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Tuesday, August 31, 2010

TNR Gold Corp.: 33% Increase in Project Area to 160 Square Kilometres, Mariana Lithium Brine Project, Argentina TNR.v, CZX.v, RM.v, LIT, LIT.v, LI.v, WLC.v, CLQ.v, ORE.ax, TSLA, BYDDY, NSANY, HEV, AONE, FCX, BHP, RTP




"Rick Mills was one of the first to cover the Lithium and REE story. He has wrote extensively about Lithium Canadian Junior market from early 2009 following TNR Gold, Rodinia Minerals, Western Lithium and other companies. In his Lithium ABC he described this investment opportunity of the century with necessary depth to understand basic risks, challengers and leverage provided by different Lithium market players. Now he is coming back to TNR Gold at the moment of International Lithium spin off and we think that it is an important step for the company to bring its story out. Results will speak later for themselves, with deals in Argentina and in Nevada with Asian Corporations asset portfolio of the company should get recognition in the coming months. Do not forget about all the risks connected with early stage play in exploration business, but project generation model described by Rick in his article can buffer some uncertainties while still providing upside to the successful projects. Company is very tightly held, management is concentrating on the business development and brings the story on the investment radar screens now - it is time to make a proper DD on this story.

We have a position in this company, please, do not consider anything as an investment advise, as usual, on this blog.

Ahead of the Herd










"As you already know, our top pick in Lithium space is TNR Gold with its coming spin out of International Lithium. You have Copper, Gold and Lithium in one portfolio of properties holding by this one company. Do your own DD particularly here - we have a position in the company - nothing should be taken as an investment advise here, we are biased, but you can still find a lot of information about the company on this blog.

The company is followed now by Jay Taylor and Richard Mills. The stock is building its upward momentum from the recent double bottom this summer, and after announced developments on its major lithium brine project in Argentina. Insiders are buying more shares and the company is raising capital for its pre IPO financing. Investors coming on board will give us another hint on the future development of this company. The most important value play will be in TNR Gold's ability to position the International Lithium portfolio of properties among strategic partners in order to rapidly advance Mariana into development stage and make a consolidation of projects in Nevada for US based Lithium development play."





Now Mariana becomes a very sizable project among other lithium brines in Argentina. Company talks about "New claim secures prospective land area for potential future processing plant facility" - management seems to be carefully considering its options before International Lithium spin out with major focus on Mariana lithium brine in Argentina. It will be very important to see investors coming on board in pre IPO financing. With recent M&A activity in the lithium space company has a very strong position to attract strategic partners from the A-list of lithium end users.


Press Release Source: TNR Gold Corp. On Tuesday August 31, 2010, 1:58 pm EDT

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Aug. 31, 2010) - TNR Gold Corp. ("TNR") (TSX VENTURE:TNR - News) and wholly-owned International Lithium Corp. ("ILC") (jointly the "Company") are pleased to announce the granting of an additional 4,000 hectare claim at the Mariana lithium brine project in Salta province, northwestern Argentina.



Key Highlights:





-- 40 sq km (4,000 hectares) claim granted adjacent to the east and south of Mariana claim group;
-- 33% increase in project area to 160 sq kms (16,000 hectares);
-- New claim secures prospective land area for potential future processing plant facility; and
-- $1 million drill program planned fourth Quarter 2010.

About the Mariana Project



The Mariana project, a lithium-boron-potassium salar, consists of several contiguous mineral claims covering a 160 km2 project area that strategically encompasses the entire salar and now includes a significant portion of the surrounding area to provide prospective land for a potential future processing plant facility. Salars, or salt lakes, host some of the largest known lithium, potassium, and boron resources in the world. Lithium brines with economical grades can produce cost effectively relative to other more cost intensive mine settings.



