Proactiveinvestors Australia European Metals Holdings https://www.proactiveinvestors.com.au Proactiveinvestors Australia European Metals Holdings RSS feed en Tue, 16 Jul 2019 20:29:08 +1000 http://blogs.law.harvard.edu/tech/rss Genera CMS action@proactiveinvestors.com (Proactiveinvestors) action@proactiveinvestors.com (Proactiveinvestors) <![CDATA[RNS press release - Funding Agreement & Potential Partnership with CEZ ]]> https://www.proactiveinvestors.com.au/companies/rns/15239/LSE20190716070001_14150225/ Tue, 16 Jul 2019 16:00:01 +1000 https://www.proactiveinvestors.com.au/companies/rns/15239/LSE20190716070001_14150225/ <![CDATA[News - European Metals secures €2mln convertible loan from the Czech Republic’s biggest company ]]> https://www.proactiveinvestors.com.au/companies/news/223971/european-metals-secures-2mln-convertible-loan-from-the-czech-republics-biggest-company-223971.html European Metals Holdings Ltd (LON:EMH) has secured a €2mln convertible loan from CEZ Group, one of Central and Eastern Europe's largest power utilities.

The successful outcome of the due diligence process could see CEZ become European Metals' largest shareholder and co-development partner for the Cinovec lithium-tin project through conversion of the convertible note and subsequent additional investment, the company said.

WATCH: European Metals' Keith Coughlan details updated Cinovec PFS

Headquartered in the Czech Republic, CEZ is an established, integrated energy group with operations in a number of Central and Southern European countries and Turkey. CEZ's core business is the generation, distribution, trade in, and sales of electricity and heat, trade in and sales of natural gas, and coal extraction.

The largest shareholder of its parent company, CEZ a. s., is the Ministry of Finance of the Czech Republic, which holds a stake of about 70%. The shares of CEZ a.s. are traded on the Prague and Warsaw stock exchanges.

 As one of the leading Central European power companies, CEZ intends to develop energy storage projects in the Czech Republic and in Central Europe which include energy storage and charging infrastructure and electricity supply, for users of electric vehicles.

 "We are delighted to be in advanced discussions with CEZ regarding the future development of the Cinovec project,” said European Metals managing director Keith Coughlan.

“CEZ is the largest company in the Czech Republic and one of the leading companies in Central and Eastern Europe, having a strong vision with regards to renewable energy and power storage. Potentially partnering with CEZ further demonstrates EMH's commitment to develop fully the Cinovec project in conjunction with Czech industry, for the benefit of the country's involvement in the battery and EV industries. With their blend of technical foresight and historic mining experience, CEZ is the ideal partner for the company."

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Tue, 16 Jul 2019 08:16:00 +1000 https://www.proactiveinvestors.com.au/companies/news/223971/european-metals-secures-2mln-convertible-loan-from-the-czech-republics-biggest-company-223971.html
<![CDATA[News - European Metals looks to climb the value chain with addition of lithium hydroxide production to plans for Cinovec ]]> https://www.proactiveinvestors.com.au/companies/news/223740/european-metals-looks-to-climb-the-value-chain-with-addition-of-lithium-hydroxide-production-to-plans-for-cinovec-223740.html Lithium hydroxide is one step up the value chain from lithium carbonate for the simple reason that it can deliver higher energy density into batteries.

Not all batteries require a higher energy density, but for some applications, such as electric vehicles where weight to power ratios are crucial, it’s highly desirable.

That means it’s a product that can be sold at a premium to other types of lithium compounds, such as lithium carbonate, and as such the margins on offer from lithium carbonate can be significantly higher.

For European Metals Holdings (LON:EMH) all these factors have been brought to bear in the company’s recent decision to upgrade its processing plans for the Cinovec project in the Czech Republic to include a lithium hydroxide capability.

But there’s another factor at play too.

