FinancialBuzz.com: Lithium Demand Affected by the Increasing Popularity of Electric Vehicles

News provided by

Mar 01, 2017, 09:15 ET

NEW YORK, March 1, 2017 /PRNewswire/ --

According to research conducted by ReportsnReports, the global lithium market is projected to grow at a CAGR of 7.84% during the forecasted period 2016-2020, as a result of a boost from the electric vehicle market. The Americas has the world's largest lithium reserves, primarily in Chile and Argentina. Due to environmental concerns and volatile petroleum prices, consumers are shifting toward EVs. Battery manufacturers are looking for new lithium sources that can provide a long-term supply of high-quality lithium carbonate and are scalable to keep pace with the growing demand. MGX Minerals Inc. (OTC: MGXMF) (CSE: XMG.CN), Tesla Motors (NASDAQ: TSLA), Sociedad Quimica y Minera de Chile (NYSE: SQM), Albemarle Corporation (NYSE: ALB), FMC Corp. (NYSE: FMC)

The report indicates the important role of the Asian Pacific region. According to the 2016 report, a key growth driver for the lithium market is the demand for EV from China. In 2015, China became the largest market for EV vehicles (plug-in light) with a sale of 214,282 vehicles, followed by Western Europe (184,501 vehicles) and the US (115,263 vehicles). EV market in China is forecast to grow at 27% CAGR, which translates into demand for lithium batteries.

MGX Minerals Inc. (OTC: MGXMF) (CSE: XMG.CN) earlier today announced that, "Staking activities to further expand its petro lithium land position in the Province of Alberta and State of Utah. North American Lithium Portfolio - The Company has significantly expanded its Alberta petro lithium portfolio through the acquisition of additional Metallic and Industrial Mineral Permits ("Permits") covering over 133,000 hectares. The new Permits are located within the Leduc (9,216 hectares), Swan Hills (110,592 hectares) and Nipisi (13,824 hectares) formations.

In total, MGX now holds Permits throughout the Province of Alberta totaling over 600,000 hectares. The Company also has exploration level agreements in place with major oil and gas companies throughout the Province to conduct well sampling. At its Lisbon Valley Petro Lithium Project MGX has also acquired, through staking, an additional 301 mineral claims encompassing 6,020 acres within the Paradox basin of southeastern Utah. The new claims further increase the Company's Lisbon Valley land package to 23,780 acres… MGX also recently announced an earn-in agreement to explore 111 mineral claims in the Cane Creek area of the Paradox Basin.

The Lisbon Valley oil and gas field is located approximately 40 miles southeast of Moab, Utah in the salt anticline belt on the southwest edge of the Paradox Basin in San Juan county. Historic lithium brine content has been reported as high as 730 parts per million lithium (Superior Oil 88-21P). The region is home to the former Rio Algom uranium mill facility, an active copper mine operated by Lisbon Valley Mining Company, and a natural gas processing plant.

Qualified Person -The technical portions of this press release were prepared and reviewed by Andris Kikauka (P. Geo.), Vice President of Exploration for MGX Minerals. Mr. Kikauka is a non-independent Qualified Person within the meaning of National Instrument (N.I.) 43-101 Standards.

Tesla Motors (NASDAQ: TSLA) Gigafactory will begin mass production of lithium-ion batteries for the use of its Model 3 electric vehicle and energy storage systems. Tesla, collaborating with Panasonic will employ 4,000 workers to begin manufacturing at the factory. According to Tesla's estimates, the company will be producing out 35 gigawatts of lithium-ion batteries per year, which is equivalent to the amount produced globally by next year. This factory is expected to double of the global battery production.

Sociedad Quimica y Minera de Chile (NYSE: SQM) is a producer of potassium nitrate and iodine. The Company produces specialty plant nutrients, iodine derivatives, lithium and its derivatives, potassium chloride, potassium sulfate and certain industrial chemicals. Its earlier in 2016 the company announced that it will increase its lithium hydroxide capacity in Chile from 6,000 metric tons per year to 13,500 metric tons per year. At its current facility near Antofagasta, SQM plans to increase efficiencies bringing the current plant capacity from 6,000 metric tons per year to 6,500 metric tons per year. Additionally, SQM will construct a new plant with a capacity of 7,000 metric tons per year. The estimated investment related to this new capacity is expected to be around US$30 million, and should be completed by the end of next year.

Albemarle Corporation (NYSE: ALB) is a developer, manufacturer and marketer of specialty chemicals across a range of end markets. The Company's Performance Chemicals segment consists of product categories, including Lithium, Performance Catalyst Solutions and Bromine. The Company's Lithium business develops advanced materials for a range of industries and end markets. This January the company announced that it will amend its lithium production rights agreement with the Chilean Economic Development Agency (Corfo), to both extend the term of that agreement and increase the company's authorized lithium quota at its facility in the Salar de Atacama, Chile. The terms of the amendment have been fully reviewed and approved by all applicable Chilean authorities, including both the Comptroller General and the Nuclear Energy Commission.

