (TSXV: SLI) (NYSE: SLI) (FRA: S5L), an innovative technology and lithium project development company, reports the positive results of a Preliminary Economic Assessment (PEA) for the Company’s South-West Arkansas (SWA) Lithium Project (the “Project”; previously called the Tetra Project; See Company News Release dated May 17th 2021).
Key Points:
Pre-tax US$2.83 Billion NPV at 8% discount rate and IRR of 40.5%;
After-tax US$1.97 Billion NPV at 8% discount rate and IRR of 32.1%;
20-year mine-life producing an average of 30,000 tonnes per year of battery-quality lithium hydroxide monohydrate (LHM);
Operating costs of US$2,599 per tonne of battery quality lithium hydroxide;
AACE Class 5 Total CAPEX estimate of US$870 Million including conservative 25% contingency of direct capital costs; and,
SW Arkansas Lithium Project PEA lithium brine resource is updated to consider the potential unitized area of production, leading to an increased total (global) in-situ resource of 1,195,000 tonnes Lithium Carbonate Equivalent (LCE) at the Inferred Category.
Dr. Andy Robinson, President and COO of Standard Lithium commented, “the completion of this PEA for the SWA Lithium Project is an important milestone for Standard Lithium as it begins to showcase the significant potential that is present within the Smackover Formation in southwestern Arkansas. This PEA is the result of a concerted team effort, and we owe considerable thanks to all the team members who have contributed their professional expertise to this study. The ability to showcase this PEA and highlight these attractive project fundamentals is based on the many tens-of-thousands of hours that the broader Standard Lithium team has spent over the past few years proving and derisking our lithium extraction technology at pre-commercial scales. It is because of our large-scale technology proof that we can hope to deploy it, in the future, on our other assets in the region. The attractive potential economics from this PEA support continued effort to de-risk and advance the SWA Project in parallel with the Company’s immediate focus, which is to deliver the first new lithium production facility in North America at the Lanxess facilities.”
The PEA and updated lithium resource estimate are based on a unitized area of future potential production resulting in 36,172 gross mineral acres (14,638 gross mineral hectares). The PEA considers the production of battery-quality lithium hydroxide averaging 30,000 tonnes per annum (tpa) over a 20-year operating timeframe. The PEA also updates the existing inferred mineral resource.
The PEA is preliminary in nature and includes inferred resources that are considered too speculative to have the economic considerations applied to them that would enable them to be categorized as mineral reserves and there is no certainty the estimates presented in the PEA will be realized.
Table 1: PEA Highlights
Units Values
Average Annual Production (as LiOH•H2O) tpa[1] 30,000[2]
Plant Operation years 20
Total Capital Cost (CAPEX) US$ 869,868,000[3]
Operating Cost (OPEX) per year US$/yr 77,972,000[4]
OPEX per tonne US$/t 2,599
Initial Selling Price US$/t 14,500[5]
Average Annual Revenue US$ 570,076,000[6]
Discount Rate % 8.0
Net Present Value (NPV) Pre-Tax US$ 2,830,190,000
Net Present Value (NPV) Post-Tax US$ 1,965,427,000
Internal Rate of Return (IRR) Pre-Tax % 40.5
Internal Rate of Return (IRR) Post-Tax % 32.1
Notes:
All model outputs are expressed on a 100% project ownership basis with no adjustments for project financing assumptions
[1] Metric tonnes (1,000 kg) per annum
[2] Total production for years 1 to 15 is 30,666 tpa LHM and 28,000 tpa LHM for years 16 to 20
[3] AACE Class 5 estimate includes 25% contingency on direct capital costs
[4] Includes all operating expenditures, ongoing land costs, established Royalties, sustaining capital and allowance for mine closure. All costs are escalated at 2% per annum
[5] Selling price of battery quality lithium hydroxide monohydrate based on an initial price of $14,500/t in 2021, adjusted for inflation at 2% per annum. Sensitivity analysis modelled the starting price between US$12,500-US$16,500/t.
[6] Average annual revenue over projected 20 year mine-life.
