Sunday, April 10, 2011

Lithium Drive: Clean Air: Beijing to become a paradise for Electric Vehicles sales tnr.v, czx.v, alk.ax, lmr.v, tsla, rm.v, nup.ax, srz.ax, usa.ax, jnn.v, abn.v, res, mcp, avl.to, quc.v, cee.v, sqm, fmc, roc, li.v, wlc.v, clq.v, lit, nsany, byddf, gm, dai, rno.pa, hev, aone, vlnc



"China has promoted Electric Cars to the status of strategic industry, Lithium and Rare Earths are already gaining status of strategic commodities as the base for this new disruptive technology - we will have a far reaching M&A developments from this explosive combination in these very small markets.

"Nothing is changing under the sun in the US Corp. so far - America is under the oil lobby stronghold and if you would like to understand the real situation, just talk to the junior miners in Lithium and REE sectors. Chinese, Koreans and Japanese companies are the only one on the road now, buying all available projects in Lithium and REE space.





  Facebook is great, but how are we going to drive in five years time? What are we going to eat for that matter with Oil above 150 dollars again?


  


There is almost no money available now in U.S. or Canada to advance the Lithium and REE exploration, apart from few names everybody is talking about now. The rest of the sector will be funded by the Asian interest in the end."


- Electric vehicles are classified as a "strategic industry" under the twelfth Five-Year plan (2011-15), and parts manufactures will receive tax breaks and subsidies. the government has pledged that it will do whatever is necessary to push Chinese auto industry into the lead on electric vehicles over the next decade.

- Premier Wen Jiabao's choice three years ago for Minister of Science and Technology, WAN Gang, was the first minister in at least three decades who is not a member of the Communist Party, but he is former Audi auto engineer and ex-chief scientist for the Chinese' government research panel on electric cars.

- Senior Chinese officials, including Wan Gang, have outlined China's aim to be the world's largest producer of electric cars within three years, with a near-term goal of producing 500k units in 2011.

- The central government has already pledged about $17B to push the electric vehicle effort, including about $2B for R&D and an $8,800/car subsidy in 26 cities (announced in June). Provincial governments have been encouraged to contribute on top of that.

- The state-owned utilities have been tasked with building out the smart grid and charging infrastructure required for a rapid ramp up in electrics. According to the State Grid Corporation (SGC), which provides about 85% of the country's power, 75 electric charging stations are planned for 27 cities by the end of 2010. The pace will accelerate next year."  




ChinaCarTimes:



INDUSTRY NEWS | ASH | APRIL 9, 2011 

I often wondered why Chinese auto makers would push forth with their electric and hybrid concepts at auto shows, its not as if there is a huge market for them in China, from China Car Times own articles you can easily see that sales are rather weak, this article states that only 54 hybrid and new energy vehicles were sold between January and October 2010, but BYD cleared sales of 74 BYD F3DM’s in March which goes some way to showing that the market is improving somewhat for hybrid vehicles and China seems to be slowly moving away from the No Demand for Hybrids in China headlines.
Yesterday morning I received an email from The Truth About Cars Bertel Schmit, he wanted me to join his campaign to persuade the Beijing government to offer free license plates to EV buyers in a bid to boost the local car market. Beijing killed its local car market this year after nearly 800,000 cars took to dusty capitals roads in 2010, for 2011 the government offered just 20,000 license plates per month that could be gained via a lottery. Of the 20,000 lucky winners in January, just 2000 people went on to buy a car, they do of course have three months to buy a car before their license plate ticket gets thrown back into the pool. What Bertel didn’t realize is that just as he posted his plans for free license plates for EV buyers in Beijing, is that the Beijing Municipal Govt announced the very next morning that they were going to do exactly what Bertel was suggesting.
Beijing has announced that its ’125 Project’ has already received official approval and will begin the creation of a strategically important electric car industry within the capital.
The ’125 project’ was initiated by Beijing Automotive Industry Organisation and was quickly approved by Beijing Municipal Economic and Reform Council, by 2015 the production of electric cars in Beijing is to reach the 100,000 units per year barrier.
According to what we have learned so far, pure electric vehicles, (EV’s) are to become the major benefactor from the new plan. Beijing’s own local manufacturers such as Foton and Beijing Auto are expected to gain the most from the new plans, as both of these companies already have electric vehicles ready to role. Foton has introduced its Midi electric van into the market as a taxi and BAIC are planning to launch electric variants of their Saab based products and also the C30 hatchback. (BAIC actually has the following electric vehicles in development: Q60FB、C30DB、701EV、C71EV)
The biggest news is obviously for the end consumer, instead of dreaming about getting the much coveted Beijing tin plate for their gasoline based car they will be able to buy the EV straight off the shelf without having to wait in line for a lottery, they wont be subjected to the odd/even license plate restrictions that Beijing has introduced and more importantly they wont have to pay sales tax on their EV – the biggest kicker of all will be the 120,000rmb subsidy that Beijing is offering to buyers of electric vehicles.
Why the absence of hybrids in this plan? It appears that Beijing Govt is wise to Chinese automakers and their attempts to roll out mild hybrids, essentially cars with larger than normal alternators that allow for stop and start systems, Beijing is clearly looking to jump the hybrid generation and go straight for the EV jugular.
So will the EV sales begin to fly in Beijing? Not quite so fast, there is still a severe lack of showroom ready EV’s, you cannot walk into a dealership yet and buy the BYD E6 or the Riich M1 EV or any of the other Chinese made EV’s as of yet"
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Peak Oil Transition: IMF Sees Oil Prices Staying High - World Economic Outlook tnr.v, czx.v, lmr.v, rm.v, alk.ax, sqm, fmc, roc, lit, li.v, wlc.v, clq.v, res.v, ree, avl.to, nsany, f, gm, rno.pa, dai, byddf, hev, aone, vlnc

