We’re in the early stages of a massive surge in lithium demand – one that could soon trigger a massive bull market for E3 Metals Corp. USA (EEMMF) Canada (ETMC.V), which has an “Alberta advantage” that’s giving the company a major leg-up against the competition.
Over the next year, lithium could run into a massive supply crunch.(1)
Prices could double, if not triple as demand just begins to outweigh supply. All thanks in part to electric vehicle (EV) sales that are growing much faster than anyone expected.(2)
Plus, experts now predict that by 2030, electric cars will make up 58% of the light vehicle market.(4)
And, according to Corporate Knights:
And what’s more, compared to others in the lithium space, E3 Metals Corp. appears to be significantly undervalued – at least for the time being.
Experts in the market are now beginning to take note of E3 Metals Corp. and its significant upside potential.
At 6.7 million tons of lithium carbonate equivalent (LCE) – and at an average grade of 75 milligrams per liter – the company’s resource has already been shown to be one of the largest on the planet.
But the size of E3 Metals Corp’s lithium resource could be even larger as only 34% of the resource over their permit area has been delineated – accounting for the 6.7 metric tons of LCE.
If the remaining 66% of the property were to be accounted for, we might not be talking about the world’s 6th largest lithium resource…but instead potentially the largest.
One industry comparable is Standard Lithium, who doesn’t even own the resource, but is earning into one that is markedly smaller than E3 Metals Corp. Yet has a market cap of an estimated $125 million as opposed to E3 Metals Corp.’s market cap of just about $10.2 million.
Late last year, E3 Metals Corp. USA (EEMMF) Canada (ETMC.V) announced that it has entered into a Joint Development Agreement with Livent Corporation to advance E3 Metals’ proprietary Ion-Exchange Direct Lithium Extraction process.
Livent is the world’s largest pure-play lithium producer – a pioneer in the industry for over 60 years – and is well-known for being one of the lowest-cost producers of lithium carbonate. With facilities across the globe, Livent holds technical expertise in the extraction and production of various lithium products.
E3 Metals Corp. believes that this collaboration will accelerate the advancement of the innovative technology it has developed to date. And it demonstrates E3’s commitment to the commercialization of lithium in Alberta.
While the size of E3 Metals Corp.’s resource is impressive – as is the company’s proprietary extraction technology – it’s also worth noting that the company is located in an ideal location for lithium production.
Alberta, Canada is an extremely industry-friendly region for the oil and gas industry and offers existing regulations and permitting processes.
E3 Metals Corp.’s permit area in Alberta is blanketed with a vast network of pipelines, wells and roads that are available for the company to repurpose for the production and processing of lithium brine.
E3 Metals Corp. is looking to leverage Alberta’s existing infrastructure and know-how, while setting a global standard for environmental performance in lithium production.
E3 Metals Corp.’s high-performing proprietary Ion Exchange Direct Lithium Extraction Process produces a purified lithium concentrate from brines deep beneath the surface in the Leduc Reservoir.
The Leduc Reservoir offers a network of existing oilfield infrastructure that is available to be repurposed into lithium production. The reservoir is expected to deliver brine at an equivalent rate to 50,000 tons/year LCE for over 35 years in the Clearwater Area of Alberta alone.
E3 Metals Corp.’s proprietary direct lithium extraction process offers a number of critical advantages, including…
The company’s technology has advanced rapidly – with limited capital spending to date – with a stated goal of producing battery-grade lithium carbonate or hydroxide that can be used directly within lithium-ion batteries, allowing E3 Metals Corp. to secure top value for its product.
Just recently, E3 Metals Corp. announced that it had successfully produced lithium hydroxide in the Alessi Lab at the University of Alberta where the purified lithium solution was crystallized into lithium hydroxide.
The lithium concentrate was produced using E3 Metals Corp.’s proprietary direct lithium extraction process and the results provide confidence in the validity of the company’s process flowsheet and represent another important step toward demonstrating the commercial viability of the project.
When evaluating the potential for any energy exploration investment, it’s important to examine the quality of the company’s management.
Investors could consider looking for a history of success and innovation in the energy exploration space in order to feel confident about a company’s future prospects. And in the case of E3 Metals Corp. (STOCK:EEMMF) the company has a wealth of both experience and success.