To date the Company has completed a number of phases of shallow subsurface brine sampling surveys across the salar on a 2 kilometre grid pattern. The majority of samples within the main 10 by 15 kilometre body of the salar returned values between 250-650 mg/L lithium. These lithium concentration levels are comparable to early stage results from producing salars in North and South America. In addition, the Company has conducted systematic sampling around the salar to characterize inflows and identify distinct geochemical as well as structural zones in the salar.



The Company is planning to initiate a $1 million drill program for fourth quarter 2010 on the Mariana lithium brine property in Argentina. The goals include a) geochemical characterization of the subsurface brine across different zones within the basin, b) identification of the stratigraphy for a geological model of the salar, c) identification and characterization of the aquifer potential of the basement of the salar, and d) establish a weather station and collect data on evaporation characteristics. The Company's intent is to utilize this drill program as a first step towards a resource classification of the brine.



The scale and timing of the proposed exploration programs are subject to and dependent upon the Company raising sufficient funds.



John Harrop, P.Geo, is the company's qualified person on the project as required under NI 43-101 and has reviewed the technical information contained in this press release.



ABOUT TNR GOLD CORP. / INTERNATIONAL LITHIUM CORP.



The Company is a diversified international metals exploration company focusing on the continued advancement of existing properties and identifying and acquiring new prospective projects. The Company has a portfolio of 18 active projects, of which 9 rare metals projects, including Mariana, will be held or optioned to the Company's wholly owned subsidiary International Lithium Corp upon completion of a proposed plan of arrangement.



The objective of the proposed plan of arrangement is to spin out the Company's rare metals property interests into a separate public company, International Lithium Corp. This proposed plan of arrangement has been approved by the Company's shareholders and the courts of British Columbia. The Company will now proceed with the spin out and will provide updates on the progress of the spinout in further news releases. For further details of the spinout, please refer to Stockwatch news dated May 26, 2010, or visit International Lithium's website.



The recent acquisition of lithium, other rare metals and rare-earth elements projects in Argentina, Canada, USA and Ireland confirms the combined companies' commitments to generating projects, diversifying its markets, and building shareholder value.



On behalf of the board,



Gary Schellenberg, President


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Canada Zinc Metals hires Translloyd Consulting for IR CZX.v, TNR.v, LUN.to, BLS.to, IMN.to, IVN.to, QUX.to, WRN.to, TKO.to, NCU.to, TCK, BHP, RTP



 
Another one of our Summer 2010 top picks is priming itself for public recognition. Canada Zinc Metals has secured strategic partnership with Chinese Tongling and drills are turning on the property promising news on potential blue sky discoveries and extension of the mineralized zone at the Cardiac Creek. At the moment of writing stock of CZX.v could be bought at 37% discount to the price Chinese are willing to pay for the latest stake in this company. Company is buying back its own shares as well now.


"Now we have quite a few tasty juniors in the market for this exercise. Companies like Goldstone Resources, Sunridge Gold, NGeX Resources and Almaden Minerals, but with Almaden that time has past with announced results and the stock is up almost 100% from Nobody Wants Time...two weeks ago. You can never be sure which one will be next, but when the insiders are buying you have a few odds in your favour. Two other stocks that we are following here are particularly interesting from this point of view: TNR Gold and Canada Zinc Metals. TNR Gold is moving forward with its spin out of International Lithium corp. and its major shareholder has made another acquisition of shares just few weeks ago and Canada Zinc Metals is now trading more then 20% below of placement price announced by its Chinese major shareholder as well. Richard Mills in his article below gives a very good picture on summer junior market trade and a very important big picture view with Dow:Gold ratio. He is following TNR Gold with International Lithium as well on his website.

 

We hold stake in this company and nothing should be taken as an investment advise on this blog, as usual."





