VW Deal Opens Doors
UNITED LITHIUM CORP. CSE:ULTH | OTC:ULTHF | FWB:0UL
A major $14 billion deal with Volkswagen could soon send lithium demand soaring in Europe.
After signing an 11-figure order with the Northvolt gigafactory in Sweden, they will pay $1.4 billion every year for the next decade to help produce solid state EV batteries for their vehicles.
That’s because over the last year, Volkswagen has become one of the biggest producers of EVs in the world, as they continue closing the enormous lead Tesla once held.
And VW is set to ramp up production capacity to an incredible 1.5 million electric vehicles by 2025.
Download our special report on United Lithium’s incredible opportunity and how early investors could profit.
Of course the amount of lithium needed to produce this many batteries is enormous.
And this is all happening as the European Commission is making a shocking projection about the demand for lithium.
They predict that Europe will require a supply of lithium 18 times larger than what is required today to meet their 2030 goals.
The total sales of EVs more than doubled last year throughout Europe, and it doesn’t appear that trend will be slowing down any time soon.
Northvolt, the Swedish gigafactory started by a former Tesla executive, will now be right at the center of Europe’s EV boom.
Which is why they’ll need a steady supply of lithium brought in to help them make good on the $27 billion in contracts they’ve now brought in over the last 2 years.
Northvolt already has deals in place with other automakers like BMW, along with contracts with other major partners and customers like ABB, Scania, Siemens, Vattenfall, and Vestas.
And after adding Volkswagen to the list, this could mean big news for United Lithium too.
United Lithium is a junior mining company that just acquired an exciting new project in Bergby, Sweden, which could soon deliver lithium to Northvolt with just a short commute down the highway.
The Bergby project makes up 1,903 hectares of land, and historical testing suggests it may be sitting on an incredible endowment of lithium.
Plus, with the largest highway in the country running just outside the property, it’s extremely easy to deliver lithium to major players like the Northvolt plant producing lithium batteries.
But Northvolt isn’t the only gigafactory that is expected to need a steady supply of lithium in the days ahead.
There are dozens of other European lithium battery factories close-by.
And with the Bergby property within just 5 km of a deep water port, that means United Lithium could easily transport the mineral to Germany, Poland, Austria, and several other countries in the area.
If all goes according to plan, they could become a major producer of lithium as Europe’s EV production is expected to become one of the biggest markets in the world.
With demand spiking, lithium spot prices are already up 88% on the year.
But the economics could get even better for United Lithium thanks to their unique, new mineral process.
They recently signed an agreement to develop a new lithium purification protocol with the help of research lab, Process Research Ortech.
This is expected to not just lower the cost of purifying the lithium, but to lower the carbon footprint of producing it as well.
With the rise of ESG funds across the globe, this could also draw more attention to United Lithium as they could patent this innovative technology if proven successful.
Here’s how it works.
They start by dissolving the lithium bearing rock in a solution like acid.
Then while in solution separate the lithium from impurities or minerals like aluminum, iron, calcium, etc., and it leaves you with purified lithium in the solution.
Then the final step turns lithium into a solid state again, becoming lithium carbonate, one of the 2 chemical compounds used to make EV batteries.
This unique process if successful will be unlike any other in the world, and it’s expected to produce greener lithium at prices that are extremely favorable to the company.
And with lithium demand spiking in a key area of Europe, this could be an incredible time for United Lithium as they prepare to launch their upcoming drill program.
9,000m of Drilling Set to Kick Off
UNITED LITHIUM CORP. CSE:ULTH | OTC:ULTHF | FWB:0UL
As United Lithium just finalized the acquisition at Bergby, their team is now planning to plow ahead and begin a 9,000m drill program in Q2.
And there’s plenty of reason for excitement given what we’ve already seen on the property.
In several areas, lithium outcrops right at the surface, making it visible even before drilling begins.
