Standard Lithium (SLI) Update - Jan 18

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dan_s
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Standard Lithium (SLI) Update - Jan 18

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Standard Lithium hosted our luncheon in Houston today at The Ballroom at Tanglewood, which took over the old Hess Club. They have upgraded the facility and the food was very good. We had 30 attendees.

Here is what I learned today:
 Standard Lithium recently did an equity deal with Koch Industries (one of the largest private companies in the U.S.), Koch invested $100US million in SLI common stock.
 As of 9-30-2022, SLI had $94 million in working capital, which is more then enough to get their Smackover Facility Project through 3 phases of development and producing battery quality lithium carbonate in commercial quantities by 2025.
Once at full speed, the Smackover Facility is expected to produce 22,500 tonnes per year of battery quality lithium carbonate, which compares to total U.S. production today of just 4,000 tonnes per year.
 By 2030 the U.S. automakers will require over 100,000 tonnes per year of lithium to come close to current EV projections.
 The Company’s 2nd project is called the Southwest Arkansas Project that is in the early stages of development, but it is in an area of the Smackover Trend that has higher levels (more profitable) of lithium in the brine.
 The Smackover that extends from East Texas to the Florida panhandle is one of the world’s largest brine aquifers and it contains lots of lithium. It has the potential to become the “Permian Basin” of lithium if SLI’s “DLE Technology” works.
 SLI’s commercial agreements with LanXESS, a German chemical company (a Bayer spinoff), is extremely important to the success of Smackover Facility Project. They have been operating the current facilities for over 60 years.

If you'd like to see the slides that Robert Mintak (SLI's CEO) spoke from on Jan 18 send an email to Sabrina at energyprospectus@gmail.com and she will forward it to you.
Dan Steffens
Energy Prospectus Group
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