Canada Zinc Metals hires Translloyd Consulting for IR




2010-08-30 16:28 ET - News Release


Mr. Peeyush Varshney reports



CANADA ZINC METALS ENGAGES INVESTOR RELATIONS CONSULTANT



Canada Zinc Metals Corp. has entered into an agreement with Translloyd Consulting GmbH for the provision of investor relations and communications services to Canada Zinc Metals. Translloyd, based in Germany, is a boutique consulting firm that specializes in investor outreach in Europe for mineral exploration companies. Translloyd advises that its does not currently have any interest, directly or indirectly, in the company. Pursuant to the agreement, Translloyd will provide investor relations services to Canada Zinc Metals, including, but not limited to, introducing the company to investors in Europe. Translloyd's engagement, which is subject to regulatory approval, will be effective Sept. 1, 2010, for a term of six months, thereafter renewable on a month-to-month basis. The company will pay Translloyd a fee of $7,000 per month and reimburse it for approved expenses.


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Monday, August 30, 2010

Lithium Drive: WebRidesTV - Fisker Karma Dealership Unveil TNR.v, CZX.v, RM.v, LIT, LIT.v, TSLA, BYDDY, NSANY, WLC.v, CLQ.v, SQM, FMC, AVL.to,





  Karma Fisker can be the ultimate marketing driving force for EV market (until Apple will produce its iCar), we like it more in its blue incarnation and have tasted its smell already. The car is just what we need for our Electric ride, it will not make us our EV mass market, but will create the buzz about EVs once it is out. Here things are not as exiting as we are with Karma's design: production and delivery was postponed a few times already, but according to this video Karma is on its way now in the Q1 next year.

Fisker Automotive
Image via Wikipedia

  Another EV from Fisker automotive - project Nina - promise to make EVs (or REVs to be more precise) more affordable, but with the same solid touch of top brands in auto making. We do not have any details yet apart from the price range promised to be around $50000. we assume that it is before any federal or state tax rebates. Here Nina will compete with Nissan Leaf and GM Volt which are already available for test drives and will be in the showrooms by this year end.

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Lithium Drive: Nissan LEAF Test Drive and Review TNR.v, CZX.v, RM.v, LIT, LIT.v, TSLA, BYDDY, NSANY, WLC.v, CLQ.v, SQM, FMC, AVL.to,




Nissan LEAF Test Drive and Review from Nissan.

You will be able to buy Nissan Leaf in some states at the prices under $21000 including federal and state tax rebate.

We have another very cool video from Translogic this time about Nissan Leaf test drive.



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Copper in Canada: Copper Fox Metals on the move today CUU.v, TNR.v, CZX.v, LUN.to, FCX, BHP, RTP, CS.to, BWR.to, IMN.to, IVN.to, QUX.to, TKO.to, QUX.to, NCU.to, GMO




Copper Fox Metals is on the move up today with volume and maybe will break out finally out of 0.4CAD range. Another long term Copper play is back in the business after the crash. Story is very high leveraged to Copper price and any potential M&A deals.

"Now we have Credit Swiss talking about Copper 10000 USD/t and the other base metals with upside of 30% - 100% in the coming years. Robert Friedland is pushing Green Copper with electric cars and Lithium as well"




Copper Fox Metals is a Canadian-based resource company focused on completing, by the end of 2010, a feasibility study on the Schaft Creek deposit, one of Canada's largest undeveloped copper-gold-molybdenum-silver deposits located in north western British Columbia.

In early 2010, Copper Fox retained Wardrop (a TERTA TECH company) to complete the feasibility study on the Schaft Creek deposit. The feasibility study will include an updated geological model, resource estimate, reserve estimate, revised capital cost and operating costs estimates and other technical, socio-economic and financial aspects related to the feasibility study.



Pursuant to a 2002 Option Agreement with Teck Resources Limited ("Teck") Copper Fox has acquired a 100% working interest in the Schaft Creek Project subject to a 30% net proceeds interest held by Liard Copper Mines Limited ("Liard") a private company. Teck holds a 78% equity interest in Liard representing 23.4% of the Schaft Creek project referred to as the "indirect interest". Under the terms of the 2002 Option Agreement with Teck, Copper Fox can earn the "indirect interest" by completing a "positive" Feasibility Study. For further details see Teck Option Agreement below.