This means drilling expenses should be much lower than in many other areas, as United Lithium wouldn’t need to drill hundreds or thousands of meters into the ground before reaching the precious mineral.
And historical data suggests that once drilling begins, Bergby could deliver a rich endowment of lithium as well.
Whereas many mining companies are thrilled to discover 1% or 2% lithium in other areas like Canada, several holes on the Bergby property showed grades that ran much higher.
In fact, the lithium in some of these holes reached as high as 3% or 3.5% lithium.
But previous data shows that lithium didn’t just mineralize in small areas throughout the property.
The previous owners of the Bergby property did an initial test of 33 drill holes back in 2017.
Of those 33 holes, 28 of them intersected lithium mineralization.
That means United Lithium could be sitting on a potentially massive discovery.
Plus, results showed the lithium mineralization is open on strike, which means it could run even further in either direction.
There’s no telling how much lithium they could discover once drilling begins. And after acquiring the property officially, they’re now set to race ahead.
The drill program is expected to kick off shortly in Q2. And they’re planning to complete this entire 9,000m program by the end of the year.
The company has announced it’s set to take place in 3 phases.
In phase 1, they’ll start by drilling along strike and starting with the sites that are already proven to have lithium mineralization.
They’ll also gather more valuable information using heliborne magnetic and radiometric airborne surveys to put them in the best position possible for the next 2 phases.
After drilling is complete in the first phase, core samples will be sent to the lab for testing.
From there, it could be just a matter of weeks until news rolls out confirming exactly how much lithium we may be looking at.
With the demand for lithium spiking, many across Europe are expected to be watching closely for this news.
In phase 2, they’ll begin another 3,000m of drilling to help them better define the mineralized zone and get accurate calculations.
That’s a key piece for planning for future drill programs and could even help them establish a resource report.
Phase 3 will bring 3,000m of drilling along strike and will help them verify and validate any other potential new targets.
With United Lithium set to move ahead within weeks, this could provide incredible news in Europe’s EV boom.
And the upside is enormous. While VW signed an order with Northvolt worth a gargantuan $14 billion, United Lithium currently sits at a market cap of just $33 million.
That’s why now is the most exciting time for United Lithium, as positive news could have massive implications for Europe’s EV industry in the days ahead.
Download our new report to discover why this could be the most exciting phase for investors in United Lithium’s new discovery
IMPORTANT NOTICE AND DISCLAIMER
PAID ADVERTISEMENT
This communication is a paid advertisement. ValueTheMarkets is a trading name of Digitonic Ltd, and its owners, directors, officers, employees, affiliates, agents and assigns (collectively the “Publisher”) is often paid by one or more of the profiled companies or a third party to disseminate these types of communications. In this case, the Publisher has been compensated by United Lithium Corp. to conduct investor awareness advertising and marketing and has paid the Publisher the equivalent of four hundred thousand US dollars to produce and disseminate this and other similar articles and certain related banner advertisements. This compensation should be viewed as a major conflict with the Publisher’s ability to provide unbiased information or opinion.
CHANGES IN SHARE TRADING AND PRICE
Readers should beware that third parties, profiled companies, and/or their affiliates may liquidate shares of the profiled companies at any time, including at or near the time you receive this communication, which has the potential to adversely affect share prices. Frequently companies profiled in our articles experience a large increase in share trading volume and share price during the course of investor awareness marketing, which often ends as soon as the investor awareness marketing ceases. The investor awareness marketing may be as brief as one day, after which a large decrease in share trading volume and share price may likely occur.
NO OFFER TO SELL OR BUY SECURITIES
This communication is not, and should not be construed to be, an offer to sell or a solicitation of an offer to buy any security.
INFORMATION
Neither this communication nor the Publisher purport to provide a complete analysis of any company or its financial position.