FMC Corp. (NYSE: FMC) is a diversified chemical company serving agricultural, consumer and industrial markets. The Company operates through three business segments: FMC Agricultural Solutions, FMC Health and Nutrition, and FMC Lithium. October the company announced a new long-term supply agreement with Nemaska Lithium, Inc. Under the agreement Nemaska will provide FMC with 8,000 metric tons per year of lithium carbonate beginning in mid-2018. "This agreement will further diversify our supply sources while fueling our growing production of high quality, specialty lithium products," said Tom Schneberger, vice president and global business director of FMC Lithium. "We look forward to partnering with Nemaska on this important supply arrangement."

Please sign up now at http://www.FinancialBuzz.com To Receive Alerts on Trending Financial News from all these companies. "The Latest Buzz in Financial News"

Subscribe Now. Watch us report from NYSE https://www.youtube.com/FinancialBuzzMedia

Follow and talk to us on Instagram: https://www.instagram.com/financialbuzz

Facebook Like Us to receive live feeds: https://www.facebook.com/Financialbuzz/

About FinancialBuzz.com

FinancialBuzz.com, a leading financial news informational web portal designed to provide the latest trends in Market News, Investing News, Personal Finance, Politics, Entertainment, in-depth broadcasts on Stock News, Market Analysis and Company Interviews. A pioneer in the financially driven digital space, video production and integration of social media, FinancialBuzz.com creates 100% unique original content. FinancialBuzz.com also provides financial news PR branding, marketing and advertising for third parties for disseminating news and original content through our unique media platform that includes Newswire Delivery, Digital Advertising, Social Media Relations, Video Production, Broadcasting, and Financial Publications.

Please Note: FinancialBuzz.com is not a financial advisory or advisor, investment advisor or broker-dealer and do not undertake any activities that would require such registration. The information provided on http://www.FinancialBuzz.com (the "Site") is either original financial news or paid advertisements provided [exclusively] by our affiliates (sponsored content), FinancialBuzz.com, a financial news media and marketing firm enters into service agreements with the companies which are the subject to the articles posted on the Site or other editorials for advertising such companies. Financialbuzz.com has not been compensated directly by any of the companies mentioned here in this editorial. We are not an independent news media provider and therefore do not represent or warrant that the information posted on the Site is accurate, unbiased or complete. FinancialBuzz.com receives fees for producing and presenting high quality and sophisticated content on FinancialBuzz.com along with other financial news PR media services. FinancialBuzz.com does not offer any personal opinions as we purely incorporate public market research along with financial and corporate news. FinancialBuzz.com only regurgitates financial or corporate news through our unique financial newswire and media platform. FinancialBuzz.com expects to be compensated five thousand dollars for financial news dissemination and pr services by a third party non affiliate for mgx minerals inc. Our fees may be either a flat cash sum or negotiated number of securities of the companies featured on this site, or a combination thereof. The securities are commonly paid in segments, of which a portion is received upon engagement and the balance is paid on or near the conclusion of the engagement. FinancialBuzz.com will always disclose any compensation in securities or cash payments for financial news PR advertising. FinancialBuzz.com does not undertake to update any of the information on the Site or continue to post information about any companies the information contained herein is not intended to be used as the basis for investment decisions and should not be considered as investment advice or a recommendation. The information contained herein is not an offer or solicitation to buy, hold or sell any security. FinancialBuzz.com, members and affiliates are not responsible for any gains or losses that result from the opinions expressed on the Site, company profiles, quotations or in other materials or presentations that it publishes electronically or in print. Investors accept full responsibility for any and all of their investment decisions based on their own independent research and evaluation of their own investment goals, risk tolerance, and financial condition. FinancialBuzz.com. By accessing this website and any pages thereof, you agree to be bound by the Terms of Use and Privacy Policy, as may be amended from time to time. None of the content issued by FinancialBuzz.com constitutes a recommendation for any investor to purchase, hold or sell any particular security, pursue a particular investment strategy or that any security is suitable for any investor. This publication is provided by FinancialBuzz.com. Each investor is solely responsible for determining whether a particular security or investment strategy is suitable based on their objectives, other securities holdings, financial situation needs, and tax status. You agree to consult with your investment advisor, tax and legal consultant before making any investment decisions. We make no representations as to the completeness, accuracy or timeless of the material provided. All materials are subject to change without notice. Information is obtained from sources believed to be reliable, but its accuracy and completeness are not guaranteed. For our full disclaimer, disclosure and Terms of Use. Please visit: http://www.financialbuzz.com

For further information:
Media Contact:
[email protected] ,
+1-877-601-1879
Url: http://www.FinancialBuzz.com

SOURCE FinancialBuzz.com