Project Development
The development plan for the PEA considers the production of battery-quality lithium hydroxide averaging 30,000 tonnes per annum (tpa) over a 20-year operating timeframe. The project contemplates, in broad terms, the extraction of brine from the southern portion of the project where the brine has a higher lithium grade (approximately 400 mg/L) and better reservoir characteristics, and reinjection of the tailbrine into the northern part of the project where the lithium grade is significantly lower (approximately 160 mg/L; additional details are provided below). The lithium extraction process is based on the Company’s proprietary LiSTR technology, and the final conversion to a lithium hydroxide product will use an electrochemical process tailored to lithium hydroxide production. The project is located in an area with significant existing infrastructure such as water, power, gas, road, rail and workforce; plus existing operating oil and gas assets, including wells, collection systems, easements and gas processing facilities. It should be noted that the Company has secured an option to acquire a key parcel of land in the contemplated Project area. This land may be suitable for siting a future brine processing and conversion facility as it is well served by existing infrastructure, utilities and pipeline easements. Development of the project, subject to continuing project definition, due diligence and receipt of future feasibility studies, contemplates production commencing in 2025 from the land package assembled by the Company to date (subject to unitization as described below).
Brine Leases and Future Unitization
The SW Arkansas Lithium Project is based on the Company’s existing brine leases (maintained through an option agreement with Tetra Technologies Inc., a NYSE-listed Company) that have a net lease area of 27,262 acres (11,033 hectares). As the PEA contemplates a future production scenario (subject to ongoing project development and de-risking), it is necessary to model the potentially available resource by aggregating these leases into a single unitized production area; this has the effect of ‘filling in the gaps’ between the lease parcels to generate a single unitized area of 36,172 gross mineral acres (14,638 gross mineral hectares). Note that this ‘unitizing’, or ‘grossing-up’ of the existing leases to a possible future production area is normal for brine production in Arkansas (the Arkansas Brine Statute), and can only be considered when the net holding in the unitized area is greater than 75%. Note also that future aggregation and unitization of the leases is subject to regulatory approval, and will be governed by an existing process that is managed and overseen by the Arkansas Oil and Gas Commission (AOGC).
Brine Production/Injection, Pipelines and Pre-Treatment
Based upon geological and brine chemistry information in the SWA Lithium Project area, the lithium concentrations are anticipated to be consistent within the South and North Resource areas, averaging 399 mg/L and 160 mg/L, respectively. A network of 23 brine supply wells would produce from the Smackover Formation in the higher-grade South Resource area averaging about 1,715 m3/day per well for an aggregated total production of 39,452 m3/day (1,644 m3/hr or 7,238 US gallons per minute). The average brine supply well production rate is similar to the two existing bromine operations located immediately to the east of the Project. Brine from the supply wells would be conveyed to a lithium extraction and lithium hydroxide production facility by a network of underground fibreglass pipelines totalling approximately 18.3 km (11.4 miles) in length. The brine entering the production facility would be pre-treated to remove hydrogen sulphide gas (H2S), suspended solids and hydrocarbons, prior to processing by the Company’s proprietary direct lithium extraction process (LiSTR). After LiSTR processing, the lithium depleted brine is returned to the lower-grade North Resource area by a pipeline system 20.3 km (12.6 miles) in length to a network of 24 brine injection wells completed in the Smackover Formation. All extraction and reinjection would occur in the single unitized area to maintain reservoir pressures (as is the practice elsewhere in southern Arkansas).
Direct Lithium Extraction by LiSTR
The proprietary LiSTR lithium extraction process uses a fine-grained, solid, inorganic adsorbent to selectively adsorb lithium ions from the brine. The LiSTR process produces a concentrated lithium chloride solution. This process is currently being successfully tested by the Company at their Demonstration Plant in Union County, Arkansas (see December 03, 2020 news release). This Demonstration Plant has been successfully operating at a pre-commercial scale since May 2020.
Lithium Hydroxide Production
The concentrated lithium chloride solution from LiSTR is further concentrated by high pressure reverse osmosis and impurities are removed through ion exchange (as also successfully proven at the Company’s Demonstration Plant). The further concentrated and purified lithium chloride solution is processed by electrolysis to form a highly pure lithium hydroxide solution. This solution is crystalized into a solid, battery-quality lithium hydroxide monohydrate.
Capital Costs
At full build-out, with estimated average production over 20 years of 30,000 tonnes per annum of lithium hydroxide, the direct capital costs are estimated at US$532 million, with indirect costs of US$205 million. A contingency of 25% was applied to direct costs (US$133 million) to yield an estimated all-in capital cost of US$870 million. A summary of the capital costs is provided in Table 2 below.
