THE ELECTRIC VEHICLE BOOM IS HERE
Now the most important question you're asking is. . .
"How do I make the most money from the coming boom in lithium?"
Just as I promised – here is the free report covering lithium and the must-own stock you need to have to profit from the coming boom in Electric Vehicles.
The company we're placing our lithium bet on is:
LSC Lithium Corporation (TSXV:LSC) (OTC: LSSCF)
LSC has a huge land package in Argentina's corner of the 'Lithium Triangle'. It covers an astonishing 300,000 hectares.
That’s roughly 300,000 rugby fields.
This means LSC Lithium owns the single largest lithium land package in all of northern Argentina - maybe even in the world. . .
and they’re not done adding to it yet.
As recently as November 6th, LSC purchased the Stella Marys project in Salinas Grandes, expanding their territory by another 1,500 hectares..
So far they have six major development projects. . .
•   Pozuelos
•   Pastos Grandes
•   Salinas Grandes (Salta)
•   Salinas Grandes (Jujuy)
•   Rio Grande
•   and Jama
And they have large positions in several other projects:
Early exploration results show high-grade lithium with low impurities - a very exciting sign. What's really important is their strategic and exclusive partnership with Enirgi Group.
Enirgi Group is a multinational conglomerate owned by a private equity firm, a firm that manages $2.7 billion in resource investments. Energi Group developed a proprietary method called DXP Technology - Direct Xtraction Process Technology - for turning raw brine into lithium carbonate.
And it is a game changer. . .
This process has lower construction costs, lower operating costs and reduces time to production by 24 months compared to traditional methods. In other words, while others take two years to turn their lithium ore (known as brine) into a sellable product, LSC will be accomplishing the same thing in only 24 HOURS!
And LSC has EXCLUSIVE RIGHTS to use DXP technology.
Here’s a side by side illustrating this industry changing leap in processing technology:
With the LSC/Enirgi partnership you have the best process to use in the best lithium area in the world.
So, what's next?
First quarter 2018 will prove a key value driver for LSC as the company begins to release resource estimates on their six projects. This will establish how much resource they are sitting on. And it will allow investors and institutions to be able to concretely value them.
Next up will be a series of preliminary economic assessments (PEA's), scoping studies, and feasibility reports. All key steps on the road towards becoming a lithium producer by 2020.
Every step closer to production will register in the minds of investors and reflect in the company’s valuation going higher.
And no other company in the space is better financed to execute these plans.
For example, the company has spent $100,000,000 on acquisitions, exploration, and development - all within the last 12 months.
In the last 6 months alone, the company raised $26,000,000. They are using that money on a daily basis to Expand lithium resources and add to their reserves advance technologies to make mining costs lower and move towards production that will generate cashflow for shareholders
This is why LSC is set to take off - but most importantly. . .
The commodity they are sitting on – lithium – has an exciting future, and they have the largest land package in Argentina's part of the high-grade Lithium Triangle (more on this below).
Their strategic partner, Enirgi Group, is a massive private company in the resource sector.
But best of all - they are significantly cheaper than their peers. . .
EVEN THOUGH THEY HAVE A LOT MORE LITHIUM RESERVES THAN THEIR MORE EXPENSIVE PEERS. . .
With the exclusive licensing to the innovative DPX process – it could be for lithium what fracking was to oil. . .
As the shift to Electric Vehicles continues, lithium prices will keep rising. All while LSC continues to uncover and add to their resources and move towards production – I expect them to trade much higher.
We analyzed five key categories that will determine which lithium stocks are set to be the biggest winners in the coming boom.
And LSC outperformed every company in all 5 Categories we analyzed.
They blow all the competition out of the water.
Check it out. . .
CATEGORY #1: 'BRINE' VS. ORE MINING
Lithium can be harvested from the earth in two ways:
1.   By mining ore like spodumene, petalite and lepidolite, then extracting the lithium via a series of chemical processes, or
2.   By utilizing Salar 'Brines': brines are underground reservoirs of highly concentrated dissolved salts like lithium, potassium, and sodium. This liquid is pumped to the surface and into ponds called salars, concentrated by evaporation, and later sent to production facilities for processing.