  

   Now in addition to all reports on Peak Oil situation we have de-facto the admission of Peak Oil from the IMF. Peak Oil theory is moving from conspiracy stage in the headlines with rising Oil and Gas prices. Obama is warning about the coming crisis and even Texas - Oil and Gas "Capital of the World" is installing Electric Cars Charging Networks now.
 


  We have our Catalyst unfolding with Inflation hitting the mainstream headlines, latest warning from Walmart on rising prices will make it inevitable in all the households across the Western world.



   Japanese, Korean and more and more Chinese companies are actually dominating the Electric Cars supply chain and particularly Lithium batteries. 


  

  New development from German start up DBM Energy promises to break this dependence on new technology and strategic commodities Lithium and Rare Earths will be the next investment macro trend underlining the new industrial revolution: Alternative Energy and Electric Cars.








WORLD ECONOMIC OUTLOOK ANALYSIS

IMF Sees Oil Prices Staying High

IMF Survey online
April 7, 2011
  • Production constraints limiting increase in supply of oil
  • Growth in emerging markets, particularly China, boosting demand
  • Policies should aim at easing economies’ adjustment to increased oil scarcity
O

il prices are likely to remain high for the foreseeable future and IMF economists say that governments should be looking to back sustainable alternative sources of energy.
According to an analysis by the IMF, released as part of its World Economic Outlook (WEO), global oil markets are in a period of increased scarcity, as oil demand in emerging economies is rapidly catching up with demand in advanced economies and production constraints are beginning to bind in some major oil-exporting economies, where oil fields have reached maturity.
Improvements in oil supply have been slow, reflecting investment bottlenecks and other constraints, and the IMF expects net capacity will build only gradually.
The chapter on oil scarcity assesses the risk for the global economy in the medium term of the supply constraints. A persistent adverse oil supply shock would imply lower global output, higher revenues for oil exporters, a surge in global capital flows, and a widening of current account imbalances.
Oil still dominant
Oil remains the most important source of primary energy in the world, accounting for about 33 percent of the total. The two other fossil fuels, coal and natural gas, account for 28 and 23 percent. The analysis says that renewable sources of energy are in a rapid growth phase, but they still account for only a small fraction of primary energy supplies.
Despite the capacity constraints, the IMF research shows that it is premature to conclude that oil scarcity will inevitably be a strong constraint on global growth.
“Our simulation analysis shows that gradual and moderate increases in oil scarcity, consistent with supply projections by others, may only be a minor constraint on global growth in the medium to long term,” the IMF economists say. In particular, an unexpected sizable downshift in oil supply trend growth of 1 percentage point––from 1.8 percent to 0.8 percent––slows annual global growth by less than ¼ percent in the medium and long term.
However, such relatively mild effects on global growth should not be taken for granted since scarcity or its growth effects could be more significant, the WEO analysis shows.
Threats to oil supplies, including geopolitical risks, imply that oil scarcity could be more severe and may materialize in large and abrupt changes. The negative global growth effects would be correspondingly larger.
In addition, it is uncertain whether the world economy can adjust as smoothly to increased scarcity as the researchers assume, given redistribution and sectoral shifts. When oil becomes more scarce, it implies losses to labor and owners of capital in high oil-intensity sectors. Increasing production in low oil-intensity sectors will eventually offset some of these losses, but there could be resistance to change. Another concern is larger negative growth effects because oil scarcity may not just lead to higher costs and lower productivity levels but also hold back productivity growth.
Implications of a supply shock
A persistent adverse oil supply shock would likely result in a widening of current account imbalances, creating greater instability in the global economy. The economists say this underscores the need to reduce the risk associated with growing current account imbalances and large capital flows.
Continued progress in financial sector reform is also critical, as the efficient intermediation of these flows is a prerequisite for financial stability.
Policy response
The research shows two broad areas for policy action to mitigate the impact of oil scarcity.
• Given the potential for unexpected large increases in the scarcity of oil, policymakers should review whether current policy frameworks facilitate the adjustment to such events: macroeconomic policies to ease adjustment in relative prices and resources and structural policies to strengthen the role of price signals would be desirable.
• Consideration should be given to policies aimed at lowering the risk of oil scarcity, including through the development of sustainable alternative sources of energy.

