When they tell you that Peru will be the new Venezuela, you must see this!

The international analysts were wrong, Mexico achieves important investments despite nationalizing strategic resources!

EXPERTS ARE WRONG AGAIN! FACTORIES CLOSED IN THE US AND OPENED IN MEXICO. AMLO GREAT ECONOMIST

Mexico is moving forward with plans to nationalize its emerging lithium industry after a member of the ruling Morena party introduced a bill in parliament last week requiring the battery metal to be considered the exclusive property of the nation, with government controlled production.

Alejandro Armenta, head of the Senate finance commission, proposes the creation of a new state entity, LitioMex, to regulate lithium mining.

While the silver-rich country is not a lithium producer, the situation is about to change when Bacanora Minerals (LON: BCN) and JV partner Ganfeng Lithium begin commercial production at their Sonora project, which is expected. by 2023.

The mine will initially produce 17,500 tonnes of lithium per year. At full capacity, Sonora will generate 35,000 tons of battery metal a year.

let`s watch Sonora

While the silver-rich country is not a lithium producer, the situation is about to change when Bacanora Minerals (LON: BCN) and JV partner Ganfeng Lithium begin commercial production at their Sonora project, which is expected. by 2023.

The mine will initially produce 17,500 tonnes of lithium per year. At full capacity, Sonora will generate 35,000 tons of battery metal a year.

Hong Kong-listed Ganfeng, which has arrangements to supply lithium to South Korea`s Tesla and LG Chem, recently increased its stake from 22.5% to ?? 50% in the project, which it believes is "world-class ”.

Chief Executive Officer Wang Xiaoshen has expressed his reservations about the country`s plans for its lithium industry.

“Nationalization may not be a good idea; there are many bad examples of resource nationalization, ”Wang told FT.com in September. “An example is Bolivia. There are large lithium resources there, but for many years no projects have been built because Bolivians do not allow foreign companies to own mining properties. That is a great obstacle to attracting investment. "

However, Armenta claims that the value of Mexico`s lithium resources is more than four times the country`s sovereign debt and as such could be a solution to the nation`s current economic problems.

Lithium prices are expected to rise in two years, when market shortages start to emerge caused by reduced production and halted expansions.

Publication Date: 2021-05-02

Source: El Chapucero