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lr8970on Jun 09, 2016 3:57am
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Chinese company wants Quebec Lithium mine next to FMR's Rome
Chinese company wants Quebec Lithium mine next to FMR's Rome A company owned by the Chinese government wants to acquire RB Energy's Quebec Lithium mine, which is adjacent to FMR's Rome Lithium Property. Glen Eagle Resources has also expressed interest.
Translated from a French article in the Montreal Journal:
https://www.journaldemontreal.com/2016/04/27/une-societe-detat-chinoise-lorgne-une-mine-dabitibi
A Chinese state company eyeing an Abitibi mine
China wants to meet its demand for lithium with the help of Investissement Qubec
![[SLUG] Quebec Lithium]()
FILE PHOTOA Chinese state company is registered in Quebec lobbyists to lobby the government on the sale of the Quebec Lithium mine.
Update
ROUYN-NORANDA | A company owned by the Chinese government wants to acquire the Quebec Lithium mine, closed since October 2014.
Vancouver-Jinduicheng Resources Corporation Canada Limited, a subsidiary of Chinese state Jinduicheng Molybdenum Co, request assistance from the government and Investissement Qubec for the purchase of the Quebec Lithium mine, located in the Horn, Abitibi.
The company just signed the registry of lobbyists in Quebec.
China seeks to secure its lithium supply and purchase of the mine could partly meet its needs.
This is besides the global lithium demand will double with the opening of a new battery plant of the US company Tesla in 2017. However, the production of the alkali metal stagnates around the world.
The Quebec Lithium mine was closed in October 2014 after the bankruptcy of RB Energy, which has never been able to produce a lithium concentrate of sufficient quality for use in batteries.
The company had invested $ 200 million, of which $ 65 million came from Investissement Qubec, to build the mine, but failed to cash before it profitable.
Some 200 employees have lost their jobs in this village of 700 inhabitants.
All facilities of the Quebec Lithium mine are still in place. But when it is put under the protection of creditors, it owed more than $ 123 million to hundreds of suppliers, the majority in Abitibi.
"According to our understanding, Investissement Qubec, as senior secured creditor, could play a key role in the sale of the assets held by a receiver, writing the company on the lobbyists registry site. Thus, the goal of these efforts is to seek guidance from Investissement Qubec by a favorable opinion so Jinduicheng Canada Resources Corporation Limited is part of the procurement process. "
A subsidiary of the Chinese company which wishes to acquire Quebec Lithium has the Wolverine mine in the Yukon. The company describes as the first to belong, to be operated and developed by a company run by the Chinese government in North America.
But the mine has been closed since January 2015. According to documents of the Superior Court of British Columbia, it has more than $ 600 million, including $ 4.3 million to 52 Yukon businesses.
The Quebec company Glen Eagle Resources has also expressed interest last December to acquire the assets of the Quebec Lithium mine.
This company already has a deposit that contains lithium in La Motte in Abitibi. It would combine the two projects.
A PRICE SOARING
China and the United States are involved in a struggle to successfully procure lithium, a rare metal used in electronics and electric cars.
The Tesla into production of the largest battery plant for electric cars in 2017 alone will double global demand.
Since the end of 2015, the price of lithium carbonate increased from $ 6,000 per ton to over $ 13,000 per ton.