But which method is best for lithium producers?
BRINE.
And by a long shot.
Extracting lithium by ore mining is not a simple task. Suitable deposits are limited and remote. And the process is long and tedious.
After mining, the ore must be. . .
•   crushed
•   heated in a rotary kiln.
•   cooled.
•   milled.
•   Mixed with sulfuric acid.
•   Roasted. Then mixed with soda ash.
•   Then heated again, filtered, and dried.
And to boot, this process is completed in... China, adding further expenses and time to an already exhausting procedure. As a result, the 'brine' method is 50% cheaper, faster to market, and more environmentally friendly.
From an investor’s perspective, the brine method is the clear winner
CATEGORY #2: LITHIUM RESOURCE LOCATION
Just like oil, brine salars can be found in many places. And, just like oil, some are better than others.
One area in-particular stands out. It's been called The Saudi Aribia of lithium.
This special location is The Puna Plateau, also known as
THE LITHIUM TRIANGLE.
The brines within The Lithium Triangle boast the highest lithium concentrations of anywhere on the planet, accounting for a whopping 70% of global reserves.
You’ll find this vast area deep within the Andean Mountain range, 4,000 meters above sea level and spanning an incredible 1,800 kilometers.
Perhaps the single most important strategic resource reserve of our time, it’s split across three jurisdictions:
With such high concentrations and massive lithium reserves, it was clear to us that the natural benefactors of the EV revolution would be companies that were focused in this crucial area.
LSC impressed us as 100% of their land packages are located within the coveted “Lithium Triangle.”
With location being our first requirement in selecting a company to bet on, this is the best-case scenario.
CATEGORY #3: WHICH COUNTRY HAS THE MOST UPSIDE POTENTIAL
Since the 'Lithium Triangle' is spread across three countries - which one is the best to be in?
As an investor this is critical. You want the country that is housing and regulating your investment to run smoothly; the wrong jurisdiction can negate an otherwise fantastic deal; good judgement here is key.
We’ve done the work for you here, and as it turns out,
Not All Triangles Were Created Equally.
Bolivia has 43% of the world's known lithium reserves, but their infrastructure is severely under-developed.
Worse yet, their lithium reserves are polluted with high concentrations of magnesium, making the lithium extraordinarily expensive and complex to refine.
And, as lithium deposits in Bolivia are property of the state, investments here are off-limits to the private sector all together, so Bolivia isn’t an option. Then there is Chile. . .
Yes, the country does account for 36% of global lithium production. And there are vast resources available at low production costs.
But there are problems. Harsh regulations limit production and create a difficult barrier of entry. The biggest problem though, is the lack of fresh water. . .
Chile's corner of the Lithium Triangle – the Atatcama Basin – is the second driest place on earth. How Dry? Many parts of this basin have zero reports of rainfall in all of recorded history!
Why Is this important?
Remember, brines are essentially underground lakes, pumped to the surface and evaporated in ponds. Without consistent rainfall, these underground lakes dry up, and the resource is gone – forever.
Strict regulations and quotas limit lithium production in Chile precisely for this reason.
Unless mother nature decides to change the rainfall patterns of South America, we won’t be seeing any additional lithium coming from Chile
Strike Two.
That leaves us with Argentina. . .
And Here We Have A Winner!
Argentina is the only corner of the Lithium Triangle that has vast resources, the ability to scale, and is business friendly to the potential lithium investor.
Just a few years ago this wasn’t the case politically. . .
Under the rule of Cristina Fernandez de Kirchner, investors were subject to currency and import controls, outlandish export taxes, and a maze of regulatory hurdles sufficient to delay even simple shipments of machinery to infinity and wipe clear any hope of realizing profits
Luckily for us, Cristina’s rule came to an end in 2015. And thanks to the new presidency of business minded Maurico Macri, many of those problems have ended, and many more are on their way out, as he seeks to modernize Argentina into the most entrepreneurial, investment friendly nation in South America.
And considering Argentina is home to over 40% of the world's lithium reserves - this is exciting news for investors!
The brine salars here are some of the purest in the world - free from pollutants like magnesium.
