Far East Capital Newsletter
Smarter ways of extracting lithium from brines
19 Mar 2022

In This Issue

Weekly Commentary

Smarter ways of extracting lithium from brines

The volatility in gold, oil and other commodity prices has been as extreme as I have ever seen. While this does provide trading opportunities, you have to be quick. It is like walking through a minefield and it is so scary that many traders are standing aside. Confusion is leading to inaction in many instances.

Around 60% of the world's lithium comes from evaporation ponds in countries such as Argentina, Bolivia and Chile. Orecobre is an example of an ASX-listed company that has successfully commissioned and expanded a brine solar in Argentina. It has a market capitalisation of around A$6bn.

As with every other industry the lithium brine industry is always open to technological change in pursuit of greater efficiencies. We have reviewed a Canadian company, E3 Metals Corp (TSX:ETMC), that seems to offer an innovative and more efficient method to extract lithium. Additionally, there are two other initiatives worth mentioning. 

Suite 24, Level 6
259 Clarence St
Sydney NSW 2000

Phone: +61 417 863 187
Far East Capital