Connect with us

Energy & Critical Metals

Canadian Lithium Developer Receives US$100 Million Equity Infusion from Leading US Investment Group

Source: Streetwise Reports   11/24/2021

Standard Lithium Ltd.’s shares rose 22% after the firm reported that a Koch Investments Group subsidiary…

Published

on

This article was originally published by Streetwise Reports

Source: Streetwise Reports   11/24/2021

Standard Lithium Ltd.‘s shares rose 22% after the firm reported that a Koch Investments Group subsidiary has agreed to make a strategic investment in the company of CA$127.07 million via a direct private placement.

Lithium project developer Standard Lithium Ltd. (SLI:TSX.V; SLI:NYSE American), which is engaged in development, extraction and production of lithium carbonate, today announced that “Koch Strategic Platforms (KSP), a subsidiary of Koch Investments Group, will make a US$100 million investment in Standard Lithium through a direct private placement to support the company’s strategic development goals.”

The companies noted that the KSP’s decision to invest in Standard Lithium was made after extensive due diligence regarding Standard’s LiSTR DLE technology, its Lanxess project’s demonstration plant and its project development plans.

In addition to the direct equity investment, the two firms expect to pursue strategic opportunities with other Koch Industries affiliate companies to achieve Standard Lithium’s project development objectives. Specifically, the firms mentioned that Koch Engineered Solutions (KES) will be an excellent collaborative partner that can provide key process equipment, engineering, procurement, and construction services and Koch Minerals & Trading (KM&T) is well suited to handle trading of required materials and lithium products produced.

The company advised that the net proceeds from the investment will be used to continue and accelerate its first commercial Lanxess facility project and to advance its South West Arkansas Lithium Project. The funds will also be utilized to further improve and commercialize Standard’s modern lithium extraction and processing technologies that in turn will allow for even greater project expansion.

Standard Lithium’s CEO Robert Mintak commented, “We’re entering an important phase for Standard Lithium and we’re thrilled to be starting it with a globally recognized industrial leader like Koch Strategic Platforms as a partner…KSP has an impressive track record of investing in disruptive technologies and their backing is an important endorsement of the Company’s core technology, development plans and of our intent to make the Gulf Region a leading supplier of lithium resources.”

Koch Strategic Platforms’ President David Park remarked, “KSP is focusing on investing in companies with strong tailwinds that are disrupting the market as we know it. We are excited to invest in Standard Lithium as they pave a path forward towards lithium production here in the U.S. This is an exciting time for energy transformation and we believe KSP’s investment in Standard Lithium can help accelerate the production of lithium resources right here at home.”

The report indicated that through a direct private placement, KSP will invest a total of CA$127.07 million (US$100.0 million) in Standard Lithium. In exchange, KSP will receive 13,480,083 of Standard Lithium’s common shares at a price of CA$9.43 (US$7.42). The transaction is conditional upon adherence to certain statutory resale restrictions under U.S. and Canadian securities laws and remains subject to ordinary closing conditions and approval from TSX Venture Exchange.

Standard Lithium Ltd. is a lithium development and production company headquartered in Vancouver, B.C. The firm at present is engaged in testing and proving commercial viability of lithium extraction from greater than 150,000 acres of permitted brine operations at its Lanxess Project in southern Arkansas. The firm stated that at its flagship Lanxess south plant facility, it has it has commissioned “a first-of-a-kind industrial-scale direct lithium extraction demonstration plant that utilizes its proprietary LiSTR technology to selectively extract lithium from Lanxess’s tail brine.”

The company mentioned that its processes are environmentally friendly as there is no need to build evaporation ponds. In addition, Standard’s methods significantly reduce processing time and enhance lithium recovery yields. The firm noted that it is also actively pursuing a 30,000-acre property package of lithium resources in southwest Arkansas offering brine leases as well as 45,000 acres of mineral leases in San Bernardino Co., Calif.

Koch Strategic Platforms has offices in Atlanta, Ga. and Wichita, Kan. and is one Koch Investments Group’s six key subsidiaries along with Koch Asset Management, Koch Disruptive Technologies, Koch Equity Development, Koch Investment Management and Koch Real Estate Investments. KSP was established in 2020 with its efforts centered around making key strategic investments in both public and private high-growth companies across many industries that demonstrate innovative and disruptive potential.