Table 2: Capital Cost Summary
Description Direct Costs Million US$ [1] Indirect Costs Million US$ [2]
Extraction and Reinjection Wellfield[3] 204.9 2.3
Pipelines[3] 38.7 2.5
Receiving/Pre-Treatment 35.4 28.1
Lithium Extraction (LiSTR) 135.0 103.8
Lithium Hydroxide Conversion 90.9 39.9
Utilities/Infrastructure 26.9 28.5
Contingency 133.0[4] -
Total 664.8 205.1
CAPEX TOTAL US$869.9 million
Notes:
[1] Direct costs were estimated using either vendor-supplied quotes, and/or engineer estimated pricing (based on recent experience) for all major equipment. Major equipment prices were scaled using appropriate AACE Class 5 Direct Cost Factors (provided by the relevant QP) to derive all direct equipment costs
[2] Indirect costs were estimated using AACE Class 5 Indirect Cost Factors multiplied by the direct costs. Indirect costs include all contractor costs (including engineering); indirect labor costs and Owner’s Engineer costs
[3] Exceptions to above costing estimate methodology were the wellfield and pipelines, which were based on HGA’s recent project experience in the local area
[4] AACE Class 5 estimate includes 25% contingency on direct capital costs
Operating Costs
The operating cost estimate includes both direct costs and indirect costs, as well as allowances for mine closure. The majority of the operating cost comprises reagent usage required to extract the lithium from the brine, as well as conversion to lithium hydroxide monohydrate and electricity consumption. Out of this, the greatest amount is related to acid and base consumption (hydrochloric acid and ammonium hydroxide) and was estimated using information from the operating Demonstration Plant located in Union County, Arkansas. The all-in operating cost of $2,599 per tonne of lithium hydroxide is one of the lowest reported in the industry owing to two key factors which are location-specific. DLE processes are reagent intensive; in the case of the LiSTR process, the principal reagent cost is hydrochloric acid. A large portion (approximately 50%) of the acid required is produced on-site as a by-product of the electrochemical conversion of lithium chloride to lithium hydroxide. This can result in significant cost-savings during the lithium extraction step. The electrochemical conversion uses a large quantity of electricity, which would normally (in most jurisdictions around the world) result in a cost disbenefit; however, bulk electricity pricing in southern Arkansas is favorable (<6 cents/kWh), and hence results in overall lower-than-normal operating costs.
Table 3: Operating Cost Summary
Description Operating Cost US$/tonne Lithium Hydroxide[1]
Workforce[2] 190
Electrical Power[3] 378
Reagents and Consumables[4] 836
Natural Gas[5] 39
Maintenance/Waste Disposal/Misc[6] 563
Indirect Operational Costs[7] 110
Royalties and Land/Lease Costs[8] 482
OPEX Total 2,599
Notes:
[1] Operating costs are calculated based on average annual production of 30,000 tonnes of lithium hydroxide
[2] Approximately 75 FTE positions
[3] Approximately 40% of electrical energy consumed by wellfield and pipelines; 60% by the processing facility
[4] Majority of reagent costs are comprised of HCl and NH4OH consumption. As discussed elsewhere, approximately 50% of the required HCl is produced on-site as a by-product of the electrochemical conversion of lithium chloride solution to lithium hydroxide solution, resulting in a significant cost saving. Additional cost savings can be attributed to the on-site production of concentrated NaCl solution, resulting from pre-concentration of the LiCl ahead of conversion. This NaCl solution is used as a regenerant in some of the polishing IX processes. Other reagents and consumables are air, lithium titanate make-up (owing to small losses in the process), membrane replacement, nitrogen and scale inhibitors for pumps/wellheads.
[5] Assumes that all natural gas is purchased from open market and none is co-produced at the wellheads
[6] Includes all maintenance and workover costs and is based on experience in similar-sized electrochemical facilities, brine processing facilities and Smackover brine production wellfields
[7] Indirect costs (insurance, environmental monitoring, community benefits etc.) are factored from other capital and operational costs, except for mine closure, which is based on known well-abandonment costs
[8] Based on agreed royalties and expected future lease costs. Does not include future lease-fees-in-lieu-of-royalties which are still to be determined and subject to regulatory approval (lease-fees-in-lieu-of-royalties have been determined for bromine and certain other minerals in the State of Arkansas, but have not yet been determined for lithium extraction)
Sensitivity Analysis
Lithium hydroxide monohydrate battery quality pricing assessment was completed. Project pricing was based upon a current price of $14,500 US/tonne adjusted for inflation to the start of production in 2025. The sensitivity analysis is provided in Table 4 below.