In 2008, Samuel Engineering, Inc. completed a Preliminary Feasibility Study, (click here to view) on the Schaft Creek deposit, the results of which were made public on September 15, 2008. The Preliminary Feasibility Study indicates that the Schaft Creek deposit can be developed economically as an open pit mine and recommends proceeding forward to complete a feasibility study.



The conclusions of the Preliminary Feasibility Study are:



A Measured Mineral Resource of 436.5 million tonnes grading 0.30% copper, 0.23 grams per tonne ("g/t") gold, 0.02% molybdenum and 1.55 g/t silver, and an Indicated Mineral Resource of 929.8 million tonnes grading 0.23% copper, 0.15 g/t gold, 0.02% molybdenum and 1.56 g/t silver at a 0.20% Copper Equivalent cutoff;





A Proven Mineral Reserve of 411.1 million tonnes grading 0.32% copper, 0.019% molybdenum, 0.23 g/t gold and 1.72 g/t silver and a Probable Mineral Reserve of 409.9 million tonnes grading 0.28% copper, 0.020% molybdenum, 0.19 g/t gold and 1.79 g/t silver.

The numbers in the Mineral Resources and Mineral Reserves are rounded to conform with "best practice" principals. The Proven and Probable Mineral Reserves are contained within the Measured and Indicated Mineral Resources



*United States investors are advised that current Mineral Resources are not current Mineral Reserves and do not have demonstrated economic viability. All figures are rounded to reflect the relative accuracy of the estimate and in keeping with "best practice" principals.



18.6% internal rate of return after recovery of capital costs and before taxes,

$11.734 billion after recovery of capital costs and Pre-Tax Cash Flow,

$2.764 billion NPV after capital recovery and before taxes, discounted at 8% over 23 year mine life,

Cost of copper production net of by-product sales of gold-molybdenum-silver is a negative $0.32/pound, and

4.7 years, after recovery of capital costs and before tax, payback period.

For the base case economic analysis in the Preliminary Feasibility Study, the Net Smelter Return per tonne is US $31.47 and cash operating costs (including transportation, refining and smelting charges) are US $12.49 per tonne.



Teck Option Agreement:



Teck may at any time elect to exercise the earn-back terms and conditions of the Option Agreement.



On receipt of a Positive Bankable Feasibility Study, a defined term in the Option Agreement, Teck has 120 days in which to elect to either: i) exercise one of its earn-back options, or ii) retain a 1% net smelter return royalty, or iii) receive common shares of Copper Fox to a value of $1,000,000.



If Teck elects to exercise its earn-back option pursuant to the Option Agreement, then Teck has the right to elect to acquire either a 20%, a 40% or a 75% working interest in the Schaft Creek Project from Copper Fox by solely funding subsequent expenditures equal to either 100%, 300% or 400% of Copper Fox's prior expenditures pursuant to the Option Agreement. In the event Teck elects to earn-back a 75% working interest in the Schaft Creek Project, Teck will be responsible for arranging Copper Fox's share of project financing and will recover the project financing funds from Copper Fox's share of metal sales until payout is reached.



An example of how the Teck earn-back option works based on the assumption that Teck elects to exercise either 20%, 40% or 75% earn-back is set out below. This example assumes that Copper Fox has incurred a total of $50.0 million of qualifying expenditures pursuant to the Option Agreement at the time Teck makes its election.