Off-takers like hydroxide

“The main potential off-taker we’re talking to is telling us that they need lithium carbonate initially, but lithium hydroxide thereafter,” says Keith Coughlan, chief executive of European Metals.

“We decided that we need to demonstrate the ability to make lithium hydroxide. We’ll produce carbonate first and then turn it into lithium hydroxide, and we’ll have the ability to sell both according to what the market wants.”

It’s a commercial decision that makes plenty of sense. After all, if buyers of Cinovec lithium carbonate were likely to turn it into hydroxide themselves anyway, why not capture the value add and offer the product directly?

Cinovec progressing through feasibility

Cinovec is currently progressing through the definitive feasibility stage and Coughlan expects the exact product mix to become much clearer during that process.

Certain things are already clear though. The addition of the hydroxide processing capability is likely to add around US$80mln to the capex bill for the construction of Cinovec, up from the US$400mln already mooted at the pre-feasibility stage.

But that money will come back to European Metals and its investors in the form of the higher margins gained from the higher priced product produced and from the wider marketability of Cinovec product generally.

Or to put in the context of the pre-feasibility study, the cost per tonne of lithium hydroxide produced is likely to ring in at US$3,435 against a forecast sales price of close to US$15,000. That differential boosts the net present value by 105% to US$1.1bn and the internal rate of return by more than a third to 28.8% post tax.

The plan now is to complete the definitive feasibility study by the end of the first quarter of next year and roll it straight into a bankable study.

“Hopefully we’re funded and starting construction in the middle of next year with a forecast build time of two years,” says Coughlan.

The company is already in discussions with regard to funding, and Coughlan says that progress in this regard has been “encouraging.”

If that’s the case, it’s not hard to see why.

Strategic location

Cinovec is strategically placed at the heart of Europe, just across the Czech-German border from some of the largest vehicle manufacturers in the world. But Europe has been slow to get on board in regard to securing lithium supply, and the relevant agencies are now keen to catch up with grants and debt funding. Other projects in Europe may turn out to be too small actually to deliver finished product locally, and may end up shipping concentrate to China.

But not European Metals.

“I’m comfortable that if we can get this DFS anywhere near where we think we can then we can get this funded,” says Coughlan.

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Thu, 11 Jul 2019 09:32:00 +1000 https://www.proactiveinvestors.com.au/companies/news/223740/european-metals-looks-to-climb-the-value-chain-with-addition-of-lithium-hydroxide-production-to-plans-for-cinovec-223740.html
<![CDATA[Media files - Mining Capital's Alastair Ford talks European Metals and Lithium Hydroxide ]]> https://www.proactiveinvestors.com.au/companies/stocktube/13829/mining-capital-s-alastair-ford-talks-european-metals-and-lithium-hydroxide-13829.html Fri, 21 Jun 2019 09:46:00 +1000 https://www.proactiveinvestors.com.au/companies/stocktube/13829/mining-capital-s-alastair-ford-talks-european-metals-and-lithium-hydroxide-13829.html <![CDATA[News - The lithium market is evolving rapidly, but what is lithium, what is it used for and how much is it really worth? ]]> https://www.proactiveinvestors.com.au/companies/news/222516/the-lithium-market-is-evolving-rapidly-but-what-is-lithium-what-is-it-used-for-and-how-much-is-it-really-worth-222516.html That’s the question the London Metal Exchange has been grappling with lately in conjunction with partner Fastmarkets as it attempts to put together some sort of benchmark contract that will be both meaningful and useful.

Whether it will be successful or not remains to be seen, as the lithium market is a complex one in terms both of product and pricing, and the LME has not been specific as to when it thinks the new contract will be available.

Certainly, there’s a fair amount of goodwill towards the idea, with no less a company than China’s Tianqi Lithium Corp (SHE:002466), one of the world’s largest lithium producers, coming out in favour of the deal.

But on the other hand, there are good reasons why lithium pricing is opaque: there are several different products and most buying and selling is done via off-take contracts at specific, but individually agreed prices. And these prices aren’t always disclosed.