Table 4: Lithium Hydroxide sale price post-tax sensitivity analysis
LHM Price in 2021[1] (US$/t)
Post-Tax NPV (US$ Million) Post-Tax IRR
12,500 1,544.7 27.6 %
13,500 1,755.1 29.9 %
14,500 1,965.4 32.1 %
15,500 2,175.8 34.2 %
16,500 2,386.1 36.3
%
Notes:
[1] 2% annual LHM price escalation from 2021 to the start of production in 2025 was applied.
Mineral Resource Assessment
The resource present in the Smackover Formation below the SWA Lithium Project was updated based on the proposed unitized area encompassing 36,172 gross mineral acres (14,638 gross mineral hectares; see discussion above for disclosure on Unitization process). Using a cut-off criteria of 50 mg/L lithium, the SWA Lithium Project resource estimate is classified as ‘Inferred’ according to the CIM definition standards (see note 4 after Table 5). The total (global) in-situ Inferred lithium brine resource is estimated at 225,000 tonnes of elemental lithium, or 1,195,000 tonnes lithium carbonate equivalent (“LCE”); see Table 5 below for more detail.
Table 5: South-West Arkansas Lithium Brine Project Inferred Resource Estimation
Upper Smackover Formation Middle Smackover Formation Total (and main resource)[1]
Parameter South Resource Area North Resource Area South Resource Area North Resource Area
Aquifer Volume (km3) 2.852 4.226 0.704 1.080 8.862
Brine Volume (km3) 0.281 0.416 0.071 0.110 0.76
Average lithium concentration (mg/L) 399 160 399 160 199
Average Porosity 10.1 % 10.1 % 10.3 % 10.3 % 10.1 %
Total Li inferred resource (as metal) metric tonnes [4][5] 112,000 67,000 28,000 18,000 225,000
Total LCE inferred resource
(metric tonnes)[4][5] 596,000 354,000 152,000 93,000 1,195,000
Notes:
[1] Mineral resources are not mineral reserves and do not have demonstrated economic viability. There is no guarantee that all or any part of the mineral resource will be converted into a mineral reserve. The estimate of mineral resources may be materially affected by geology, environment, permitting, legal, title, taxation, socio-political, marketing, or other relevant issues.
[2] Numbers may not add up due to rounding to the nearest 1,000 unit).
[3] The resource estimate was completed and reported using a cut-off of 50 mg/L lithium.
[4] The resource estimate was developed and classified in accordance with guidelines established by the Canadian Institute of Mining and Metallurgy (CIM). The associated Technical Report was completed in accordance with the Canadian Securities Administration’s National Instrument 43-101 and all associated documents and amendments. As per these guidelines, the resource was estimated in terms of metallic (or elemental) lithium.
[5] In order to describe the resource in terms of ‘industry standard’ lithium carbonate equivalent, a conversion factor of 5.323 was used to convert elemental lithium to LCE.
With respect to reconciliation of resources, the updated 2021 SWA Lithium Project resource is 49% larger than the 2019 resource estimate. This difference is directly related to unitization of the resource area. More specifically, the total aquifer volume has increased from 7.66 km3 in 2019 to 8.86 km3 (1.84 mi3 to 2.13 mi3) in this report.
The lithium brine Inferred Resource, as reported, is contained within the Upper and Middle Members of the Smackover Formation, a late jurassic oolitic limestone aquifer that underlies the entire Project. This brine resource is in an area where there is some localised oil and gas with on-property production, and where brine is produced as a by-product of hydrocarbon extraction. The data used to estimate and model the resource were gathered from existing and suspended oil and gas production wells on or adjacent to the Project.
The resource area is split into the northern and southern resource zones, where a fault system is generally interpreted to act as the divide between the two areas (although there is hydrogeological continuity in the resource zone across the fault system). In general, the Smackover Formation is slightly thinner, with lower lithium grades in the northern zone, and slightly thicker with higher lithium grades in the southern zone. The depth, shape, thickness and lateral extent of the Smackover Formation were mapped out using the following data:
2,444 wells drilled into the subsurface in the general SWA Lithium Project area. Of these, 2,041 wells were deep enough (2,135 m, or 7,000 feet) to penetrate the Upper Smackover Formation;
104 wells had electric logs available within the SWA Lithium Project that included the top of the Upper Smackover Formation;
32 wells had electric logs available within the SWA Lithium Project that included the base of the Upper Smackover Formation;
19 wells had electric logs available within the SWA Lithium Project that included the base of the Middle Smackover Formation; and,
29 wells had density logs and/or porosity logs that could be used to calculate total porosity in the Middle and Upper Smackover Formations. Nineteen of the 29 logs logged the entire Upper Smackover Formation.