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Sunday, August 29, 2010

Lithium Battery price war will bring us mass market in Electric Cars. TNR.v, CZX.v, RM.v, TSLA, LIT, LIT.v, LI.v, WLC.v, CLQ.v, HEV, AONE, SQM, FMC, BYDDY, NSANY, F, FCX, RTP, BHP



"The ideal market situation for the new disruptive technology to create a lifetime investing opportunity is when the Demand for product or service is already there and you are able to deliver it in a new way, which will be more appealing to Existing consumers of this product or service. You have a dramatic shift in consumer preference and you are gaining a market share in a tidal wave fashion by shifting consumers from existing providers to the new product or service place. You do not have to teach the market and prove that they need this product - you just need to prove that the new technology you are putting in place is viable to deliver the Better Experience."






  Take your mobile phone and look at the first picture above - it is the power of progress and technological advance, what offshore drilling and wars can not deliver us any more (to continue supply "cheap oil), technology can deliver in a space of a few short years. We need a new drive, new ideas which will positevely affect all economy.
  Here is the reply to all concerns about "so expensive" electric cars. We expect that lithium batteries will have the double capacity with 50% cost cut in the next five yeas. It will open the doors to the EVs mass market and even initial ownership of the Electric Car will be cheaper that CV one.

"We expect consumers to shift - on a mass scale - from CVs to EVs, with proof that technology is viable and can provide the same utility but with a Better Experience. The Emotional Drive will be the driving force of this switch of consumer preferences"




Bloomberg:


By Mariko Yasu and Maki Shiraki - Aug 26, 2010 



Picture: Employees carry pallets containing Panasonic Corp. lithium-ion batteries on the production line of the company's plant in Suminoe, Osaka City, Japan. Photographer: Tetsuya Yamada/Bloomberg

Panasonic Corp. and Samsung SDI Co., the world’s two largest makers of rechargeable batteries, may deepen price cuts this year as overproduction worsens a glut in the industry, analysts said.



Lithium-ion battery prices may tumble 19 percent in 2010, the biggest drop in five years, said Hideo Takeshita, an analyst at the Institute of Information Technology Ltd. in Tokyo. Shiro Mikoshiba, an analyst at Nomura Holdings Inc., said the worsening oversupply may push prices down as much as 25 percent.



The price drops highlight how battery makers in Japan and South Korea, accounting for 75 percent of global production, may be sacrificing profit for market share as automobiles with no gas tanks are projected to help triple sales of lithium-ion cells in six years. Cheaper batteries may lead to lower costs at carmakers such as Nissan Motor Co., whose all-electric $32,780 Leaf sedan is scheduled to go on sale in November.



“Battery makers will probably go through a tough time with falling prices,” said Mitsushige Akino at Ichiyoshi Investment Management Co., who oversees about $450 million in assets in Tokyo. “The business may become lucrative only for a couple of companies with dominant market share. Others may never be able to make money.”



Winning the Battle



South Korean battery makers including Samsung and LG Chem Ltd. may better cope with lower prices than Japanese rivals because they purchase materials more cheaply from China and have faster production, Takeshita said. The won’s weakness against the yen also makes Korean products more competitive, he said.



“We anticipate the harsh price competition with South Korean makers will continue,” said Akira Kadota, a spokesman at Osaka-based Panasonic. “We are reviewing our production process to strengthen our cost competitiveness so that we can win the battle.”



Panasonic, which vaulted atop the rechargeable-battery industry with its purchase of Sanyo Electric Co., rose 1.6 percent to 1,060 yen as of the 11 a.m. break in Tokyo trading, narrowing its loss this year to 20 percent. Samsung SDI, the battery-making unit of South Korea’s largest industrial group, fell as much as 4.1 percent.



Samsung SDI was downgraded to “reduce” from “hold” at BNP Paribas Securities (Asia). Analyst Peter Yu cited excessive hype about batteries for electric vehicles as part of the reason, according to his report today. The stock has gained 19 percent this year.



$30 Billion Industry



Samsung SDI, based in Yongin, South Korea, will likely overtake Panasonic’s Sanyo as the world’s top producer of lithium-ion batteries this year, according to estimates at the Institute of Information Technology. Samsung SDI spokesman Seo Hae Soo declined to comment on the outlook for prices.



