Acquisitions Continue in the Lithium Space A lot of people have been worried about the recent price action of the lithium market, however, demand is still expected to continue growing exponentially over the next decade, especially with EVs only accounting for a fraction of the car market and that’s only considering passenger vehicles, not trucks or busses which are also expected to be electrified in the coming years. Additionally, investments in the space continue to see large amounts of potential, with Albemarle bidding $3.7B on Tesla’s Australian lithium supplier, Liontown Resources.
https://www.reuters.com/markets/commodities/lithium-miner-liontown-soars-rejecting-37-bln-bid-albemarle-2023-03-28/
With Albemarle owning the only active US lithium mine adjacent to $SCV.C’s Clayton Valley projects, there could be a lot to discover as exploration progresses, considering Albemarle’s track record in the area.
- $SCV.C recently discovered a mineralized evaporite stratigraphy which indicates a potential lithium reserve and will help them plan and target the next drilling program.
- With mineralization of up to 461 ppm, this could indicate a high-grade project.
With $SCV.C’s management team being extremely experienced in the industry, I’m sure that they’ll be moving along smoothly, especially with the current $9M valuation.