In addition, hardcopy prints of 20 proprietary regional seismic lines totaling over 200 line-km (over 125 line-miles) were procured, scanned, rasterized and loaded into Kingdom® seismic and geological interpretation software.
The porosity and permeability data used to model the resource included:
Historical effective porosity measurements of more than 1,935 Smackover Formation core samples that yielded an average effective porosity of 14.3%;
Historical permeability data that vary from <0.01 to >5,000 millidarcies (mD) with an average of 338 mD;
515 core plug samples from oil and gas wells within the Upper and Middle Smackover Formations at the SWA Lithium Project were analysed for permeability and porosity and yielded an overall average permeability of 53.3 mD and a total porosity of 10.2%; and,
3,194 Smackover Formation total porosity values based on LAS density/porosity logs from 29 wells within, and/or adjacent to the SWA Lithium Project that have an average total porosity of 9.2%.
Representative in-situ brine geochemistry was assessed using eight lithium brine samples taken from wells re-entered by the Company in 2018 and was supplemented by four historical samples. These data yielded an average lithium grade of 160 mg/L in the northern resource zone and 399 mg/L in the southern resource zone. Sample quality assurance and quality control was maintained throughout by use of blanks, duplicates, standard ‘spikes’, and by using an independent and accredited laboratory, with a history of analysing high salinity lithium brines.
Main Recommendations
The principal recommendation from the PEA is that the project progress to a Pre-Feasibility Study.
Summary of Consultants - Quality Assurance
The PEA was prepared by a multi-disciplinary team of Qualified Persons (“QPs”) that include geologists, hydrogeologists, civil and chemical engineers with relevant experience in brine geology, brine resource modelling and estimation, lithium-brine processing and project development and execution. This was combined with an update of the inferred resource assessment completed by APEX Geoscience Ltd. A National Instrument 43-101 report is required to be filed within 45 days, in conjunction with the disclosure of the PEA in this news release.
The companies involved in completing the PEA include:
APEX Geoscience Ltd (APEX): APEX is geological consulting company headquartered in Edmonton, Alberta. APEX has completed mineral exploration and resource modelling and estimations world-wide for over 25 years including lithium resource evaluations.
ECCI: ECCI is located in Little Rock, Arkansas and was established in 1993 to provide environmental support to engineering and construction projects.
Hunt, Guillot & Associates (HGA): HGA’s headquarters is in Ruston, Louisiana near to the SWA Lithium Project. HGA has extensive engineering and construction expertise in the Gulf Coast region. HGA is a private company founded in 1997 with more than 450 employees.
Matrix Solutions Inc (Matrix): Matrix is a Canadian, privately-owned environmental and engineering company established in 1984 with more than 500 employees.
NORAM: NORAM is a Vancouver-based private company active in a wide range of technologies world-wide including electrochemistry for the production of lithium hydroxide monohydrate. NORAM was founded in 1988 and has more than 100 employees.
METNETH2O Inc (METNETH2O): METNETH2O is a Canadian company in Peterborough, Ontario that provides hydrometallurgical solutions including pilot plant design and data analysis to companies world-wide.
News Release Quality Assurance
The scientific and technical information contained in this news release relating to the SWA Lithium Project PEA has been compiled by the above-mentioned companies. All companies have reviewed and approved the presentation of the PEA information in this news release. The final content of this news release has been reviewed by Clive Brereton, a Fellow of the Canadian Academy of Engineering and Vice President of NORAM Engineering and Constructors, and reviewed and approved by Eric Mielke, M.A.Sc., P.Eng., of NORAM. Mr. Mielke is a “Qualified Person” as the term is defined in National Instrument 43-101 and is independent of the Company.
About Standard Lithium Ltd.
Standard Lithium is an innovative technology and lithium development company. The Company's flagship project is located in southern Arkansas, where it is engaged in the testing and proving of the commercial viability of lithium extraction from over 150,000 acres of permitted brine operations. The Company has commissioned its first-of-a-kind industrial-scale direct lithium extraction demonstration plant at Lanxess's south plant facility in southern Arkansas. The demonstration plant utilizes the Company's proprietary LiSTR technology to selectively extract lithium from Lanxess's tail brine. The demonstration plant is being used for proof-of-concept and commercial feasibility studies. The scalable, environmentally friendly process eliminates the use of evaporation ponds, reduces processing time from months to hours and greatly increases the effective recovery of lithium. The Company is also pursuing the resource development of over 30,000 acres of separate brine leases located in south west Arkansas and approximately 45,000 acres of mineral leases located in the Mojave Desert in San Bernardino county, California.