LG Chem, the third-largest maker of rechargeable batteries, expects price drops to persist, spokesman Terry Lee said. Falling prices of the product won’t have a serious impact on the company’s profit because LG Chem is buying lithium at competitive prices, he said.



At stake is leadership in an industry that Panasonic estimates will grow to 2.5 trillion yen ($30 billion) by 2015 from 926 billion yen last year. Shipments of lithium-ion batteries are estimated to rise 31 percent in 2010, after a 2 percent drop last year, according to the Institute of Information Technology.



Electric Vehicles



While lithium-ion cells are mainly used to power laptop computers and mobile phones, electric vehicles may fuel most of the growth. Sales of batteries in electric, hybrid and plug-in hybrid cars will increase to 1.7 trillion yen in 2020 from almost zero in 2009, according to March estimates at Daiwa Securities Group Inc.



Panasonic, which has pledged to invest 300 billion yen in energy-related products over three years, started production of lithium-ion cells at a factory in Osaka in April, aiming to double its annual production to 600 million units. The company aims to triple sales of lithium-ion cells by March 2016, Naoto Noguchi, president of Panasonic’s battery unit, said in an interview this month.



Sony Corp. is spending 40 billion yen to boost its monthly production capacity this year 80 percent from 2008. The company built a battery plant north of Tokyo in March and is adding facilities in Singapore and China.



Sony anticipates a difficult environment for the battery business because of competition and price declines, said Tomio Takizawa, a spokesman at the Tokyo-based electronics maker.



Samsung Group, whose units include SDI and top television- maker Samsung Electronics Co., said in May it plans to invest 5.4 trillion won ($4.5 billion) in batteries for electric vehicles by 2020.



“It’s a battle between the South Korean and Japanese makers,” Takeshita said. “They’re playing a game of endurance that’s eroding profitability.”



To contact the reporters on this story: Mariko Yasu in Tokyo at myasu@bloomberg.net; Maki Shiraki in Tokyo at mshiraki1@bloomberg.net


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Lithium Drive: A Chinese Truck Maker’s Electric Dreams TNR.v, CZX.v, RM.v, TSLA, LIT, LIT.v, LI.v, WLC.v, CLQ.v, HEV, AONE, SQM, FMC, BYDDY, NSANY, F, FCX, RTP, BHP

  China has the strength of allocating all necessary resources in order to achieve a clearly defined goal: to leapfrog all of the 20th century technology which is based on Oil and move straight into the future of Electric Transportation system, which will support its economic growth, internal consumption and low cost manufacturing base.
  We expect Chinese companies to be active with M&A activity in our lithium junior mining sector this Fall.


"China to Invest Billions in Electric and Hybrid Cars. Nothing will be left to a chance in this methodical execution of state-level plan in China: transformation of the country's transportation system into the base of 21st century clean tech industrial revolution to further power its rise. China has already surpassed Japan as a second largest economy in the world and it is the largest auto market now.

Now you can see a few details of state level planing in China: they have capital to invest with reserves over Two Trillion US Dollars, thousands of engineers with annual salaries compared to monthly ones in the West and, the most important, political will to implement the far going geopolitical plan to get rid off the Oil Hook. We are out of the politics and our idea is to define Macro trends and position ourselves early enough to capitalise on it.

The last piece in this game against Peak Oil (or fading American domination connected to the control of Oil in the world) is to have secure supply of strategic commodities for this technological advance. Here China already controls 97% of market in Rare Earth Elements and now it is time to build up position in Lithium. If in the beginning of Lithium Bull last year mostly Japanese companies were very active in junior mining space where small companies are controlling resources, now more and more reports from the juniors suggesting that Chinese companies are on the road."




WSJ:


What’s behind a relatively unknown Chinese truck and SUV manufacturer called Anhui Jianghuai Automobile Co.’s huge ambitions to get into electric cars?



