International Lithium has made major deals with Ganfeng Lithium just a few weeks ago and now we are moving forward developing our main projects. You can find details in my first post on this blog and in presentations. Good start will be to read our Newsletter as well.
These projects' structures allow ILC to move forward developing Blackstairs and Mariana projects without diluting our shareholders at the very depressed price levels today. We are losing part of the project in the J/V format in exchange for the capital investment, but this is the main proper way to finance Junior Mining operations. You are getting the smaller piece of the project, which has received extensive due diligence from much stronger partner and capital for its development. In case of ILC the technology involved from Ganfeng Lithium is even more crucial than the capital.
International Lithium President Kirill Klip with Ganfeng Lithium Chairman Mr Li Liangbin.
Ganfeng Lithium now produces Lithium Materials from Brine and Spodumene. Both are coming long way to production facilities in China: from Chile and Australia. In case of ILC we will be able to determine with Ganfeng Lithium from the beginning of development the particular chemistry and optimise the extraction processes saving a lot of capital. Ireland is the door into Europe for Ganfeng Lithium with increasing export of Lithium Materials in this market. UK has just announced £500 million boost for Electric Cars here! Argentina is very well positioned now to become the very prominent Lithium and Potassium producer. China is very active there and has signed military cooperation and trade agreements. BYD with Warren Buffet as a shareholder is making plans to build Lithium Batteries and Electric Bus production facilities in Argentina.
Ganfeng Lithium now operates its expanded production facilities which were put online last year. Company stock is halted due to "major asset acquisition announcement". ILC projects could become the part of Vertically Integrated Lithium Business supplying the raw materials to Ganfeng Lithium. Headlines about horrible air pollution in China are making rounds last couple of years and now Chinese government has declared The War on Pollution. I am proud to be the part of this fight for clean air with our International Lithium Team and this move provides the unique business opportunity for us. All major auto makers have announced J/V operations to produce Electric Cars in China and even Elon Musk from Tesla Motors is talking about Tesla Model S production in China in 3-4 years time.
I better get back to work on our projects in order to be ready to capitalise on all these opportunities and you can study our company presentation.