In this email:
- The Vast Hidden Value of “Project Yellowknife” and the resource estimate I’ve been waiting for is coming any week now
- I OWN a BIG position in this stock
- We’re issuing a Special Situations Alert on LiFT Power Corp [LIFFF.US / LIFT.TSXV]
DISCLAIMER:
Disseminated for commercial purposes on behalf of Lift Power Corp
Dear Reader,
I made a big bet on what I believe is a big potential lithium stock.
And today, I’m going to reveal it to you now before anyone else in our network gets this report.
This company is sitting in a big, high-grade deposit that has millions of tonnes of lithium above the ground.
Just how big is this project?
Look at the picture below taken at site.
That tiny red spec in the circle is a helicopter, and beside that are two smaller black dots.
If you look closely and have eagle eye vision, you’ll see me and the CEO of the company, Francis MacDonald.
To illustrate just how remarkable this lithium deposit is, I’m going to frame it in terms of gold…
Something everyone understands as a universal store of value:
- First, we calculate the total value by multiplying the current price per tonne of lithium carbonate equivalent by the deposit size.
- Then, we convert this value into an equivalent amount of gold by dividing it by the current gold price.
This Katusa Research calculated comparison shows just how valuable this opportunity really is.
IMPORTANT: The ‘estimated resource number’ has not been prepared by a qualified person nor is it compliant with NI 43-101. It is presented for illustrative purposes only and not to be relied upon. It is purely speculative based on KR calculations internally, and no current resource estimate exists for the property.
Answer: This deposit could hold, in equivalent terms, the same value as an estimated 6.4 million ounces of gold.
To put this into perspective…
If we used the price of lithium last year, the gold equivalent value would be over 11M ounces.
Out of 2,500+ gold deposits globally, only 109 host a resource greater than 11 million ounces.
Now let’s fine-tune this calculation for all the mathletes reading this.
If spreadsheets make you dizzy, just skip to the bullet below.
We can use global averages for open-pit gold mining grades and recovery rates, to identify the number of ounces required to generate a similar in-situ value of a spodumene resource.
IMPORTANT: The ‘estimated resource number’ has not been prepared by a qualified person nor is it compliant with NI 43-101. It is presented for illustrative purposes only and not to be relied upon. It is purely speculative based on KR calculations internally, and no current resource estimate exists for the property.
This refined calculation demonstrates the incredible significance and potential scale of this deposit.
- A gold deposit of 5M+ ounces in Canada would be highly sought after by any mid-tier or major gold producer.
- The upside case shows an equivalent value to a 10M+-ounce gold deposit.
Almost as important, this deposit would come in at almost 2.5g/t gold.
That would be about 3 TIMES the global average for open pit gold mines of this size.
If the price of lithium goes back to where it was just a year and a half ago…
The grades would be equivalent to almost 5g/t gold, which for an open pit gold mine is unheard of. AND higher than the average grade underground gold mines.
No Question,
This is a Special Deposit
Again, this is shown for comparison purposes only, based on our internal calculations.
The market cap of Li-FT today is around USD$90M—a steal (in our biased opinion) for a major or mid-tier mining company.
Simply put, it will be a cash cow for whoever puts it into production.
But that’s not the only reason this company could quickly attract M&A attention…
I’d expect the required capex to build a spodumene operation at this kind of deposit would be substantially less than for a 5M-ounce gold mine.
And our internal analysis projects production costs of $600/tonne.
The 3-year spodumene average price is $2,975 – even using a 50% discount to that price, profit margins are comparable to open pit gold mines.
Let’s recap:
- Cheaper to build than gold.
- More profitable to operate than gold.
Every major mining CEO in the world will want to get in on that action.
I have bet big, investing over $1,000,000 personally in the open market.
And that’s why I’m issuing this rare Katusa Special Situations stock alert.
KATUSA SPECIAL SITUATIONS ALERT
Li-FT Power Corp.
(US OTC: LIFFF | TSVX: LIFT)
Besides the deposit, Li-FT has a world-class team:
- The president and director of Li-FT formerly led Millennial Lithium, which sold for $490M.