To work out what’s going on, it’s worth jumping right to the top of the value chain to the new and continuously evolving batteries that are sucking in all this supply.

Many battery types

There are several different battery types, including lithium cobalt oxide, lithium manganese oxide, lithium iron phosphate, lithium nickel manganese cobalt oxide, lithium nickel cobalt aluminium oxide, and lithium titanate.

And within those battery types there can be subdivisions and new refinements, as for example in the lithium nickel manganese cobalt (NMC) oxide battery.

NMC batteries are the ones favoured by the electric vehicle industry as they have very low self-heating levels. To date the standard NMC battery has been the 111 battery, with the digits in that number referring to the ratio of each metal used in the battery.

But partly to minimise the use of cobalt, which has become more expensive of late due to supply chain problems, and partly because it can deliver even greater energy density, a new type of NMC battery is now entering into the picture, the 811.

Whether or not the 811 achieves a general uptake in electric vehicles remains an open question, but widespread adoption would have a significant impact on lithium producers going back downstream.

Enter lithium hydroxide

Why? Because the 811 batteries require lithium hydroxide as their main input rather than the more standard lithium carbonate used elsewhere.

That in turn means that companies like European Metals Holdings Ltd (LON:EMH) and Alliance Mineral Assets (ASX:A40) , which have both demonstrated a capability to produce lithium hydroxide, will be better equipped to meet the new demand than companies which have no such capability.

Of course major lithium producers like Chile’s SQM (NYSE:SQM), currently capitalised at around US$3.8bn already produce a mix of lithium hydroxide and lithium carbonate to sell into the market. But for the new generation of miners and would be producers like European Metals, Savannah Resources PLC (LON:SAV), European Lithium Ltd (ASX:EUR), Infinity Lithium Ltd (ASX:INF), and Bacanora Minerals Ltd (LON:BCN) a consideration of the end product will be key.

Some projects will be too small to justify the additional expense of hydroxide plants, and will most likely end up shipping concentrate to China. But the ones with scale are likely to benefit from adding additional processing capability, as lithium hydroxide adds a considerable premium to the pricing.

All of which increases the headache for the LME and Fastmarkets when it comes to putting together the structure of the new contract. For one thing, it’s not entirely clear that the Chinese will accept any direction in terms of lithium pricing. But even if they do and a global standard can be established, will it refer to carbonate or hydroxide, or even lithium fluoride or sulphate? And there’s also the question of impurities and deleterious elements. How much of a tolerance will the new contract have for these? All is not clear.

Still, the new LME contract isn’t the most pressing issue that the lithium industry is facing at the moment.

Oversupply notion

Far more important is the impact of the widely held notion that lithium supply is likely to go into surplus and that prices in general may drop. We can see this sentiment reflected in the share prices of companies as diverse as Tianqi, currently capitalised at US$30bn, but shares in which have declined by almost 50% over the past year, and in European Lithium, currently capitalised at just over A$50mln, and which has also endured a share price decline of around 50% across the same period.

The question is: how much is this notion of oversupply really justified?

There’s no doubting that there’s plenty of lithium around. It’s the 32nd most abundant element in the earth’s crust, ahead of lead, tin, uranium, tungsten, silver, mercury, platinum and gold.

It is widely mined in the famous lithium triangle in South America, where the borders of Argentina, Bolivia and Chile intersect, as well as in Australia and China. New projects are being brought along in Europe, Africa and Asia too.

But will it really be enough to meet the burgeoning demand from electric vehicles and energy storage?

Lithium demand to surge?

That’s much more open to question, and more a matter for conjecture than really accurate forecasting. But some useful trends can be discerned. For example, global lithium demand is forecast to surge 20% in 2019, according to Chilean producer SQM.

“We believe that full electric vehicle penetration rates reached 2% in 2018, and this number is expected to over double in the next five years," SQM said in its most recent annual report. The company estimates that batteries currently account for 65% of total lithium demand, including batteries for electric vehicles, which account for around 36%.