Standard Lithium started the day with a market cap of around $1.3 billion with approximately 147.4 million shares outstanding. SLI shares opened more than 11% higher Friday at $9.68 (+$0.98, +11.26) over Thursday’s $8.70 closing price. The stock traded Friday between $9.18 and $10.74 per share and closed for trading at $10.63 (+$1.93, +22.18%).

Sign up for our FREE newsletter at: www.streetwisereports.com/get-news

Disclosure:
1) Stephen Hytha compiled this article for Streetwise Reports LLC and provides services to Streetwise Reports as an independent contractor. He or members of his household own securities of the following companies mentioned in the article: None. He or members of his household are paid by the following companies mentioned in this article: None.
2) The following companies mentioned in this article are billboard sponsors of Streetwise Reports: None. Click here for important disclosures about sponsor fees.
3) Comments and opinions expressed are those of the specific experts and not of Streetwise Reports or its officers. The information provided above is for informational purposes only and is not a recommendation to buy or sell any security.
4) The article does not constitute investment advice. Each reader is encouraged to consult with his or her individual financial professional and any action a reader takes as a result of information presented here is his or her own responsibility. By opening this page, each reader accepts and agrees to Streetwise Reports’ terms of use and full legal disclaimer. This article is not a solicitation for investment. Streetwise Reports does not render general or specific investment advice and the information on Streetwise Reports should not be considered a recommendation to buy or sell any security. Streetwise Reports does not endorse or recommend the business, products, services or securities of any company mentioned on Streetwise Reports.
5) From time to time, Streetwise Reports LLC and its directors, officers, employees or members of their families, as well as persons interviewed for articles and interviews on the site, may have a long or short position in securities mentioned. Directors, officers, employees or members of their immediate families are prohibited from making purchases and/or sales of those securities in the open market or otherwise from the time of the decision to publish an article until three business days after the publication of the article. The foregoing prohibition does not apply to articles that in substance only restate previously published company releases.

 

( Companies Mentioned: SLI:TSX.V; SLI:NYSE American,
)

tsx
tsx venture
nyse
tsxv
lithium

Author: Author

Energy & Critical Metals

Eagle Bay Advisors LLC Boosts Position in Brookfield Asset Management Inc. (NYSE:BAM)

Eagle Bay Advisors LLC grew its holdings in shares of Brookfield Asset Management Inc. (NYSE:BAM) (TSE:BAM.A) by 161.9% during the 3rd quarter, Holdings…

Eagle Bay Advisors LLC grew its holdings in shares of Brookfield Asset Management Inc. (NYSE:BAM) (TSE:BAM.A) by 161.9% during the 3rd quarter, Holdings Channel.com reports. The institutional investor owned 4,846 shares of the financial services provider’s stock after acquiring an additional 2,996 shares during the quarter. Eagle Bay Advisors LLC’s holdings in Brookfield Asset Management were worth $258,000 at the end of the most recent quarter.

Several other institutional investors and hedge funds have also bought and sold shares of BAM. Strategic Blueprint LLC purchased a new position in shares of Brookfield Asset Management during the second quarter valued at approximately $36,000. Delta Asset Management LLC TN increased its stake in shares of Brookfield Asset Management by 226.9% during the third quarter. Delta Asset Management LLC TN now owns 899 shares of the financial services provider’s stock valued at $48,000 after buying an additional 624 shares during the period. Huntington National Bank increased its stake in shares of Brookfield Asset Management by 134,100.0% during the third quarter. Huntington National Bank now owns 1,342 shares of the financial services provider’s stock valued at $72,000 after buying an additional 1,341 shares during the period. JNBA Financial Advisors boosted its position in shares of Brookfield Asset Management by 87.4% during the third quarter. JNBA Financial Advisors now owns 1,876 shares of the financial services provider’s stock valued at $100,000 after purchasing an additional 875 shares in the last quarter. Finally, SG Americas Securities LLC bought a new stake in shares of Brookfield Asset Management during the second quarter valued at approximately $101,000. 59.95% of the stock is currently owned by hedge funds and other institutional investors.