Standard Lithium is jointly listed on the TSX Venture and the NYSE American Exchanges under the trading symbol “SLI”; and on the Frankfurt Stock Exchange under the symbol “S5L”. Please visit the Company’s website at www.standardlithium.com.
On behalf of the Board of Standard Lithium Ltd.
Robert Mintak, CEO & Director
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. This news release may contain certain “Forward-Looking Statements” within the meaning of the United States Private Securities Litigation Reform Act of 1995 and applicable Canadian securities laws. When used in this news release, the words “anticipate”, “believe”, “estimate”, “expect”, “target, “plan”, “forecast”, “may”, “schedule” and other similar words or expressions identify forward-looking statements or information. These forward-looking statements or information may relate to future prices of commodities, accuracy of mineral or resource exploration activity, reserves or resources, accuracy of the PEA, including NPV, IRR, capital and operating costs, life of mine production, progression of the project, including to a pre-feasibility study, regulatory or government requirements or approvals, the reliability of third party information, continued access to mineral properties or infrastructure, fluctuations in the market for lithium and its derivatives, changes in exploration costs and government regulation in Canada and the United States, and other factors or information. Such statements represent the Company’s current views with respect to future events and are necessarily based upon a number of assumptions and estimates that, while considered reasonable by the Company, are inherently subject to significant business, economic, competitive, political and social risks, contingencies and uncertainties. Many factors, both known and unknown, could cause results, performance or achievements to be materially different from the results, performance or achievements that are or may be expressed or implied by such forward-looking statements. The Company does not intend, and does not assume any obligation, to update these forward-looking statements or information to reflect changes in assumptions or changes in circumstances or any other events affections such statements and information other than as required by applicable laws, rules and regulations.
For further information, contact Anthony Alvaro at (604) 240 4793
Contact: info@standardlithium.com
Twitter: @standardlithium
LinkedIn: https://www.linkedin.com/company/standard-lithium/
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https://www.otcmarkets.com/stock/SLI/news/Standard-Lithium-Announces-Positive-Preliminary-Economic-Assessment-and-Update-of-Inferred-Mineral-Resource-at-South-Wes?id=324657
Luv the look of the chart, gap filled, and price key reversed and right at the rising 50 day MA, doesn't get much easier than this!
Took out yesterday's high so it's now a KEY REVERSAL DAY!
Jim Cramer likes it and so do I! Got the fill today 6.78
I think you are correct. This has turned into an interesting play on the volatility if you have the stomach for it.
Bought pre-market at 6.78, she's gonna reverse and close green today!
Gap filled at 7.10 today, Now it can turn higher, I bought the Jan 7.5 calls
To heck with the Kraaken ... Release the flying monkeys!!!! (background music from OZ)
Here is an old article that shows a map of the brine.
GLTA
https://oilandgas-investments.com/2019/top-stories/theres-a-new-lithium-source-coming-thats-clean-cheap-and-most-of-all-fast/
Cramer interview was very significant. He does DD before allowing anyone on air. If you do make it on air you get a positive review and he will call you back for future update. Mad Money is CNBC's biggest rating show with over 380,000 viewers.
Very exciting time. TSLA announced that it has patented rights for chemical engineering scheme to leech LI from brine. TSLA signed a deal with PLL and the stock went up 96% this year.
Please note that all a lot of these mining companies have is mineral rights to some area. You or I can do that. Exploration, testing, political approval and developing a plant costs a zillion dollars and takes forever. A lot of these companies just want to promote the hell out of their rights and then sell them to the highest bidder.
The great thing about SLI is that they are producing right now and all the paperwork was done decades ago by Lanxess. I think Laxness is a german company and subject to german taxes.
I hope SLI concentrates on the short term future - how much can I produce right now for the least money. Ramp up the processing. All the brine that Laxness has processed and put back in the ground over the last decades can be brought back up and processed for LI at very little cost.
Follow the money and not the crazy glitter of imaginary mines.
Also, it is true that just the big belt of brine running from Texas to Fla, which we are in the middle of, is way more LI then the world will ever need.