Chris Doornbos (P.Geo) – President, CEO, Director
Chris is the CEO and Director of E3 Metals Corp, a lithium development company. Chris founded E3 Metals, now publicly listed with the goal of delivering Alberta’s first commercial production of lithium. Chris has experience in capital increasing both privately and publicly, founding of public junior mining companies and the sale and acquisition of mineral properties. Chris emphasizes risk management, developing and managing an exceptional technical team and well-strategized project development.
Chris has successfully driven projects through to the development stages including a very successful track record of capturing value for shareholders by using innovative and out of the box thinking. Chris is a registered professional geologist with a broad range of experience in developing mineral projects across the globe. Previously, Chris was the CEO of Revere Development Corp, the Vice-President of Exploration for MinQuest Ltd and a key member of the early development of the Fort Hills Project in Alberta.
Liz Lappin (P.Geo) – VP, Corporate Affairs and Exploration
Liz is a Professional Geologist with a solid background in capturing value from Alberta’s energy industry. Liz brings this experience to the E3 Metals team as she drives the technical team towards the development of our lithium brine projects. As a great believer in collaboration, Liz is focused on maximizing asset value through technical excellence and creative cooperation between disciplines. Working across Western North America, Liz has acquired a foundation of technical experience with oil and gas majors such as Cenovus, Encana and Suncor. More recently, Liz was the founder and principal consultant at Castle Rock Consulting Ltd., which specializes in geothermal value creation for the energy industry in Canada. Liz is a Fellow of the Energy Futures Lab, and was honored to receive a Young Woman in Energy Award in 2017 for her dedication to challenging industry norms by pursuing a broader energy mix in Alberta.
Rowan Jastrzebska (P.Eng) – Manager, Lithium Process
Rowan Jastrzebska (P.Eng) is a Chemical Engineer specializing in metallurgical and lithium processes across the globe, and was previously CTO with Desert Lion.
Greg Florence (CPA, CMA) – CFO & Company Secretary
Greg has over thirty-seven years of business experience including upstream oil and gas, green technologies, industrial supplies, and agribusiness. In addition to 12+ years as a CFO, Greg has held a number of senior management positions including Corporate Secretary, Director Investments and Vice President Marketing and Corporate Development. His expertise includes finance and accounting, budgeting and forecasting, regulatory compliance, corporate finance, portfolio investment and management and corporate governance. Greg has sat as a director of public companies, private companies and not-for-profits. He is a member of the Chartered Professional Accountants of Alberta.
Mike O’Hara (P.Eng) – Director
Mike is an oil & gas executive and registered professional engineer with 35 years’ experience in founding, developing and managing profitable, growth oriented oil and gas companies. He has a solid track record in the evaluation, negotiation and acquisition of high quality oil & gas properties and joint venture opportunities. Formerly, Mike was the President of Bernum Petroleum Ltd, President, Director and Founder of Xergy Processing Inc and CEO, President, Director & Founder of Calahoo Petroleum Ltd., a TSX listed E&P company, sold in 2000 to Samson Petroleum for ~$130M.
Peeyush Varshney LL.B – Director
Peeyush has been actively involved in the capital markets since 1996 and has been a principal of Varshney Capital Corp., a private merchant banking, venture capital and corporate advisory firm since 1996. Mr. Varshney obtained a Bachelor of Commerce degree (Finance) in 1989 and a Bachelor of Laws in 1993, both from the University of British Columbia. He then articled at a large regional business law firm in Vancouver, British Columbia, from 1993 to 1994, and has been a member of the Law Society of British Columbia since September 1994. Mr. Varshney is also director of TSX listed Mountain Province Diamonds Inc. and TSX Venture Exchange listed Canada Zinc Metals Corp. and Margaret Lake Diamonds Inc.
Paul Reinhart – Director
Paul brings his over 30 years of experience in providing early stage project financing and advisory services. Paul’s experience and expertise in the resource exploration business includes Kokanee Explorations, Far West Mining and Bearing Resources. He is currently CEO of Sora Capital Corp, an Investment Issuer focused on the technology industry. He is also President of Vanhart Capital Corporation, a privately held investment company, specializing in funding and advisory services for early stage companies.