This communication is based on information generally available to the public and on an interview conducted with the company’s CEO, and does not contain any material, non public information. The information on which it is based is believed to be reliable. Nevertheless, the Publisher does not guarantee the accuracy or completeness of the information. Further, the information in this communication is not updated after publication and may become inaccurate or outdated. No reliance should be placed on the price or statistics information and no responsibility or liability is accepted for any error or inaccuracy. Any statements made should not be taken as an endorsement of analyst views.
NO FINANCIAL ADVICE
The Publisher is not, and does not purport to be, a broker-dealer or registered investment adviser or a financial adviser. The Publisher has no access to non-public information about publicly traded companies. The information provided is general and impersonal, and is not tailored to any particular individual’s financial situation or investment objective(s) and this communication is not, and should not be construed to be, personalized investment advice directed to or appropriate for any particular investor or a personal recommendation to deal or invest in any particular company or product. Any investment should be made only after consulting a professional investment advisor and only after reviewing the financial statements and other pertinent corporate information about the company. Further, readers are advised to read and carefully consider the Risk Factors identified and discussed in the advertised company’s SEC, SEDAR and/or other government filings. Investing in securities, particularly microcap securities, is speculative and carries a high degree of risk. Past performance does not guarantee future results.
FORWARD LOOKING STATEMENTS
This communication contains forward-looking statements, including statements regarding expected continual growth of the featured companies and/or industry. Statements in this communication that look forward in time, which include everything other than historical information, are based on assumptions and estimates by our content providers and involve risks and uncertainties that may affect the profiled company’s actual results of operations. These statements involve known and unknown risks, uncertainties and other important factors that could cause the actual results and performance to differ materially from any future results or performance expressed or implied in the forward-looking statements. These risks, uncertainties and other factors include, among others: the success of the profiled company’s operations; the size and growth of the market for the company’s products and services; the company’s ability to fund its capital requirements in the near term and long term; pricing pressures; changes in business strategy, practices or customer relationships; general worldwide economic and business conditions; currency exchange and interest rate fluctuations; government, statutory, regulatory or administrative initiatives affecting the company’s business.
INDEMNIFICATION/RELEASE OF LIABILITY
By reading this communication, you acknowledge that you have read and understand this disclaimer in full, and agree and accept that the Publisher provides no warranty in respect of the communication or the profiled company and accepts no liability whatsoever. You acknowledge and accept this disclaimer and that, to the greatest extent permitted under applicable law, you release and hold harmless the Publisher from any and all liability, damages, injury and adverse consequences arising from your use of this communication. You further agree that you are solely responsible for any financial outcome related to or arising from your investment decisions.
TERMS OF USE AND DISCLAIMER
By reading this communication you agree that you have reviewed and fully agree to the Terms of Use found here https://www.valuethemarkets.com/terms-conditions/ and acknowledge that you have reviewed the Disclaimer found here https://www.valuethemarkets.com/disclaimer/. If you do not agree to the Terms of Use, please contact valuethemarkets.com to discontinue receiving future communications.
INTELLECTUAL PROPERTY
All trademarks used in this communication are the property of their respective trademark holders. Other than valuethemarkets.com, the Publisher is not affiliated, connected, or associated with, and the communication is not sponsored, approved, or originated by, the trademark holders unless otherwise stated. No claim is made by the Publisher to any rights in any third-party trademarks other than valuethemarkets.com.
AUTHORS: VALUETHEMARKETS
valuethemarkets.com and Digitonic Ltd and our affiliates are not responsible for the content or accuracy of this article. The information included in this article is based solely on information provided by the company or companies mentioned above. This article does not provide any financial advice and is not a recommendation to deal in any securities or product. News and research are not recommendations to deal, and investments may fall in value so that you could lose some or all of your investment. Past performance is not an indicator of future performance.
ValueTheMarkets do not hold any position in the stock(s) and/or financial instrument(s) mentioned in the above piece. ValueTheMarkets have been paid to produce this piece by the company or companies mentioned above. Digitonic Ltd, the owner of valuethemarkets.com, has been paid for the production of this piece by the company or companies mentioned above.
