Entering text into the input field will update the search result below

Standard Lithium (SLL) - Direct Extraction With Multi Billion Partner

Feb. 08, 2021 9:58 AM ETSLI
Please Note: Blog posts are not selected, edited or screened by Seeking Alpha editors.


  • TSX-V: SLL.
  • Shares Outstanding: 111.5M.
  • Share price C$2.64 (14.12.2020).
  • Market Cap: C$292.36M.

Standard Lithium CEO Robert Mintak gives an update on their Lanxess lithium project in El Dorado, Arkansas. The project will be a joint venture with German chemical company Lanxess, who currently operates three bromine plants in El Dorado.

Standard Lithium’s plan is to start with what’s already there: in this case, bromine waste brine. They’ve developed a proprietary direct lithium extraction (DLE) technology and plan to use it to extract lithium from waste brine left over from Lanxess’s bromine operations. Arkansas is an advantageous place to launch their technology. Bromine extraction has been ongoing for 60 years, so the regulatory environment is well-established. Water is plentiful and power is cheap (CAD$0.05/kw). Access is easy to local trained workers and chemical reagents, many of which are made in the same ZIP code as the bromine plants. And the waste brine reinjection process–which occurs after lithium has been extracted–is well known.

Once their technology is proven, Standard Lithium will decouple from the bromine process. Decoupling allows lithium brine extraction from areas where bromine has been depleted or where lithium is the primary resource. The direct lithium extraction technology is adaptable, with the potential to extract lithium carbonate, lithium chloride, lithium hydroxide or lithium metal, depending on current commodity prices. Decoupling will improve project economics and allow Standard Lithium to produce lithium according to demand. The market for lithium is in place as well. Lithium is processed for batteries in the United States, so the produced material doesn’t have to be exported. Additionally, the US-Mexico-Canada Free-Trade Agreement dictates that 75% of automobile components must be domestic. This includes batteries for electric vehicles, which require lithium.

Read the full article here.

Disclosure: I/we have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.

Analyst's Disclosure: I/we have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.

View our disclaimer here: https//:www.cruxinvestor.com/disclaimer

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

Recommended For You

To ensure this doesn’t happen in the future, please enable Javascript and cookies in your browser.
Is this happening to you frequently? Please report it on our feedback forum.
If you have an ad-blocker enabled you may be blocked from proceeding. Please disable your ad-blocker and refresh.