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Lithium Charge: Network Of Charging Stations For Electric Cars - eVgo North Texas Launch tnr.v, czx.v, alk.ax, lmr.v, tsla, rm.v, nup.ax, srz.ax, usa.ax, jnn.v, abn.v, res, mcp, avl.to, quc.v, cee.v, sqm, fmc, roc, li.v, wlc.v, clq.v, lit, nsany, byddf, gm, dai, rno.pa, hev, aone, vlnc


  We have Electric Cars now which are coming on the roads. We have revolutionary developments in Lithium Batteries technology like from DBM Energy to make these cars better than conventional ones on all accounts. We have President Obama and Washington support, but does it mean much without real move on the ground in our communities, when US Inc. is broken already?


  Now we have local and state level initiatives to bring Electric Cars and the solution how to survive Peak Oil transition to the people.



It is very important to note  that Governor Perry is not the biggest fun of Washington, DC, maybe it is the most important message here today - that common sense can survive even in this circumstances and business will make this green mobility revolution happen.






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Friday, April 08, 2011

Gold and Copper in Argentina: TNR Gold: La Ortiguita Drill Program Expanded 60% tnr.v, lma.to, grc.to, ngq.to, rvm.to, mgn, auy, slw, cuu.v, lun.to, gbn.v, btt.v, mxr.v, ktn.v, epz.v, bva.v, bvg.v, ura.v, abn.v, laq.v,


"In 2010, results from the 300-metre drilling program, on the La Ortiguita property, confirmed the potential of the silicified zone in the east part of the prospect. In 2011, a 2,300-metre drilling campaign is planned to test for mineralization in this area. The La Ortiguita property is located on the El Indio trend, in proximity to Barrick's giant Pascua-Lama and Veladero deposits. La Mancha is the operator and will own 75% of the prospect by July 15, 2011."  



  It looks like this drilling program on La Ortiguita is even more advance than we have thought before and some Assays are pending already. In addition to Los Azules story TNR Gold adds its active J/V model with La Mancha busy drilling at La Ortiguita. Lukas Lundin's NGeX is working with JOGMEC on TNR Gold's other properties including Batidero. El Salto and El Tapau have very interesting results and we guess that company is working on J/V for those projects as well.



  There is an interesting Current Operations Update on TNR Gold website on International Lithium spin out:


"Update on the ILC Spinout:

ILC is currently pursuing confidential discussions with strategic investors to negotiate a beneficial transaction that may dramatically assist ILC in the attainment of its objectives.

Mariana Lithium Brine Project: 

In 2011, the phase one drill program is planned to target and isolate separate brine horizons for a first-time representative characterization of the subsurface brine geochemistry. Subsequent drilling will continue to delineate and add to the confidence level of the geochemistry of the subsurface brine pool with an Inferred Resource estimate targeted for the end of the year. The Mariana project is expected to experience the most rapid advancement of any of the projects within the current TNR portfolio. 

Nevada Properties:

ILC holds three additional lithium brine properties in Nevada (Fish Lake, Runway and Sarcobatus Flats) located in adjacent valleys to the Silver Peak operation in Clayton Valley, the sole lithium brine producer in North America which has been in operation since 1966. Upon completion of the ILC spinout, the company is planning to mobilize a drill to all three properties, target the lithium brine aquifers within the stratigraphy and test their viability.

Mavis Lake Property:

Surface exploration work on the Mavis Lake rare metals' project, located 15 km Northeast of Dryden, Ontario, has revealed high-grade well-evolved lithium and tantalum zonation as well as significant levels of cesium and rubidium across multiple pegmatite bodies. These results show that the Mavis Lake property is clearly emerging as one of the premier multi-element rare metals projects and warrants a drill program in 2011 to determine its potential.