BAM has been the topic of several research reports. Deutsche Bank Aktiengesellschaft dropped their price target on Brookfield Asset Management from $62.00 to $59.00 in a research report on Thursday, January 13th. Citigroup lowered Brookfield Asset Management from a “buy” rating to a “neutral” rating and dropped their price target for the company from $68.50 to $61.00 in a research report on Wednesday. Credit Suisse Group lifted their price target on Brookfield Asset Management from $54.00 to $63.00 and gave the company a “neutral” rating in a research report on Wednesday, November 10th. Zacks Investment Research downgraded Brookfield Asset Management from a “buy” rating to a “hold” rating in a report on Friday, October 15th. Finally, TD Securities boosted their target price on Brookfield Asset Management from $71.00 to $72.00 and gave the stock an “action list buy” rating in a report on Monday, November 8th. Four equities research analysts have rated the stock with a hold rating, six have assigned a buy rating and one has issued a strong buy rating to the company. According to data from MarketBeat, the stock has a consensus rating of “Buy” and an average price target of $64.40.

Brookfield Asset Management stock opened at $52.28 on Friday. The stock has a market cap of $85.77 billion, a PE ratio of 24.54 and a beta of 1.30. The company has a debt-to-equity ratio of 1.31, a quick ratio of 0.82 and a current ratio of 1.00. Brookfield Asset Management Inc. has a one year low of $38.36 and a one year high of $62.20. The stock has a fifty day moving average of $57.68 and a 200 day moving average of $56.69.

Brookfield Asset Management (NYSE:BAM) (TSE:BAM.A) last posted its quarterly earnings data on Wednesday, November 10th. The financial services provider reported $0.47 EPS for the quarter, missing analysts’ consensus estimates of $0.92 by ($0.45). The firm had revenue of $19.25 billion for the quarter. Brookfield Asset Management had a net margin of 4.91% and a return on equity of 2.90%. During the same period in the previous year, the business posted $0.65 EPS.

The company also recently disclosed a quarterly dividend, which was paid on Friday, December 31st. Investors of record on Tuesday, November 30th were given a dividend of $0.13 per share. This represents a $0.52 dividend on an annualized basis and a yield of 0.99%. The ex-dividend date was Monday, November 29th. Brookfield Asset Management’s dividend payout ratio (DPR) is presently 24.41%.

Brookfield Asset Management Company Profile

Brookfield Asset Management, Inc engages in the management of public and private investment products and services for institutional and retail clients. It operates through the following segments: Asset Management, Real Estate, Renewable Power, Infrastructure, Private Equity, Residential Development, and Corporate Activities.

See Also: LIBOR

Want to see what other hedge funds are holding BAM? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Brookfield Asset Management Inc. (NYSE:BAM) (TSE:BAM.A).

Institutional Ownership by Quarter for Brookfield Asset Management (NYSE:BAM)

The post Eagle Bay Advisors LLC Boosts Position in Brookfield Asset Management Inc. (NYSE:BAM) appeared first on ETF Daily News.

Continue Reading

Energy & Critical Metals

Putin Has The Power To Intensify Europe’s Energy Crisis

Putin Has The Power To Intensify Europe’s Energy Crisis

By Haley Zaremba of OilPrice.com,

Summary

Europe’s energy crisis has already…

Putin Has The Power To Intensify Europe’s Energy Crisis

By Haley Zaremba of OilPrice.com,

Summary

  • Europe’s energy crisis has already cost governments tens of billions of dollars and a looming confrontation with Russia would only make that worse.

  • European households are already set to see a 54% increase in the cost of gas and electricity despite the best efforts by governments to keep prices down

  • Russia provides about 40% of Europe’s natural gas, and if Russia does invade Ukraine and European governments respond with sanctions, there is a chance that supply could be cut off

    Europe’s energy crunch is intensifying even as governments across the continent struggle to stop the crisis through stop-gap policy measures and subsidies. The past year has seen a stunning 330% surge in gas prices across European markets, hitting consumers extremely hard at the same time that the global economy is attempting to recover from and adapt to the ongoing novel coronavirus pandemic. To date, European governments have been largely helpless to stop skyrocketing inflation. The forces they are up against – economic, health, and political – far outgun the abilities of the European Union. 

    So far European leaders “have spent tens of billions of euros trying to shield consumers from record-high energy prices, and themselves from voters’ wrath” according to reporting and analysis by Reuters, but the efforts are going to fall far, far short of the economic fallout continuing to batter European consumers. “BofA analysts estimate the average western European households spent around 1,200 euros ($1,370) a year on gas and electricity in 2020,” Reuters writes. “Based on current wholesale prices, they estimate this will rise by 54% to 1,850 euros.”