Anhui Jianghuai AutomobileJianghuai Auto, known also as JAC Motors, announced Tuesday it plans to invest around 30 billion yuan ($4.43 billion) in new energy cars via a local joint venture. The new company, set up with Tianjin Zhengdao Stock Investment & Management Co., plans to build 1 million new-energy vehicles over a period of eight years after building a plant, Jianghuai Auto said in a statement. The joint venture has registered capital of 700 million yuan ($103.4 million).



Jianghuai Auto’s impending foray into “new-energy” vehicles, such as gasoline-electric hybrids and all-electric battery cars, reflects a looming battle among Chinese auto makers over government money, as they jockey to become one out of “three to five” new-energy auto makers China’s central government is aiming to foster, industry executives say.



According to a report last week by the Shanghai Securities News newspaper, China plans to invest more than 100 billion yuan over the next 10 years and is aiming to produce and sell 15 million energy-efficient vehicles annually by 2020. Under the plan formulated by the Ministry of Industry and Information Technology, China will have three to five major manufacturers of new energy cars and two to three internationally competitive parts suppliers, including battery makers, the report said.



The ministry will finalize its plan and seek approval from the Chinese cabinet by the end of this month, the state-run newspaper said, citing unnamed sources.



Another less obvious motive for Jianghuai Auto to invest so hugely in new-energy vehicles could be to signal to the government it has no plans to merge with Chery Automobile Co., also in Anhui province. Auto-industry insiders have said the government wants Jianghuai Auto with its strength in trucks and Chery in passenger cars to merge and form a more comprehensive auto maker as part of the government’s push to consolidate China’s fragmented auto industry with more than 80 registered auto makers.



To indicate its reluctance to merge with Chery, Jianghuai Auto recently began focusing on coming up with a more complete lineup of passenger cars. Its latest move to invest in new-energy vehicles can be interpreted as yet another signal of unwillingness to merge with Chery, which also has made a sizable investment recently to set up a new-energy car unit.



Jianghuai Auto didn’t immediately return a request for comment.



– Norihiko Shirouzu and Shen Hong


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US Dollar Collapse: WSJ: What's Left in The Fed's Arsenal? TNR.v, GRC.to, NGQ.to, SGC.v, AMM.to, VTR.to, MGN, ASM.v, EPZ.v, BTT.v, GBN.v, RVM.to




"Finally S&P found about California and US Corp., for Chinese it is the old news already - they are selling US Treasuries and buying Japan and Korean Bonds instead. Small change goes into the Copper, Zinc, Potash and Lithium along the way. Now we have another catalyst for the Gold price, which is silently moving to the all-time-high again. This chart above looks very nasty - Gold smells this trouble - what will happen with the price of goods with unlimited supply? Economy gives no other choice than to Inflate pumping the liquidity by QE, among the casualties will be US Dollar."




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Rare Earths: The Rare Earth Element Crisis TNR.v, CZX.v, AVL.to, CCE.v, RES.v, MDL.v, QUC.v, MCP, TSLA, BYDY, NSANY, RNO, FCX, BHP, RTP



Story about REE market is getting out and race for secure supply of strategic commodities: REE and Lithium  is well on track. China calls the shots and U.S. Corp is still very slow to asses the situation.

"Nothing will be left to a chance in this methodical execution of state-level plan in China: transformation of the country's transportation system into the base of 21st century clean tech industrial revolution to further power its rise. China has already surpassed Japan as a second largest economy in the world and it is the largest auto market now.



Now you can see a few details of state level planing in China: they have capital to invest with reserves over Two Trillion US Dollars, thousands of engineers with annual salaries compared to monthly ones in the West and, the most important, political will to implement the far going geopolitical plan to get rid off the Oil Hook. We are out of the politics and our idea is to define Macro trends and position ourselves early enough to capitalise on it.



