The Most Exciting Commodities Play Of 2021? / Commodities / Lithium

By Submissions / February 22, 2021 / www.marketoracle.co.uk / Article Link

Commodities

In 2019, 97-year-old John B. Goodenough receivedthe Nobel Prize for his groundbreaking work on developing lithium-ionbatteries

His discovery more than 40 years ago led to amassive breakthrough, giving us the rechargeable batteries hidden insidedevices we use every day...

From smartphones and computers to power tools andmedical equipment. 

But today, it’s led to a boom that’s signalingthe biggest shift in the auto industry in over 100 years.


It’s expected to change the landscape of ourcities… What vehicles we buy… And how we travel throughout the day.

That’s why Tesla has built a 1.9 million square foot factory to ramp up production of the lithium-ion batteries for theirelectric vehicles…

With plans to produce batteries for over 500,000 vehicles per year.

Given the amount of lithium required to supportthis huge projected market, lithium mining companies are experiencing a majorboost.

And one small company, United Lithium (CSE:ULTH; OTCMKTS:ULTHF), could be in a primeposition to benefit after agreeing to buy an exciting new property.

While North America has largely been explored alreadyover the last 50 to 100 years…

Europe’s seeing new opportunities that couldprove to be extremely lucrative in the days ahead.

And United Lithium is preparing to dive in attheir new Bergby Project in Sweden, once their purchase closes. They’ll jumpright on it, because the deal terms call for United to spend at least $1M onthe property in the first 18 months after closing.

Located near the world-famous Woxna Graphitemine and the new Northvolt lithium battery gigafactory, it’s in the perfect location…

This is why over the last year, shares havealready shot up an incredible 371%.

But as they prepare to close on Bergby and begintheir new drill program, there could be far more exciting news in store in thecoming months.

Here are 3 reasons to pay attention to UnitedLithium (CSE:ULTH; OTCMKTS:ULTHF):

1 - High-grade Lithium Near Surface

The new Bergby property covers an enormous 1,903hectares of land.

And it hasn’t taken long for them to get an ideaof what they may find in their upcoming drill program.

That’s because much of this untapped lithiumdeposit outcrops on the surface.

This means the production costs shouldn’t bedriven up by deep holes just to test what they’re sitting on.

They’ve got more promising data on the propertyfrom historical testing in recent years as well.

In 2017, 33 holes were drilled in the Bergbyproperty, and 27 of them struck lithium.

But even with 27 of 33 holes delivering positiveresults, this number could have been even higher if these initial holes wentdeeper under the surface.

While they’ve got an idea as to where thislithium-rich ore lies already, the project could grow much larger.

The deposit is open along strike to both thenorth and the south, so there’s no telling how much further the deposit couldrun in either direction.

And United Lithium (CSE:ULTH; OTCMKTS:ULTHF) has contracted to buy additional land to the west as well, incase the zone of mineralization spreads even further than expected.

Plus, this historical data is showing they maybe sitting on extremely high-grade lithium deposits.

While miners in Canada may be happy with 1.5% to2% lithium in the deposits, several of the holes have tested at 3% to 3.5%lithium on United’s new soon to be purchased property.

To put that into context, the theoreticalmaximum for lithium concentration in ore is up to around 7.5%...

But it would be nearly impossible for grades torun that high unless you were manually sorting the rocks and picking outlithium crystals by hand.

This may become incredible news for United, asnot only are they sitting on several holes that have already proven up lithiumore… 

But it’s shaping up in some places to be veryhigh-grade lithium which could be extremely valuable.

The discovery has already been made on theBergby property. Now United needs to define how big this discovery could be,prove up its commercial grade and determine economics.

2 - The Numbers Are Working In Their Favor

As United Lithium (CSE:ULTH; OTCMKTS:ULTHF) plows ahead with their plans to mine their new property, theyare avoiding a major pitfall many mining companies fall into.

Other junior miners have fallen into the trap ofchasing big discoveries… 

Only to come up empty-handed in terms of profitsbecause they’re not accounting for holes in the bucket.

While it’s important to find a lucrativeopportunity on the front-end, it’s just as important to keep expenses low whilepursuing these huge discoveries.

That includes lowering costs for drilling,processing, and transportation.

And in United’s case, they’re planning on keepingcosts down for all three.

With the deposit already showing lithiumoutcrops at the surface, they won’t waste precious cash wondering where todrill down in many cases.

Plus, they’ll be able to use more traditionalmethods to process the mineral, which helps lower their costs in that area aswell.

In other parts of the world like in Argentina,they need expensive technology to help extract the lithium on a large scale.

But with United’s Bergby play, they can moveahead using traditional mining methods…

Using simple flotation processes to help themkeep more of their money in hand.

And the location of their property in Sweden ismaking it quick and easy to transport whatever lithium they might developthere.

With the largest highway in Sweden runningthrough their property, the infrastructure leading to and from Bergby isincredible.

And while they’re just an easy drive away fromthe massive Northvolt lithium battery gigafactory, making it easy to transportby truck…

They’re also close to a major deep seaport,helping deliver it to other gigafactories in nearby markets when the time comes.

This cannot be overstated as Europe’s EV marketshave driven demand for lithium for EV batteries high sky high.

That’s helping United lock down the capital theyneed much easier than it would in other parts of the world.

They recently raised $4 million and have plansto raise an additional $8 million in the near future.

