Frontier Lithium Inc V.FL

Citi Analyst Bullish on Lithium

[lithomon]

Citi's Madabushi analysis is right in sync with Tesla's Lithium refinery in America and JP Morgan assessment of rising Lithium requirements and scarce Lithium supply. 
Hence, the ongoing scramble for Lithium and rising price.

And with Mary Barra's business objective to have General Motors take on Tesla for battery EV dominance by 2025 

Along with declining US oil inventories and Saudi Aramco's dangerously depleted "available" oil supply

It all leads in the direction of robust Lithium demand and price fundamentals well into 2026.

In particular, Canadian "spodumene" Lithium projects (Ontario and Quebec) are gaining wider recognition as one of the quickest opportunities for the production of large quantities of Lithium.

The Lithium grade in "Spodumene" Lithium ores is typically much higher, thus significantly more contained Lithium. 

And in the situation of Frontier Lithium, well, the consistency of the high grade is almost unheard of, in the Lithium sector.  Most recent drilling intersecting over 1000 Feet of "continuous" high grade Lithium with a "significant" drill interval of well over 4% Lithium Oxide. 
And the drilling has produced similar results for months & months and years. 
Multiple Lithium deposits discovered, with high grade Lithium ores at surface and down to great depth and "open" everywhere.  
Keep in mind, this is Lithium "insitu" raw, unprocessed Lithium ore "grade" that will feed the processing plant. 
In comparison with other global Lithium developments that may only produce a finished  Lithium concentrate product with 4% grade.  Frontier has "Grade" it at the start of the process.

For the reason of "grade", infrastructure and mining jurisdiction experience, therefore, it is apparent why Lithium Americas has recently adopted a Lithium strategy to pursue development opportunities in Ontario with a "spin-out" company that will focus on North American Lithium developments to unlock unrealized value in the currently structured Lithium Americas (LAC).

For instance, LAC has recently taken an ownership in the company adjacent with Frontier's Pennock Lithium discovery in the Red Lake, Ontario Mining region and anticipates to be in production in Ontario by 2024-2025 as permitting has already diligently been worked on for the past year.

The one headwind for Frontier Lithium is the aspect of what Joe Lowry "Mr Lithium" indicated in recent podcast.  The fact that Frontier Lithium has been at this Lithium project for years & years & years, giving the Lowry audience the clear impression or doubt that Frontier Lithium would be capable of achieving Lithium production anytime soon into the near future.

Probably the only headwind holding back the FL share price. Otherwise, the FL price would be gone, North of $10.

Without any hesitation, Frontier Lithium has performed very well in making high grade Lithium discovery after discovery for YEARS, but appears to be deficient in finishing the job on the "operational" front. 
I think that is probably what Joe Lowry is indicating in that comment about Frontier Lithium.
So, clearly, the "seasoned" experience at Frontier Lithium is evident on the exploration and geology front and achievements. 

Going forward, Frontier Lithium just needs to find their way in the capability of delivering on the necessary project permitting, construction development and commissioning of Lithium operations.

[Margin321]

super comments lithomon - thanks for posting

[Ttinto]

Excellent commentary Lithomon. And thank you for implicitly validating one of my major issues which relates to Frontier "missing timelines". FL must step on the accelerator. When you see others in this space ramping like they are at a record pace, one has to conclude that "we" are missing something or someone. 

[qwerty22]

I'd have a few criticisms of Lithmon's post. I don't see where LAC's Ontario partner will be in production by 2024/2025. What they actually say is "first Spodumene" by 2025. Well Frontier have already produced their first Spodumene. Does that mean they are in production? No. I don't see the point of all this "what might have been". The company finished it

[hitadatlith]

I thought it was around 10 metres at 4% still impressive non the less.