Standard Lithium CEO Robert Mintak joined CNBC's Mad Money with Jim Cramer to talk
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Standard Lithium chose south Arkansas as a key development target due to its very large resource potential, with a well-studied and documented brine deposit. Combine this with a pro-business environment, a region with more than five decades for commercial brine production, the associated infrastructure; pipelines, well fields, low-cost power, road, rail and a highly skilled work force. This makes Standard Lithium’s south Arkansas project the perfect location for a modern lithium chemical company.
The Company’s flagship 150,000 acre, 3.14 Million Tonne Lithium Carbonate Equivalent (“LCE”) resource Joint Venture** “Lanxess Project” is located minutes away from the city of El Dorado, Arkansas.
El Dorado is headquarters of the Arkansas Oil and Gas Commission as well as Murphy Oil, Murphy USA, Deltic Timber Corporation and a Delek US oil refinery. The city has a nationally-recognized downtown arts district, the Murphy Arts District (MAD); a community college, South Arkansas Community College (South Ark); and a multi-cultural arts center, South Arkansas Arts Center (SAAC). El Dorado is the population, cultural and business center of south-central Arkansas.
El Dorado is located approximately 120 miles (190 km) from the state capital of Little Rock. The city was the heart of the 1920s Arkansas oil boom. During World War II, it became a center for the U.S. chemical industry, which still plays a key part in the local economy, as do oil and timber.
The region is home to North America’s largest brine production and processing facilities.
When oil was discovered in south Arkansas in 1921, oil field brines were considered a worthless by-product of oil producers who had problems disposing of the brine. Then, chemists from the Arkansas Geological Commission (now the Arkansas Geological Survey) discovered that the Smackover Formation brines had high bromine content—seventy times greater than that of ocean water. Bromine production followed oil production in Union County in 1957 and has continued ever since. Bromine production in Union and Columbia counties contributes significantly to the local and state economy and employs over 1,000 people. Great Lakes Chemical Corporation built the world’s largest bromine plant in south Arkansas in 1961. Great Lakes Chemical Corporation merged with Crompton Corporation in 2005 to create Chemtura Corporation. Chemtura Corporation was acquired by global specialty chemical company Lanxess AG in 2017. Lanxess operates three brine processing plants in south Arkansas.
TETRA Technologies operates a processing plant in the area, Albemarle Corporation (formerly Ethyl Corporation) operates two bromine processing plants in Magnolia (Columbia County) Arkansas.
Lanxess operations in south Arkansas cover 150,000 acres that includes10,000 brine leases. Lanxess extracts brine from their wells located throughout the area, and the brine is transported through a network of 250 miles of pipelines to three plants where the brine is processed for bromine recovery with the tail brine then re-injected to the aquifer. The three bromine extraction plants currently employ approximately 500 people, have been in production for nearly five decades, and produce roughly 5.3 billion gallons of brine annually.
A Preliminary Economic Assessment prepared by Advisian, a consulting arm of Worley Parsons, released June 18, 2019 considers the production of battery-quality lithium carbonate through a phased build-out to a total 20,900 tonnes per annum (tpa) from the contemplated joint venture with Lanxess AG at their three-operating bromine-processing plants.
Notes:
All model outputs are expressed on a 100% project ownership basis**
[1] Total production, using existing brine supply rates at the completion of Phase 3
[2] Plant operation commences upon completion of Phase 1
[3] Includes 25% contingency of both direct and indirect capital costs
[4] Includes all operating expenditures, including sustaining capital and allowance for mine closure
[5] Selling prices ranging between US$10,840-16,260/tonne were modeled as part of sensitivity analysis
** 70/30 JV in favor of Lanxess AG with an option for Standard Lithium to achieve 40% subject to attaining certain milestones
*** See news release Nov 12, 2018 - Subject to proof of concept & positive feasibility study
Standard Lithium has an option agreement with NYSE listed TETRA Technologies Inc. to acquire the rights to conduct exploration, production and lithium extraction activities on 27,262 acres of brine leases located approximately 40km west of the Lanxess project. This is in an area where the Smackover Formation is known to be highly productive. The TETRA Project lithium brine Inferred Resource, as reported, is contained within the Upper and Middle facies of the Smackover Formation, a Late Jurassic oolitic limestone aquifer system that underlies the entire property. This brine resource is in an area where there is localized oil and gas production, and brine is produced as a waste byproduct of hydrocarbon extraction. The data used to estimate and model the resource was gathered from active and abandoned oil and gas production wells on or adjacent to the property.