And there’s more than enough rainfall to keep the brines replenished and producing for centuries to come.
Argentina boasts an incredible 9 million tons of lithium reserves, but only produces 12% of the world’s lithium.
To put that into context, Chile has 7.5 million tons of reserves and produces 36% of world production - even with the quotas.
This means the Argentinean lithium sector has significant room to grow compared to Bolivia and Chile.
The upside potential for investors is HUGE. As Argentina continues to scale, investors will take notice and rush in. .
As you might have guessed, The Company we like is in Argentina. And not only are all of their projects in 'The Lithium Triangle', their six projects cover an area of over 300,000 hectares! To put that in perspective, a professional rugby field is about the size of one hectare. . .
This means The Company owns the single largest lithium land package in all of northern Argentina.
Maybe even the world. . .
CATEGORY #4: ABILITY TO PRODUCE
Big, high-grade resource deposits are great.
But having a deposit without the means to produce is like having a car without gas. . .or should I say electric! And this is going to be a big problem for lithium companies. Most companies we investigated not only aren’t producing, they have no clear path or even plans to bring their deposits into production.
But as the lithium shortage develops into an international crisis, the companies that stand to benefit the most will be those with massive deposits AND the means to produce at scale.
That's why we focused on companies that have a clear and realistic path to production, and the ability to scale as demand hits historic highs and supply is nowhere to be found.
As the world’s top companies panic at the thought of being unable to produce anything that depends on lithium – such as iPhones and pacemakers and electric vehicles – there will be a rush into securing their own supplies.
Companies with lithium to sell will name their price.
And the buyers will pay. . .
Why?
Because a few short years from now, demand won’t simply outstrip supply,
Demand Will Dwarf Supply At Levels Never Before Seen In The Resource Sector.
In that climate, having the raw resource in the ground will only be half the question.
The second half will be,
“How much lithium can you produce, and when can I get it?”
To take full advantage of the situation, companies must be able to ramp up production - and ramp it up wildly.
This is going to be a real problem in the lithium sector.
Lithium producers cannot double production overnight; there are conditions – like infrastructure, supply chain, and capex to name a few- that limit the rate of expansion.
All this means that even if a company owns a great deposit, it won't benefit as much from a rising lithium price because they can't get it out of the ground. The real winners will be those who can produce.
And even for the producers that are operating, scaling up isn't always an option.
CATEGORY #5: MANAGEMENT
Every resource investor knows that who's running the company is a MAJOR FACTOR in its success. Bad management can wreak havoc on a great project. Good management can take a bad project and make it profitable. When good management gets pairs with great assets - the results are dynamite.
As you might expect, major and very successful players are at work behind the scenes here. It’s a matter of public record. . .
In 2005, a few intelligent and forward-looking entrepreneurs developed a thesis.
"Uranium demand will soon increase - and drastically."
They did their research and formed a company called UraMin. The strategy was simple: find great uranium projects in the best areas for the lowest prices. Pretty straight forward. . .
Eventually, they acquired 170 million pounds of uranium for only $4 million dollars and took their company public.
By 2007, their land portfolio proved so attractive that they were acquired by an international conglomerate for $2.5 billion dollars.
That is the kind of leadership and vision we want from management. To take advantage of a market when prices are low, develop it properly, and create huge shareholder returns
Look behind the curtains of This Company and you’ll find the same group of storied men. . .
•   Same CEO
•   Same Partners
•   Same Backers
•   Same Major Shareholders
•   Same Advisors
You won’t catch this group advertising their previous conquests, but it’s pretty clear they’ve reappeared on the scene to do it again.
So, to wrapping it all up. . .
You need lithium to fuel Electric Vehicles.
And as of right now, there just isn't enough lithium to go around.
That's why you need to invest in the company's that actually have lithium in the ground.
LSC has. . .
•   The quality lithium assets
•   The location
•   Management and backing
•   and an innovative unique processing method to lower costs
Thank you for reading and I hope it was worthwhile.
As we all know – huge money-making opportunities only come around maybe once or twice in an entire lifetime.
Don’t let this be the one that got away,
Cheers
Christoph Grizzard, The Fat Cat Investor
Disclosure

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