The last piece in this game against Peak Oil (or fading American domination connected to the control of Oil in the world) is to have secure supply of strategic commodities for this technological advance. Here China already controls 97% of market in Rare Earth Elements and now it is time to build up position in Lithium. If in the beginning of Lithium Bull last year mostly Japanese companies were very active in junior mining space where small companies are controlling resources, now more and more reports from the juniors suggesting that Chinese companies are on the road."





Report from Congressional Research Service: Rare Earth Elements: The Global Supply Chain




InformationWeekGovernment:





A Congressional Research Service report considers whether U.S. dependency on foreign sources of rare earth elements threatens the defense and technology industries.

By Thomas Claburn

InformationWeek

August 28, 2010 08:10 AM
Periodic table of the elements: rare earth ele...Image via Wikipedia

There are 17 rare earth elements (REEs). They have names like lanthanum, europium and yttrium. And they're critical to a variety of high-tech products and manufacturing processes, including catalytic converters, petroleum refining, color TV and flat panel displays, permanent magnets, batteries for hybrid and electric vehicles, medical devices, and various defense systems like missiles, jet engines, and satellite components.

About 124,000 metric tons of REEs were produced in 2009, with worldwide demand during this period estimated to be 134,000 metric tons -- the difference have been made up from existing stockpiles. By 2012, worldwide demand is expected to reach 180,000 metric tons while mining operations are not expected to keep up with demand in the near term.


More Government InsightsWhitepapersTop Reasons to Choose Red Hat Enterprise Linux Top 5 differences between Red Hat Enterprise Linux 5 and Solaris 10 System Startups Videos

Techweb's Weekly Comedy Show On YouTube lawsuits, Intel anti-trust suits, Mac vs. PC spoofs and More This situation is explored in a report published by the Congressional Research Service in late July and recently posted to the Federation of American Scientists' Secrecy News Web site.



Congressional representatives have taken notice of what some, like Rep. Mike Coffman (R-CO), are calling a crisis. In May,Coffman introduced a rare earth amendment to the National Defense Authorization Act for Fiscal Year 2011.



Increased efficiency through converged infrastructure and modular blade servers.



Close the Technology Gap in the Public Sector



"The Department of Defense is facing a near-term shortage of key 'rare earth' materials necessary to support our defense weapon systems, and rare earth magnets are especially critical. ...," he said in a statement. "Today, the United States does not have a manufacturer of neodymium iron boron rare earth magnets, yet they are found in our precision guided munitions, ships, aircraft, and other critical weapons systems.”



Critical to the discussion is the fact that 97% of rare earth element production is currently controlled by China, where internal demand is rising and interest in exporting these materials is becoming more complicated as China's leaders look to take advantage of their country's market dominance.



The CRS report lists a variety of policy options: funding the U.S. Geological Survey to locate more viable REE deposits; supporting greater REE exploration in the U.S., Australia, Africa, and Canada; challenging Chinese export restrictions through the WTO; and establishing a stockpile of REE to mitigate potential supply interruptions.




This fall, the leaders of the public and private sectors will convene at Gov 2.0 Summit in Washington, D.C., to discuss government's critical challenges. Request an invitation to join this unparalleled group of influencers. It happens Sept. 7-8. Click here to find out more.


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Saturday, August 28, 2010

WSJ: Lithium Drive: Getting a Charge From Nissan's New Leaf TNR.v, CZX.v, RM.v, TSLA, LIT, LIT.v, WLC.v, CLQ.v, SQM, FMC, AVL.to, RES.v, HEV, AONE, VLNC




Electric cars are making their way into the headlines now and Lithium investment ideas are discussed on CNBC. The second leg in this generational bull is about to start any moment now. M&A in this micro cap space will be the driving force and BHP with its bid for Potash will bring  the spotlight to Lithium sector as well.

WSJ:

Getting a Charge From Nissan's New Leaf


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