Houston, Texas–(Newsfile Corp. – September 16, 2020) – Lithium could easily run into a massive supply crunch – and fast.
In fact, prices could explode as demand just begins to outweigh supply.
All thanks in part to electric vehicle (EV) sales that are growing much faster than anyone expected. According to a new study from the Boston Consulting Group, by 2025, EVs could account for a third of all auto sales. By 2030, EVs could surpass internal combustion engine vehicles with a market share of 51%. That could lead to a sizable spike in demand with lithium used in EV batteries.
Plus, according to Corporate Knights, “It’s estimated that three billion tonnes of metals will be required to generate clean energy by 2050. One of those key metals – lithium, a light, highly conductive metal – is critical to the construction of battery electric vehicles (BEV). As global automobile manufacturers design hundreds of new BEVs, demand for lithium is expected to triple in the next five years alone.”
However, there’s a problem.
There may not be enough supply to meet all of the demand.
According to Reuters, “The electric vehicle industry must pay more for lithium in order to spur investment and prevent future supply crunches of the battery metal, the chief executive of lithium producer Livent Corp said.”
He added, “If every EV company took their 2023 plans and went to the lithium market today, they’d probably only get about 15% of their needed supply of lithium.”
E3 Metals Corp. (TSXV: ETMC) (OTC: EEMMF) Could Be a Big Part of that Lithium Boom
E3 Metals Corp. just announced the discovery of lithium enrichment in the Nisku Reservoir, located in the subsurface of south-central Alberta, with lithium ranging up to 75.0 mg/L.
The Nisku is located above the Leduc Reservoir, in which E3 Metals holds 6.7 million tonnes LCE1 inferred mineral resource. The Nisku is present continuously across E3 Metals’ entire permit area where E3 Metals owns the metallic and industrial mineral rights, which include the rights to the lithium within the Nisku. The Nisku has similar rock properties to the Leduc, and as such, it has a comparable propensity for high brine flow rates which may support the production of commercial quantities of lithium.
The Company sampled Nisku brine as well as the Leduc brine from available oil and gas production wells as part of E3 Metals’ ongoing exploration and development.
A total of 17 samples were collected across the Nisku and all have demonstrated the presence of higher-grade dissolved lithium within the formation brine. Lithium grades range between 37.4 mg/L and 75.0 mg/L. Using E3’s proprietary DLE process, Leduc brines with similar grades on the higher end found in the Nisku has demonstrated the ability to quickly and efficiently concentrate to over 5000 mg/L.
“The discovery of lithium in the Nisku expands the known lithium brine volumes and may offer operational benefits,” commented Chris Doornbos, President and Chief Executive Officer of E3 Metals. “The Nisku is laterally extensive across our permit area and has similar aquifer properties to the Leduc, so it will produce brine in much the same way.”
“Wells drilled to access the Leduc intersect the Nisku first, which may allow us to produce lithium enriched brines from both aquifers from the same well, potentially increasing operational efficiencies in the future.”
E3 Metals will continue to sample the reservoir as part of its regular sampling program going forward, with the intention of developing a resource across the area in the future.
For more information, visit the company’s website at https://www.e3metalscorp.com
Except for the historical information presented herein, matters discussed in this article contain forward-looking statements that are subject to certain risks and uncertainties that could cause actual results to differ materially from any future results, performance or achievements expressed or implied by such statements. Winning Media is not registered with any financial or securities regulatory authority and does not provide nor claims to provide investment advice or recommendations to readers of this release.
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