- CEO Francis MacDonald is a workhorse—he’s the kind of guy who answers every call and returns emails at all hours of the night. He’s going to do what it takes.
The founding team has access to capital to bring the project to production, having invested over $50 Million Dollars (CAD) into the project to date.
And they’ve done that while keeping an extraordinarily tight share structure: founders, management, and institutions still own about 75% of shares.
That means the stock is thinly traded on the TSX-Venture and the U.S. OTC markets.
So when the bids come in, it’s ready to move.
Now…
In the world of resource mining, a discovery of this magnitude happens once in a generation. That’s the staggering potential of our Li-FT discovery.
Now, there’s a lot to prove in terms of economics and feasibility to get there.
And therein comes the BIG ANNOUNCEMENT…
We’ll find out very shortly in the coming weeks, when the company releases the maiden resource estimate.
And that’s the risk I’m willing to take, with my own money on the line.
To help you profit from this opportunity, the Katusa Special Situations team has put together a comprehensive, in-depth report on Li-FT Power Corp.
Click here to read the full Li-FT Power report
To get a monster payback from all of this, you need to find a monster deposit.
And Li-FT Power wants to make a killing off proving one.
Do you?
Regards,
Marin Katusa and the KR Special Situations Team
P.S. This developing opportunity could accelerate as news from the company rolls out. Take a moment to read the report now.
DISCLOSURES/DISCLAIMER
IMPORTANT DISCLAIMER: Katusa Research, as a publisher, is not a broker, investment advisor, or financial advisor in any jurisdiction. Please do not rely on the information presented by Katusa Research as personal investment advice. If you need personal investment advice, kindly reach out to a qualified and registered broker, investment advisor, or financial advisor. The communications from Katusa Research should not form the basis of your investment decisions. Examples we provide regarding share price increases related to specific companies are based on randomly selected time periods and should not be taken as an indicator or predictor of future stock prices for those companies.
Li-FT Power Corp has reviewed and sponsored this article. The information in this newsletter does not constitute an offer to sell or a solicitation of an offer to buy any securities of a corporation or entity, including U.S. Traded Securities or U.S. Quoted Securities, in the United States or to U.S. Persons. Securities may not be offered or sold in the United States except in compliance with the registration requirements of the Securities Act and applicable U.S. state securities laws or pursuant to an exemption therefrom. Any public offering of securities in the United States may only be made by means of a prospectus containing detailed information about the corporation or entity and its management as well as financial statements. No securities regulatory authority in the United States has either approved or disapproved of the contents of any newsletter.
Katusa Research nor any employee of Katusa Research is not registered with the United States Securities and Exchange Commission (the “SEC”): as a “broker-dealer” under the Exchange Act, as an “investment adviser” under the Investment Advisers Act of 1940, or in any other capacity. He is also not registered with any state securities commission or authority as a broker-dealer or investment advisor or in any other capacity.
HIGHLY BIASED: In our role, we aim to highlight specific companies for your further investigation; however, these are not stock recommendations, nor do they constitute an offer or sale of the referenced securities. Katusa Research has received cash compensation from Li-FT Power Corp in the amount of one million two hundred fifty thousand dollars as reported in LiFT’s May 28, 2024 news release and is thus extremely biased. Members of Katusa Research also own shares in Li-FT Power and stand to benefit with changes in the share price.
It is crucial that you conduct your own research prior to investing. This includes reading the companies’ SEDAR and SEC filings, press releases, and risk disclosures.
The information contained in our profiles is based on data provided by the company, extracted from SEDAR and SEC filings, company websites, and other publicly available sources.
HIGH RISK: The securities issued by the companies we feature should be seen as high risk; if you choose to invest, despite these warnings, you may lose your entire investment. You must be aware of the risks and be willing to accept them in order to invest in financial instruments, including stocks, options, and futures.
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FORWARD-LOOKING STATEMENTS: Certain information presented may contain or be considered forward-looking statements. Such statements involve known and unknown risks, uncertainties and other factors which may cause actual results or events to differ materially from those anticipated in these statements. There can be no assurance that any such statements will prove to be accurate, and readers should not place undue reliance on such information. Katusa Research does not undertake any obligations to update information presented, or to ensure that such information remains current and accurate.