    Efforts to protect consumers and impose damage control on energy markets have included removing VAT taxes on home energy bills, sending relief directly to impoverished households, and, in some cases, staking moratoriums on crypto-currency mining, a remarkably energy-intensive practice that is sapping many Eastern European energy grids dry as miners capitalize on subsidized energy costs in poor countries including Kazakhstan and Kosovo. However, these measures don’t hold a candle to the crisis continuing to unfold. “Measures announced so far in western Europe will only cover about a quarter of the price rises on average,” Harry Wyburd, European utilities analyst at Bank of America Securities, was quoted by Reuters.

    With inadequate policy power to combat the crisis and increasing geopolitical tensions in the region, the crisis is set to get much, much worse. Ubiquitous supply chain woes continue to disrupt the energy sector and render supplies unable to keep up with demand. Furthermore, geopolitics are making the situation worse as oil-rich Russia tightens its grip on Europe as the continent becomes increasingly dependent on the Kremlin to keep the lights on. Russia provides around 40% of Europe’s natural gas and over 50% of Germany’s. It has been speculated that Russian President Vladimir Putin is refusing to open the taps and meet Europe’s need for natural gas because of the leveraging power it gives Moscow to further their interests and push through initiatives such as the Nord Stream 2 pipeline.

    The pipeline, which would pump Russian liquefied natural gas straight to Germany, bypassing Ukraine entirely by way of the Baltic Sea, is a point of major geopolitical tensions, as many in the west think that it would give the Kremlin far too much power over European markets, increasing Russia’s already prodigious political sway in the region. While the pipeline is already under construction, Moscow is waiting on the greenlight from Berlin to bring it online. Berlin, however, is under severe pressure to hold off on the project and avoid kowtowing to Russia, especially at a time when the nation’s aggression is becoming worryingly unchecked and an invasion of Ukraine is on the cards. 

    The potential coup brewing presents a major energy security threat to Europe at a time that the energy economy is already in crisis. “Should Russia choose to cut off the supplies in the middle of winter in response to the imposition of Ukraine-related sanctions, energy costs would skyrocket and millions could shiver amid power outages,” Axios reported on Monday in an article titled “Europe’s energy reliance on Russia is a crucial shield for Putin.” If this supply cut-off does indeed come to pass in retaliation to sanctions being threatened by world leaders including United States President Joe Biden, Goldman Sachs projects that the conflict could curb gas supply to Europe indefinitely

    Tyler Durden
    Fri, 01/28/2022 – 05:00



    Author: Tyler Durden

    Continue Reading

    Precious Metals

    The Mining Companies Leading the Way in ESG

    Fortescue Metals and Boliden are among the companies best positioned to take advantage of future ESG disruption in the mining industry…

    Fortescue Metals and Boliden are among the companies best positioned to take advantage of future ESG disruption in the mining industry, our analysis shows.

    The assessment comes from GlobalData’s Thematic Research ecosystem, which ranks companies on a scale of one to five based on their likelihood to tackle challenges like ESG and emerge as long-term winners of the mining sector.

    According to our analysis, Fortescue Metals, Boliden, Gold Fields, Teck Resources, Polyus, Kirkland Lake gold, Polymetal International, and AngloGold Ashanti are the companies best positioned to benefit from investments in ESG, all of them recording scores of five out of five in GlobalData’s Mining Thematic Scorecard.

     

    The table below shows how GlobalData analysts scored the biggest companies in the mining industry on their ESG performance, as well as the number of new ESG jobs, deals, patents, and mentions in company reports since January 2021.

     

    The final column in the table represents the overall score given to that company when it comes to their current ESG position relative to their peers. A score of five indicates that a company is a dominant player in this space, while companies that score less than three are vulnerable to being left behind. These can be read fairly straightforwardly.

    The other datapoints in the table are more nuanced, showcasing recent ESG investment across a range of areas over the past year. These metrics give an indication of whether ESG is at the top of executives’ minds now, but high numbers in these fields are just as likely to represent desperate attempts to catch-up as they are genuine strength in ESG.

    For example, a high number of mentions of ESG in quarterly company filings could indicate either the company is reaping the rewards of previous investments, or it needs to invest more to catch up with the rest of the industry. Similarly, a high number of deals could indicate that a company is dominating the market, or that it is using mergers and acquisitions to fill in gaps in its offering.

     

    This article is based on GlobalData research figures as of 21 January 2022. For more up-to-date figures, check the GlobalData website.

     

    The post Revealed: The mining companies leading the way in ESG appeared first on Mining Technology.

    gold

    Continue Reading

    Trending