With the additional capital they expect tolockdown, they’ll have their drill program funded and ready to get started.

3 - Rapid Sale to the Massive European MarketWithout Tariffs

The location of the Bergby property could helpUnited (CSE:ULTH; OTCMKTS:ULTHF) take advantage of Europe’s booming EV battery market.

As they’re settled within 5 km of a deepseaport, this gives them easy access to ship lithium to nearby gigafactories inPoland, Germany, and other countries investing heavily in batteries.

And their location in central Sweden also putsthem closer to Stockholm than any other lithium mine in the country.

With the biggest highway in the country leadingthrough the property, it couldn’t be easier to deliver the mineral to theirnation’s capital to take advantage of the demand there, once the company isproducing commercial quantities.

This is all coming at a time when the EU justapproved billions more in subsidies to help develop the booming EV batteryindustry, helping them cut their reliance on China and Asian markets.

With this move, the EU have approved 2.9 billion euros to be granted to 12 countriesthroughout Europe,including Sweden…

And it’s set to “cover the whole productionchain, from mineral extractionto design, batterymanufacturing and recycling.”

That means United could have easier access toadditional capital for this and other projects in the area as they move ahead.

As the lithium battery markets are expected bysome analysts to hit $1 trillion in the next 5 years, investment in lithiummining is flowing heavily, particularly in Europe.

That places United (CSE:ULTH; OTCMKTS:ULTHF) in an excellent spot as they move forward with a promising,potentially high-grade lithium exploration project in a prime location todeliver throughout the region.

By. Olivia Keegan

**IMPORTANT! BY READING OUR CONTENT YOUEXPLICITLY AGREE TO THE FOLLOWING. PLEASE READ CAREFULLY**

Forward-Looking Statements

This article contains forward-lookinginformation which is subject to a variety of risks and uncertainties and otherfactors that could cause actual events or results to differ from thoseprojected in the forward-looking statements. Forward looking statements in this article include that demand for lithiumwill increase in future as currently expected; United Lithium’s business andplans, including with respect to undertaking further acquisitions, completingthe acquisition of Bergby, acquiring additional mineral claims nearby Bergby, complyingwith the terms of the Bergby acquisition and carrying out explorationactivities in respect of its mineral projects; that most of the lithium isreachable close to surface; that they can reduce costs compared to many similarprojects; and that they can raise $4M quickly. These forward-looking statementsare subject to a variety of risks and uncertainties and other factors thatcould cause actual events or results to differ materially from those projectedin the forward-looking information. Risks that could change or prevent these statements from coming tofruition include that the Company may not be able to finance its intendeddrilling programs, aspects or all of the property’s development may not besuccessful, their methods of mining of the lithium may not be cost effective; therisks that the acquisition does not complete as contemplated, or at all; that UnitedLithium does not complete any further acquisitions; that they do not acquirethe additional mineral claims in the region of the Project prior to March 21,2021; that United Lithium does not spend $1,000,000 on exploration work on theProject within 18 months from the Closing Date; the Company may not be able tocarry out its business plans as expected; changing costs for mining andprocessing; permits may not be granted for the mining projects; increasedcapital costs; the timing and content of upcoming work programs; geologicalinterpretations and technological results based on historical or even currentdata that may change with more detailed information or testing; potentialmineral recoveries assumptions based on limited test work with further testwork may not be viable; competitors may offer cheaper lithium; more productionof lithium could reduce its price, or the price may drop for other reasons;alternatives could be found for lithium in battery technology; the availabilityof  labour, equipment and markets for theproducts produced; and despite the current expected viability of its projects,that the minerals cannot be economically mined on its properties. Theforward-looking information contained herein is given as of the date hereof andthe writer assumes no responsibility to update or revise such information to reflectnew events or circumstances, except as required by law.

DISCLAIMERS

PAID ADVERTISEMENT. This communicationis a paid advertisement and is not a recommendation to buy or sell securities. Safehaven.com,Medtronics Ltd, and their owners, managers, employees, andassigns (collectively “the Company”) has been paid by United Lithium ninetythousand US dollars for this article and certain banner ads. In addition UnitedLithium has granted the Company stock options to acquire shares exercisable for2 years at at price of $0.86 per share.This compensation is a major conflictwith our ability to be unbiased. This communication is for entertainmentpurposes only. Never invest purely based on our communication.

SHARE OWNERSHIP. The owner of Safehaven.commay be buying and selling shares of this issuer for its own profit. Inaddition, Safehaven has been granted 1M stock options exercisable at a fixedprice. This is why we stress that you conduct extensive due diligence as wellas seek the advice of your financial advisor or a registered broker-dealerbefore investing in any securities.

NOT AN INVESTMENT ADVISOR. The Companyis not registered or licensed by any governing body in any jurisdiction to giveinvesting advice or provide investment recommendation. ALWAYS DO YOUR OWNRESEARCH and consult with a licensed investment professional before making aninvestment. This communication should not be used as a basis for making anyinvestment.

RISK OF INVESTING. Investing isinherently risky. While a potential for rewards exists, by investing, you areputting yourself at risk. You must be aware of the risks and be willing toaccept them in order to invest in any type of security. Don't trade with moneyyou can't afford to lose. This is neither a solicitation nor an offer toBuy/Sell securities. No representation is being made that any stock trade willor is likely to achieve profits. Comparisons made to other featured companiesor past performance is not indicative of future results.


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