By Larry W. Reaugh – President & CEO of RecycLiCo Battery Materials
Last week, cleantech analysis and consulting firm Kachan & Co. published a report analyzing RecycLiCo Battery Materials, our unique hydrometallurgical process and the opportunities for the future development of the electrolytic manganese market. This positive report validated that RecycLiCo Battery Materials has designed an extraction and refinement process of low grade manganese ore that not only could make our company the lowest cost producer of electrolytic manganese metal globally but also positions us as a mining company with minimal environmental impacts.
The Kachan report entitled “RecycLiCo Battery Materials’s Clean Extraction Process” was commissioned by RecycLiCo Battery Materials as an independent review of the company, our Artillery Peak property and our patent pending hydrometallurgical process. The report was in-depth in its analysis of the company and the manganese market; Kachan & Co. conducted 38 interviews for this report, including speaking with eight battery companies, a top 5 global consulting firm, an industrial strategy consulting firm and two cleantech-specific consulting firms. In addition, six investment bank/hedge fund mining analysts were interviewed, along with two cleantech fund managers, 10 mining firms or consultancies familiar with manganese, two mining companies in rare earths, two universities, two mining info databases, two independent battery research labs, the International Manganese Institute, the U.S. National Mining Association, Canadian Mining Association, World Steel Association and various government agencies.
The final analysis came to similar conclusions that we at the company have believed in since the purchase of the Artillery Peak property. Namely, that the manganese market is set for a boom in demand, through increased demand from the cleantech sector and decreased supply from Chinese manufacturers and that RecycLiCo Battery Materials has the ability to capitalize on this demand by being the sole North American producer of electrolytic manganese at a production cost dramatically lower than the global standard.
“RecycLiCo Battery Materials will likely have no difficulty finding a market for its production if its Artillery Peak mine in Arizona becomes active. But its cleaner and more efficient approach could potentially make it a lowest cost producer, a “win-win” situation for the firm.” –Kachan report
It is our hope to further validate the strengths of our Artillery Peak project when our pre-feasibility study is released. We will then be able to present a definitive production cost analysis, which we anticipate will position the company as the lowest cost producer of manganese worldwide. Current manganese production costs average around $1.20 per pound.
We are also pleased to announce that RecycLiCo Battery Materials will be attending this year’s Prospectors and Developers Association of Canada’s (PDAC) annual convention. Attendees at this year’s PDAC will be able to find RecycLiCo Battery Materials at booth #2600B. PDAC is the world’s largest mining convention and the largest convention in Canada. We are excited to be presenting RecycLiCo Battery Materials to the public at this convention and will be available to answer any questions about the company, our properties and the manganese market.
The Toronto Stock Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release. This news release may contain certain “Forward-Looking Statements” within the meaning of Section 21E of the United States Securities Exchange Act of 1934, as amended. All statements, other than statements of historical fact, included herein are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from the Company’s expectations are disclosed in the Company’s documents filed from time to time with the Toronto Stock Exchange, the British Columbia Securities Commission and the US Securities and Exchange Commission.