Thread by @RangaMberi, Unpopular facts thread on lithium: First, about Bikita, then Zim lithium in [...]

Unpopular facts thread on lithium:
First, about Bikita, then Zim lithium in general.
1. Bikita does NOT export “lithium”, and certainly not 500 tons/day. Facts below: https://twitter.com/fmaguwu/status/1525380513896226816

https://twitter.com/fmaguwu/status/1525380513896226816

2. There are 2 ‘types of lithium’:

Bikita exports petalite. Used in ceramics (tiles, glass, kitchenware). The petalite Bikita exports is fully beneficiated; added AS IS in manufacturing.
The company does not yet mine spodumene, which bears the lithium used for batteries

3. Now, what about “Chinese” takeover?
Bikita been mining for 50+ years. Who owns it?
74% held by African Metals Management Services & Southern African Metals and Minerals (owned by German investor Wilfried Pabst). Other shareholders are Bishop Mutendi & Dzikamai Mavhaire

4. Sinomine in Feb announced it wanted to buy Bikita for $180m. They had a disclaimer on need to expand exploration; only potential for ‘spodumene’ there. Deal not yet done, so Sinomine hasn’t “hit the ground running”

Details here https://newzwire.live/chinas-sinomine-joins-queue-of-lithium-buyers-with-us180m-deal-for-bikita-minerals

China's Sinomine joins queue of lithium buyers with US$180m deal for Bikita Minerals - newZWire

Sinomine is spending US$180 million to buy Zimbabwe's Bikita Minerals, joining a growing list of lithium firms seeking new assets abroad

https://newzwire.live/chinas-sinomine-joins-queue-of-lithium-buyers-with-us180m-deal-for-bikita-minerals

5. Now, about Zim lithium in general. There’s been a lot of interest in Zim’s lithium potential. Here’s a list of deals over the past half year alone. Chinese and UK firms mostly https://newzwire.live/chinas-sinomine-joins-queue-of-lithium-buyers-with-us180m-deal-for-bikita-minerals

China's Sinomine joins queue of lithium buyers with US$180m deal for Bikita Minerals - newZWire

Sinomine is spending US$180 million to buy Zimbabwe's Bikita Minerals, joining a growing list of lithium firms seeking new assets abroad

https://newzwire.live/chinas-sinomine-joins-queue-of-lithium-buyers-with-us180m-deal-for-bikita-minerals

6. Now, ‘why don’t we just make batteries here’
Sorry. Not gonna happen.

Battery makers want to be near their markets, places with high EV demand, and with raw materials available.
See here why Chile, world’s biggest lithium miner, has no factory https://www.reuters.com/article/us-chile-lithium-focus-idUSKCN1UC0C8

How lithium-rich Chile botched a plan to attract battery makers

(Reuters) - In March 2018, the Chilean government unveiled big news: Corporate investors, including South Korean electronics giant Samsung, would build three factories in Chile to produce battery...

https://www.reuters.com/article/us-chile-lithium-focus-idUSKCN1UC0C8

7. As for China? It has 80% of global Li-ion manufacturing.
Since 2018, Chinese companies bought over $6bn worth of lithium mining projects globally. In 2021, Oct, Chinese firms had bought 6.4m tons of Li resources. Almost matches 6.8 Mt bought by ALL, the other companies in 2020

8. So, reality check: any new investor in a lithium mine today ANYWHERE is most likely Chinese. Spread that fact on toast and swallow it.
Biggest Zim deal so far: Huayou’s buying Arcadia for $422m. Arcadia was owned by Australia-listed Prospect.
Details https://newzwire.live/analysis-chinese-battery-giant-is-buying-zimbabwes-arcadia-lithium-mine-for-us422m-heres-what-you-need-to-know/

ANALYSIS | Chinese battery giant is buying Zimbabwe's Arcadia lithium mine for US$422m. Here's what...

EV batteries giant Huayou is buying a Zimbabwean lithium mine for US$422m. We dig into Prospect, the latest deal, and the future of lithium

https://newzwire.live/analysis-chinese-battery-giant-is-buying-zimbabwes-arcadia-lithium-mine-for-us422m-heres-what-you-need-to-know/

9. We could say ‘hatidi ne lithium yedu unless it’s as batteries’. Fair. Reality is Zim lithium is mined from hard rock. In Chile etc, it’s found in brine (salt plains). Cheaper to mine. Won’t always be scarce. So we need a balance; a policy that maximises our earnings

10. Problems on Zim lithium:
1. Govt has NO lithium policy yet to govern sector. ZanuPF’s inept, unpatriotic resource stewardship feeds ‘looting’
2. Blaming private investors selling to each other.
2. Belief that we can make lithium batteries. Just plain faith, zero facts

11. Not an expert, just going on current info and talking to those in the know: best is to push for local production of battery-grade lithium carbonate while demand remains. Prospect already produced samples of this.
Happy to learn from experts

Since Nov 2021, Zim has seen a rush of lithium transactions, with total values of around US$700m.
Definitely something we need to track.
A list here: https://newzwire.live/taking-stock-zimbabwes-us700m-lithium-deals/

Taking stock | Zimbabwe's US$700m lithium deals - newZWire

Foreign investors have made deals worth US$700m in Zimbabwean lithium assets since late 2021. Here is a summary of who is buying what

https://newzwire.live/taking-stock-zimbabwes-us700m-lithium-deals/

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