Bearing Lithium Corp (BRZ)

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Posco .... and Joe Biden’s Inflation Reduction Act

Posco bought a lithium lake in Argentina but the country doesn’t have a free trade agreement with the US. Is this a concern for you?

We don’t think the IRA is fixed yet. We expect more details to come in November or December and we might need to revise our strategy after that. One thing we’re considering to meet the current requirements would be bringing lithium from Argentina to Korea, producing lithium hydroxide there and then exporting it to the US, because Korea has a free trade agreement with the US.

One thing we are worried about the IRA is that most of the countries that have natural resources don’t have FTAs with the US. It’s only Australia, Chile and Canada. Chile imposes an up to 20% royalty on mining, compared to about 3% in Argentina. However companies are making a lot of suggestions and I think the US will listen to them and make a wise decision. Depending on the details, the IRA can be an opportunity for us.

More: https://www.mining.com/web/poscos-bold-battery-materials-push-dimmed-by-new-us-energy-bill/