Moose Property:

2010 exploration results included a channel sample running 1.50 wt% Li2O over 7.5 metres, which confirms the continuity of high grade lithium across substantial widths within the pegmatite, and a muck pile returned 8.44 wt% Li2O indicating that the source pegmatite is highly evolved and underscores the future potential of the property. These results demonstrate the potential that the Moose Property has and will be followed up with a drill program in 2011 to advance the project."
 


April 08, 2011


VANCOUVER, British Columbia -- TNR Gold Corp. (the "Company") -- (TSX.V - TNR) is pleased to announce La Mancha Resources Inc ("La Mancha"), the Company's joint venture partner on and Operator for the project, has decided to expand and continue the drill program on the La Ortiguita porphyry copper-gold/epithermal gold property, San Juan province, Argentina.

Key Highlights:

• Drill program expanded by 60% at La Ortiguita on positive identification of potential;

• Assays Pending; and

• Representative example of the Company's Joint Venture Business Model.


ONGOING EXPLORATION PROGRAM

Initially a 1,500 metre diamond drilling program was planned on the 'Silicified Zone' however due to the majority of the completed drill holes intersecting prospective altered rock and depositional textures potentially indicating an external halo of an epithermal low sulfidation system, the current program was increased to 2,400 metres. Assay results are pending.

In addition, an IP Resistivity survey was also completed over the 'Silicified Zone' in order to complement the previous magnetic survey and provide a better understanding of the geophysical response in the area as well as assist in target delineation.

ABOUT THE LA ORTIGUITA PROPERTY

The La Ortiguita property lies on the El Indio trend, close to Barrick Gold's giant Pascua-Lama and Veladero deposits. Exploration conducted thus far has targeted a porphyry copper-gold/epithermal gold system and has identified five distinct target areas for continued exploration referred to as the Zona Norte, Rio Blanco, Pablo, Pancho and the Silicified Zone. The Silicified Zone, the focus of the current exploration program, consists of an arcuate band of silicification approximately 300 to 400 m wide, extending over 1.5 km in length and is associated with an approximately 50 m wide shear zone.

In 2010, La Mancha carried out a 3,000 metre reverse-circulation drilling campaign on the property to assess the targets identified by geophysical and geochemical surveys conducted between 2007 and 2009. The 2010 program highlighted the potential of the Silicified Zone and following a strong recommendation to further evaluate the Silicified Zone evolved into the current exploration program.

To date, La Mancha has earned a 42.66% interest in the property and has an option to acquire a 75% undivided interest in the La Ortiguita property by spending $800,000 in exploration expenditures in 2011.

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 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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Thursday, April 07, 2011

Crazy Lithium: Video: Who Said Electric Cars Are Not Fun To Drive? tnr.v, czx.v, alk.ax, lmr.v, tsla, rm.v, nup.ax, srz.ax, usa.ax, jnn.v, abn.v, res, mcp, avl.to, quc.v, cee.v, sqm, fmc, roc, li.v, wlc.v, clq.v, lit, nsany, byddf, gm, dai, rno.pa, hev, aone, vlnc


  Do not try it at home. It is just Crazy. Must see video. Driver must be on the overdose with Lithium treatment from depression. Mitsubishi i-Miev will not be our first choice among the available now Electric Cars, but you can see what even this Electric vehicle can do in a capable hands...By the way the new model of wide body i-Miev for the North American market promised to be more stable on the road!


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M&A Watch: Canada Zinc Metals to start work on Cardiac Creek deposit PEA czx.v, lun.to, tnr.v, bwr.to, cs.to, imn.to, ncu.to, tko.to, wrn.to, qux.to, rio, bls.to, tck



  We have very interesting situation here: company moves into Preliminary Economic Assestment of the Cardiak Creek deposit and stock is below than the recent financing at 0.77 CAD. How all situation with Lundin Mining will affect this M&A situation in Canada remains to be seen. Chinese Copper and Zinc giant Tongling already owns 36% of Canada Zinc Metals and Lukas Lundin has its stake in this company via Lundin Mining.

