This week (7.28-8.1) overseas lithium news [SMM Weekly Overseas New Energy News]

[Nigeria Seizes Foreign-Owned Lithium Mine in Case Involving Over 8 Billion Yuan]

Recently, the Mining Enforcement Team of the Nigeria Security and Civil Defence Corps (NSCDC) shut down an illegal lithium mining site in Libata, Ngaski Local Government Area of Kebbi State. The enforcement team accused the company of violating mining regulations and illegally profiting over 1.43 trillion naira (approximately 8.447 billion yuan) within two years, allegedly defrauding the federal government.

The operation was conducted under the authorization of the Federal High Court, with the involved company currently under investigation for large-scale mineral theft and multiple violations. It is reported that the company allegedly colluded with foreign individuals to illegally mine lithium ore worth over 1.43 trillion naira without obtaining legal permits.

Regulatory authorities pointed out that the company severely exceeded the scope stipulated in its Small-Scale Mining License (SSML) and Exploration License, unlawfully entering legally licensed mining areas owned by others, constituting illegal encroachment. This behavior violated Section 46(2) of the Minerals and Mining Act 2007 and Section 48 of the Nigerian Mining Regulations 2011, causing significant financial losses to the state and undermining the legal protection of mineral resources.

Joint enforcement officers inspected the mine and officially closed the illegal mining site. Although investigators repeatedly summoned the directors of "Three Crown Mines," they refused to appear, citing "inconvenience," which drew strong dissatisfaction from the enforcement team, who warned against delaying the investigation under false pretenses.

Source: SMM New Energy

[EnergyX Expands US Smackover Holdings to Reduce Lithium Costs]

This month, EnergyX, a lithium technology startup backed by General Motors, increased its holdings in the Smackover region to 47,500 acres after acquiring an additional 35,000 acres for $26 million in cash and stock. Smackover is an underground geological formation rich in lithium brine, stretching from Florida to Texas, potentially containing over 4 million mt of lithium, sufficient to power millions of EVs and other electronic devices.

EnergyX's latest acquisition positions it among the key players in the region, with its holdings bordered by 125,000 net acres controlled by Chevron and 120,000 gross acres held by Exxon.

The private company has been growing rapidly. Its recent moves include securing 90,000 acres of mining concessions in Chile in 2023 and acquiring a 40,000-square-foot production facility in Austin, Texas, in 2024.

These acquisitions were also crucial for the company, which made headlines in 2022 when it was disqualified from mining lithium ore in Bolivia alongside Argentina's Tecpetrol due to technical issues.

Bolivia had attempted to collaborate with foreign firms to develop its abundant lithium resources. The Latin American country holds the world's largest lithium reserves but has struggled for decades to commercialize mining operations.

Source: ming.com

[POSCO Offers $62 Million in Cash to Acquire Assets of Argentina's Lithium South]

Lithium South announced it received a $62 million cash offer from South Korea's POSCO for its exploration asset portfolio in Argentina's Hombre Muerto salt lake.

The company's primary asset is the 100%-owned Hombre Muerto North (HMN) project in Salta Province, comprising nine mining concessions totaling 56.9 square kilometers. It also holds purchase options for two additional nearby mining blocks covering 55.5 square kilometers combined.

Last year's updated preliminary economic assessment for HMN showed the project has a post-tax net present value (at an 8% discount rate) of $934 million, an internal rate of return of 31.6%, a mine life of 25 years, and a payback period of 2.5 years.

Annual LCE production is projected at 15,600 mt, based on proven solar evaporation technology and measured resources of 1.58 million mt LCE across three concession areas: Alba Sabrina, Natalia Maria, and Tramo. Since releasing the assessment, Lithium South has pursued further exploration at HMN to expand resources and conduct feasibility studies. Just last week, the company stated plans to develop a comprehensive development plan covering all feasibility stages, from construction to commissioning, aiming to submit reports by Q1 2026.

Following the project sale announcement, Lithium South's share price surged 28%, bringing its market capitalization to C$35.3 million.

Source: ming.com

[Miners Warn of Intensifying Pressure as EV Demand Weakens]

The global lithium market has been volatile for years, now further complicated by slower-than-expected EV demand growth and the US President Donald Trump's withdrawal of regulatory support. Prices for this battery metal hit record highs in 2022 before plunging nearly 90% due to severe supply surplus.

Liontown stated on Tuesday that some lithium originally destined for Ford was resold to a Chinese buyer, indicating the challenges facing the US are rippling through the supply chain. The US automaker's EV sales plummeted in Q2, prompting a comprehensive strategic overhaul.

"The reality is, the EV market landscape has undergone substantial changes over the past few years. We see an opportunity to represent Ford in selling these volumes to new customers who need the product," said Grant Donald, Chief Commercial Officer of Liontown, during Tuesday's investor briefing.

Source: ming.com

[Spark Discovers New Lithium-Bearing Pegmatite Zone in Brazil's Lithium Valley]

Eugene Hodgson reports from Vancouver, British Columbia that Spark is rapidly advancing its flagship Arapaima project in Brazil's Lithium Valley, identifying potential lithium mineralization. Field trips revealed extensive weathered pegmatite (containing residual quartz-feldspar-tourmaline) veins—the primary geological host for lithium in the region.

Over the past five weeks, more than 90 samples (including surface rock fragments and stream sediments) were collected from tourmaline-bearing quartz gravels and pegmatite vein areas. This data will help Spark prioritize drilling targets within the broader lithium pegmatite deposits already identified in Brazil's Lithium Valley.

"The geological features discovered at Arapaima are highly compelling," noted Jon Hill, VP of Exploration at Spark. "We've mapped multiple pegmatite zones at surface, identified key indicator minerals, and observed structural characteristics consistent with other known lithium-bearing systems in Brazil's Lithium Valley. The scale and consistency of these indicators suggest a potentially well-developed pegmatite system. Forthcoming assay results will be critical for advancing our drilling targets."

Source: Junior of ming