Latin Resources
Financials:
Primary ticker: ASX:LRS, FRA:XL5
Stage of development: Exploration, Development
Primary minerals: Lithium and Halloysite/ Kaolin
Project to promote: Salinas Lithium Project
Project location: Brazil
Website: www.latinresources.com.au
Latin Resources Limited (ASX: LRS) is an Australian-based mineral exploration company, with projects in South America and Australia, that is developing mineral projects in commodities that progress global efforts towards Net Zero emissions.
The Company is focused on its flagship Salinas Lithium Project in the pro-mining district of Minas Gerais Brazil, where the Company has its maiden resource drilling definition campaign underway. Latin has appointed leading mining consultant SGS Geological Services to establish a JORC Mineral Resource and commence feasibility studies at the Salinas Lithium Project. Latin also holds the Catamarca Lithium Project in Argentina and through developing these assets, aims to become one of the key lithium players to feed the world’s insatiable appetite for battery metals.
The Australian project, the Cloud Nine Halloysite-Kaolin Deposit is being tested by CRC CARE aimed at identifying and refining halloysite usage in emissions reduction, specifically for the reduction in methane emissions from cattle.
Cash: AUD$33.5M
Debt: /
Major shareholders:
Integra Capital – 9.7%
Directors & Management – 4%
Electrification and Decarbonization AIE LP – 4.8%
HSBC Nominees – 5%
BNP Paribas Nominees – 5.5%
Management Ownership – 4%
Management Profile
Christopher Gale – Managing Director
Christopher (Chris) Gale is the founder (2008) and Executive Director of Latin Resources. Mr Gale has extensive experience in senior management roles in both the public and private sectors, especially in commercial and financial roles. He has also held various board and executive roles at several mining and technology companies during his career.
Mr Gale is also a non-executive Chairman of Solis Minerals Limited (ASX:SLM TSXV: SLMN) (appointed July 2018) and Executive Chairman of Oar Resources Limited (ASX: OAR). Chris is the former Chairman of the Council on Australian Latin American Relations (COALAR) from 2012 to 2018, which was established by the Australian Government Department of Foreign Affairs and Trade (DFAT) in 2001.
He is a founding director of Allegra Capital, a boutique corporate advisory firm based in Perth and is a member of the Australian Institute of Company Directors (AICD).
What is your rationale for taking part 121 Mining Investment?
Require market support and potential funding to build plant
What recent news would you like to highlight to investors attending?
9 August 2022 – Commencement of Feasibility Studies for Salinas Project
27 July 2022 – Drilling continues to show high-grade Lithium – Salinas
13 July 2022 – Salinas Tenement Extended
19 May 2022 – Salinas Resource Definition Commences
What are your key goals in 3 months, 6 months, 12 months?
3 Months:
Commencement of Feasibility Studies and Maiden JORC Resource for Salinas Lithium Project
Upgrade of JORC Resource at Cloud Nine
6 Months:
Completion of PEA and progressing directory to DFS for Salinas Lithium Project
Commissioning of DMS pilot plant at the Salinas Lithium Project
12 Months:
Completion of DFS for Salinas Lithium Project
Offtake agreements signed with major battery manufactures
What do you see as the key risks and challenges facing your company at the moment and how are you overcoming these?
Development risk is a consideration. However, the company can point to:
Strong support from investors, including cornerstone investor the Electrification & Decarbonization Fund, who are strongly aligned with the long-term goals of the company
Engagement of highly experience mining consultants, SGS, with experience in the Minas Gerais region; experience in the development of lithium projects.
What do you think makes your company such a compelling investment?
Latin Resources is in the right commodity at the right time, as strong global demand for lithium continues to be driven by the rising need for energy storage to facilitate the energy transition and the race to net zero emissions.
The Salinas Lithium Project is located next to the largest lithium hardrock deposit in the Americas, in a pro-mining jurisdiction, near all relevant infrastructure, positioned for offtake into North America.
Proactive management team working on an accelerated program to define and develop this exciting project. The company aims to become top tier lithium producer within three years of defining a JORC Resource.
What are the top 3 key investor takeaways?
1. Positioned for success: located in pro-mining Brazil, near all infrastructure and high-quality producing assets, with an accelerated drilling program underway to define a maiden JORC Mineral Resource at the Salinas Lithium Project, Brazil.
2. Progressing to development: Engaged with highly experienced mining consultants SGS for mineral resource definition; commencement of feasibility studies and pilot plant design.
3. Offtake advantage: Preliminary discussions with several international car and battery manufacturers as well as leading lithium trading houses with respect to future supply of its lithium product.