"What do you do when you have lots of dollars which are losing value by the day, hungry for growth population and you need to maintain a tricky status quo? You are going shopping. But not for US Treasuries any more after PIMCO's Bill Gross has dumped all his holdings. And if you happen to be China you are going shopping for Copper or Oil and Lithium will be next on your list after you control Rare Earths market. We have our Catalyst in action now.
  Now 
Lundin Mining with its stake in Tenke Fungurume can expect proper bids above CAD 10.0. Copper is set on fire in M&A space with this Chinese bid. Destiny of Big Copper project in Argentina - Los Azules and companies involved TNR Gold and Minera Andes will be even more interesting now.
  We have also other companies to watch now in our 
Copper squad: Revett Minerals, Copper Fox Metals, Canada Zinc Metals, NGeX resources, Conerstone Capital Resources, Sunridge Gold and others."




"Go where the growth is - this company is ideally positioned to benefit from Chinese expansion in Infrastructure and Auto sector. We guess that this trip will be dealing with further Akie developments and maybe M&A activity. 




  Zinc and Lead markets are still nowhere near to the Copper excitement about recovery and Reinflation stage of the global economy - it is the good time to consolidate project at this price level of the commodity. Company has issued a news release today on current activities at the Akie project. The stock CZX.v is currently trading below the latest financing at 0.775CAD.
  We hope to get some more news at PDAC this year in the beginning of March in Toronto.

  With its stake in TNR Gold with its Lithium, Rare Earths, Gold and Copper portfolio - Canada Zinc Metals is covering all bets on growth in China and its largest shareholder Chinese Zinc and Copper giant Tongling definitely knows what it means."



Please, do not forget, that we own stocks we are writing about and have position in these companies. We are not providing any investment advise on this blog and there is no solicitation to buy or sell any particular company here. Always consult with your qualified financial adviser before making any investment decisions.

Canada Zinc Metals Reports Further on Current Activities on the Akie Project



April 6, 2011
Vancouver, British Columbia, Canada – Canada Zinc Metals Corp. (TSX Venture Exchange: CZX) is pleased to provide an update on current activities on its 100% owned Akie property, which includes the Cardiac Creek SEDEX zinc-lead-silver deposit. The property is located approximately 260 kilometers north-northwest of the town of Mackenzie in northeastern British Columbia, Canada.

An update to the current Cardiac Creek geological model and inferred resource are well underway along with plans to commence a Preliminary Economic Assessment of the Cardiac Creek deposit which will provide a decision-making tool to advance orderly development. Permits applications have been submitted for multi-year surface drill programs for the Akie property, and for the Pie and Mt. Alcock properties, which make up part of the large Kechika regional claim group. Drill and helicopter tendering is underway with contracts expected to be finalized over the coming month. Final plans regarding the 2011 surface exploration program will be made in the coming weeks, once permits are in hand and drill and helicopter crews are confirmed.

About the Akie Property

The Akie zinc-lead property is situated within the southern-most part (Kechika Trough) of the regionally extensive Paleozoic Selwyn Basin, one of the most prolific sedimentary basins in the world for the occurrence of SEDEX zinc-lead-silver and stratiform barite deposits.

Drilling on the Akie property by Inmet Mining Corporation during the period 1994 to 1996 and by Canada Zinc Metals since 2005 has identified a significant body of baritic-zinc-lead SEDEX mineralization (Cardiac Creek deposit). The deposit is hosted by variably siliceous, fine grained clastic rocks of the Middle to Late Devonian ‘Gunsteel’ formation. The Company has outlined a NI 43-101 compliant inferred resource of 23.6 million tonnes grading 7.6% zinc, 1.5% lead and 13.0 g/t silver (at a 5% zinc cut off grade).

Two similar deposits, Cirque and Cirque South Cirque, located some 20 km northwest of Akie and owned under a joint venture by Teck Resources and Korea Zinc, are also hosted by Gunsteel rocks and have a combined geologic inventory in excess of 50 million tonnes (not 43-101 compliant) grading approximately 10% combined zinc + lead.

In addition to the Akie property, Canada Zinc Metals Corp. controls a large contiguous group of claims which comprise the Kechika Regional project. These claims are underlain by geology identical to that on the Akie property (Cardiac Creek deposit) and Cirque. This project includes the 100% owned Mt. Alcock property, which has yielded a historic drill intercept of 8.8 metres grading 9.3% zinc+lead, numerous zinc-lead-barite occurrences, and several regional base metal anomalies.

Ken MacDonald P.Geo., Vice President of Exploration, is the designated Qualified Person as defined by National Instrument 43-101 and is responsible for the technical information contained in this release.

The TSX Venture Exchange has neither approved nor disapproved the contents of this press release.
ON BEHALF OF THE BOARD OF DIRECTORS

CANADA ZINC METALS CORP.

“PEEYUSH VARSHNEY”

PEEYUSH VARSHNEY, LL.B
CEO & CHAIRMAN
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