The resource underlies a total of 807 separate brine leases and eight brine mineral deeds which form a patchwork across Columbia and
Lafayette Counties in southwestern Arkansas. The property consists of 11,033 net hectares (27,262 net acres) leased by TETRA, and the resource estimate was only modeled for that footprint.
Standard Lithium has agreements with regional independent oil and gas producers with open, unused Smackover Formation wells in and immediately adjacent to the new lease area to gather new, high-quality lithium brine samples from the key brine production zones.
Notes:
[1] Mineral resources are not mineral reserves and do not have demonstrated economic viability. There is no guarantee that all or any part of the mineral resource will be converted into a mineral reserve.
[2] Numbers may not add up due to rounding.
[3] The resource estimate was completed and reported using a cut-off of 50 mg/L lithium.
[4] The resource estimate was developed and classified in accordance with guidelines established by the Canadian Institute of Mining and Metallurgy. The associated Technical Report was completed in accordance with the Canadian Securities Administration’s National Instrument 43-101 and all associated documents and amendments. As per these guidelines, the resource was estimated in terms of metallic (or elemental) lithium.
[5] In order to describe the resource in terms of ‘industry standard’ lithium carbonate equivalent, a conversion factor of 5.323 was used to convert elemental lithium to LCE
In the conventional process for lithium extraction from brine, the lithium-rich salt water is pumped to the surface and deposited into a series of massive ponds that occupy many thousands of acres where passive solar evaporation occurs. This process can take anywhere from eight months to greater than a year. After the water has evaporated, and other minerals have been precipitated out through the addition of chemical reagents, the remaining lithium enriched solution is transferred to a plant where additional unwanted elements are removed from the solution. It is then chemically treated to create the final product of lithium carbonate, or further processed to lithium hydroxide. This entire process involves pumping millions of gallons of brine per day to the surface in some if the driest and most fragile eco-systems, the process is also very inefficient with lithium recoveries of roughly 50%, leaving much of the precious material unharvested. The removal of massive volumes of brine can also impact nearby freshwater aquifers exacerbating existing water shortages, and the evaporation process leaves huge salt tailings piles.
A new, modern approach to how we extract and process critical minerals like lithium is overdue.
For the company’s south Arkansas projects, Standard Lithium has developed a proprietary process called “LiSTR” that uses a solid ceramic adsorbent material with a crystal lattice that is capable of selectively pulling lithium ions from the “tail brine” or waste brine after it has gone through the bromine-extraction step. The ceramic adsorbent materials are mounted in stirred-tank reactors that contain the tail brine. In the second step, the adsorbent releases the lithium for recovery.
The Li-extraction process (diagram) takes advantage of the fact that the brine leaves the bromine process heated to approximately 70°C. This means that no additional energy is required, and the reaction kinetics for the adsorption are suitable. The process can reduce the time required for Li extraction from months (with the evaporation ponds) to hours and is capable of producing a high-purity LiCl solution for further processing in the battery industry. The Li-extraction operating as a “mini-pilot” project has run continuously for a number of weeks utilizing raw tail brine from the project and a larger modular industrial scale Demonstration Plant is expected to be deployed at Lanxess’ southern processing plant in the fourth quarter 2019.
The Smackover Formation is an extensive porous and permeable limestone aquifer that hosts huge volumes of mineral-rich brines, as well as hydrocarbons. The Smackover Formation brines are one of the largest source of bromine in the world, but the brine also contains significantly elevated levels of lithium – typically ranging from 150 to 500 mg/L. Several dozen wells pump out brine and send it via pipeline networks to process plants. Once minerals have been extracted the waste brine (tail brine) is re-injected back into the Smackover Formation aquifer.
Average annual brine production between 2010 and 2016 is estimated at 42.6 million m3 (9.4 Billion US Gallons) from Arkansas Oil and Gas Commission data. Presently, bromine is recovered from brines in Columbia and Union Counties mainly by Lanxess and Albemarle Corporation.
Core samples from Smackover Formation visually demonstrates well defined high porosity. High Porosity is present throughout the project area. The Smackover Formation can produce large volumes of brine and allows for large volumes to be reinjected.
Southern Arkansas is a business-friendly jurisdiction with a decades long history of operating chemical, oil & gas, forestry, and manufacturing industries. The region’s hydrogeology is well-documented, the large existing commercial brine production brings a significant infrastructure investment along with access to low-cost power, water, and a skilled workforce.
Standard Lithium is in a unique position to leverage the existing brine production to fast-track the projects commercial development with the aim of building the first new U.S. lithium project in over five decades.
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