SQM conceded that new supply will keep pressure on prices, but added a significant rider: “There are several lithium grades of different qualities available in the lithium market, and not all products are sold at the same price. We do not believe that all lithium supply entering the market is suitable for all customers."

Another major producer, Albemarle Corp (NYSE:ALB), concedes that oversupply could be a factor, but also points out that it is insulated by the existence of long-term fixed price contracts that go out to 2021.This is a feature of the industry that is widespread. Kidman Resources, for example, which is currently being absorbed by Australian conglomerate Wesfarmers Ltd (ASX:WES) and which is in joint venture with SQM has already struck supply deals with Tesla Inc, battery producer LG Chem Ltd and Mitsui & Co.

The Wesfarmers move on Kidman may prove timely, as lithium markets start to improve.

Industry to struggle to keep pace

Data on how much supply will actually be sucked in by the new electric vehicle market is sketchy, but there seems a widespread acknowledgement inside the lithium industry that it will struggle to keep pace as demand continues to grow exponentially.

Analysis undertaken by US university, the Massachusetts Institute of Technology argues that the five metals that will be most affected by new technology are tin, lithium, cobalt, silver and nickel. Batteries make up a considerable component of that, as can be seen in some projections from European car makers.

Volkswagen, for example, is planning to put 22mln electric vehicles onto European roads by 2028. Porsche has recently invested €6bn in its electric vehicle programme, while Mercedes has invested €10bn. Mercedes wants to have 10 electric vehicle models on the market by 2025. BMW will put electric vehicles into mass production next year. In Japan Toyota has teamed up with Orocobre (TSE:ORL) to build a lithium hydroxide plant. And the list goes on.

All of which means that the lithium price, whichever one you use, is likely to rise in the coming years.

Analysis undertaken by Deutsche Bank and Asian Metal [http://www.asianmetal.com/] looks at the pricing outlook for five lithium products: lithium hydroxide, seaborne 98.5% lithium carbonate, China spot lithium carbonate, seaborne spodumene concentrate, and seaborne 99.5% lithium carbonate.

While a significant spike in prices is not expected any time soon, there is a general upward trend on all pricing measures through to 2025, by which time lithium carbonate China spot is likely to be testing US$15,000 a tonne again.

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Thu, 20 Jun 2019 14:15:00 +1000 https://www.proactiveinvestors.com.au/companies/news/222516/the-lithium-market-is-evolving-rapidly-but-what-is-lithium-what-is-it-used-for-and-how-much-is-it-really-worth-222516.html
<![CDATA[Media files - European Metals' Keith Coughlan details updated Cinovec PFS ]]> https://www.proactiveinvestors.com.au/companies/stocktube/13778/european-metals--keith-coughlan-details-updated-cinovec-pfs-13778.html Tue, 18 Jun 2019 10:44:00 +1000 https://www.proactiveinvestors.com.au/companies/stocktube/13778/european-metals--keith-coughlan-details-updated-cinovec-pfs-13778.html <![CDATA[RNS press release - PFS Update Confirms Potential Low-Cost LiOH.H2O ]]> https://www.proactiveinvestors.com.au/companies/rns/15239/LSE20190617070004_14112338/ Mon, 17 Jun 2019 16:00:04 +1000 https://www.proactiveinvestors.com.au/companies/rns/15239/LSE20190617070004_14112338/ <![CDATA[News - European Metals boosts NPV and IRR at Cinovec with adjustments to process flowsheet ]]> https://www.proactiveinvestors.com.au/companies/news/222210/european-metals-boosts-npv-and-irr-at-cinovec-with-adjustments-to-process-flowsheet-222210.html European Metals Holdings Ltd (LON:EMH)(ASX:EMH) shares jumped higher on Monday after the firm said it has updated the process flowsheet previously developed to enable the production of lithium hydroxide (LiOH.H2O) from the Cinovec project in the Czech Republic. 

This work has been completed in conjunction with test-work confirming the production of battery grade lithium hydroxide from Cinovec ore.

WATCH: European Metals' Keith Coughlan details updated Cinovec PFS

The results significantly enhance the likely economics of the Cinovec project.

It’s now estimated that it will cost European Metals US$3,435 to produce each tonne of LiOH.H2O.

Factoring in the new adjustments, the post-tax net present value of Cinovec rises by 105% to US$1.1bn, using an 8% discount rate.  

Correspondingly, the internal rate of return increases by 37% to 28.8%, as the its envisioned the project will produce 25,267 tonnes of battery grade lithium per year.

The total capital cost is set at US$482.6mln.

"I am very pleased to report to shareholders on the completion of this update to our 2017 preliminary feasibility study for the Cinovec project which adds significantly to the already robust forecast economics for the project,” said European Metals managing director Keith Coughlan.

In morning trading, shares in European Metals were 11.1% higher at 22.50p.

 -- Adds share price -- 

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Mon, 17 Jun 2019 08:14:00 +1000 https://www.proactiveinvestors.com.au/companies/news/222210/european-metals-boosts-npv-and-irr-at-cinovec-with-adjustments-to-process-flowsheet-222210.html
<![CDATA[RNS press release - Second Price Monitoring Extn ]]> https://www.proactiveinvestors.com.au/companies/rns/15239/LSE20190521140609_14082206/ Tue, 21 May 2019 23:06:09 +1000 https://www.proactiveinvestors.com.au/companies/rns/15239/LSE20190521140609_14082206/ <![CDATA[RNS press release - Price Monitoring Extension ]]> https://www.proactiveinvestors.com.au/companies/rns/15239/LSE20190521140047_14082198/ Tue, 21 May 2019 23:00:47 +1000 https://www.proactiveinvestors.com.au/companies/rns/15239/LSE20190521140047_14082198/ <![CDATA[RNS press release - Quarterly Activities Report ]]> https://www.proactiveinvestors.com.au/companies/rns/15239/LSE20190430070003_14056218/ Tue, 30 Apr 2019 16:00:03 +1000 https://www.proactiveinvestors.com.au/companies/rns/15239/LSE20190430070003_14056218/ <![CDATA[News - European Metals provides quarterly update ]]> https://www.proactiveinvestors.com.au/companies/news/219331/european-metals-provides-quarterly-update-219331.html European Metals Holdings LTD (LON:EMH)(ASX:EMH) ended the quarter to March with A$1.32mln cash in the bank.

The company completed a significant amount of drilling on its Cinovec lithium project during the period.

WATCH: European Metals targets EU demand for Lithium ahead of EV revolution

Results from five holes were released, and showed good grades. Among the highlights were 129 metres averaging 0.51% lithium dioxide, and 108 metres averaging 0.45%.

Following the period end the company also produced a battery-grade hydroxide sample, and updated its economic model for Cinovec accordingly.

Cinovec hosts a total indicated mineral resource of 372.4mln tonnes grading 0.45% lithium oxide and 0.04% tin, and an inferred mineral resource of 323.5mln tonnes at 0.39% lithium oxide and 0.04% tin.

 

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Tue, 30 Apr 2019 07:44:00 +1000 https://www.proactiveinvestors.com.au/companies/news/219331/european-metals-provides-quarterly-update-219331.html
<![CDATA[News - European Metals Holdings eyes further progress in the Czech Republic ]]> https://www.proactiveinvestors.com.au/companies/news/219277/european-metals-holdings-eyes-further-progress-in-the-czech-republic-219277.html The company’s blurb describes European Metals Holdings PLC (LON:EMH) (ASX:EMH) as a UK and Australia-listed exploration business focused on developing a lithium and tin project in Czech Republic. But this doesn’t quite capture the potential of the business through its ownership of the Cinovec Project, host to the largest lithium resource in Europe and one of the biggest untapped tin deposits in the world. In other words EM has a tiger by the tail.

Cinovec is around 60 miles north-west of Prague on the border with Germany. So, it has ready access to end-users such as carmakers and companies building the latest generation of electric vehicles.

The deposit itself is host to an inferred and indicated resource of almost 700mln tonnes at a cut-off of 0.195% lithium and 0.04% tin.  A preliminary economic assessment (PEA) suggests an operation on the site of the historic mine churning out 22,500 tonnes a year of battery grade lithium would cost US$393mln.

Inflexion points

In a presentation last November, EM outlined its ‘key activities’ for the next 12 months.

These included:

Completing the drilling and upgrade resource model to include a measured resources to facilitate calculation of a proven ore reserve Begin definitive feasibility (DFS) engineering Progress environmental impact assessments for mining and processing. Complete locked cycle test work and flowsheet optimisation Operate pilot plant for production of marketing samples Commence variability testwork Progress strategic partner discussions

In April the company revealed it passed one of these landmarks having produced battery-grade lithium hydroxide from ore from the deposit. While it was only a small-scale trial, European Metals is confident it could achieve a potential production rate in excess of 25,000 tonnes per annum of lithium hydroxide.

“The clear majority of European battery producers are indicating a requirement for lithium input to be supplied as battery grade lithium hydroxide,” said managing director Keith Coughlan. “The fact that EM has now demonstrated the ability to produce this product from Cinovec ore is an exciting development that will enable the company to supply its final product into the European marketplace.”

Blue Sky

The DFS should copper-bottom what already looks like a potentially world-scale deposit. Meanwhile, European Metals said in March it remains confident that drilling underway at Cinovec will move significant resources into the indicated category. European Metals has reported results from five of the eight holes planned in the programme, which is part of work ongoing on the DFS.

However, a deal with a potential partner would provide third-party validation for the project and, of course, deliver the financial heft required to required to get the historic mine back into operation. There has been radio silence from a Czech group, which purportedly made an offer for Cinovec back in January.

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Mon, 29 Apr 2019 13:41:00 +1000 https://www.proactiveinvestors.com.au/companies/news/219277/european-metals-holdings-eyes-further-progress-in-the-czech-republic-219277.html
<![CDATA[RNS press release - Lithium Hydroxide Produced - Clarification ]]> https://www.proactiveinvestors.com.au/companies/rns/15239/LSE20190408094932_14032382/ Mon, 08 Apr 2019 18:49:32 +1000 https://www.proactiveinvestors.com.au/companies/rns/15239/LSE20190408094932_14032382/ <![CDATA[News - European Metals produces battery-grade lithium hydroxide at Cinovec ]]> https://www.proactiveinvestors.com.au/companies/news/218146/european-metals-produces-battery-grade-lithium-hydroxide-at-cinovec-218146.html European Metals Holdings Limited (LON:EMH) has produced battery-grade lithium hydroxide from ore from its Cinovec project in Czech Republic.

Cinovec is host to an estimated 7.18mln tonnes of lithium carbonate equivalent, but European battery makers prefer to use lithium hydroxide in their latest products.

European Metals looked at either producing lithium hydroxide directly or converting lithium carbonate.

WATCH: European Metals targets EU demand for lithium ahead of EV revolution

Bosses opted for the latter and a 4.3kg sample of lithium concentrate was taken and turned into battery-grade lithium hydroxide which weighed just under 10 grams.

The data from this initial test-run, which was focused on grade not recovery, will now be used to update the pre-feasibility study. That update is expected to be completed within six weeks.

While it was only a small-scale trial, European Metals is confident it could achieve a potential production rate in excess of 25,000 tonnes per annum of lithium hydroxide.

“The clear majority of European battery producers are indicating a requirement for lithium input to be supplied as battery grade lithium hydroxide,” said managing director Keith Coughlan.

“The fact that EMH has now demonstrated the ability to produce this product from Cinovec ore is an exciting development that will enable the company to supply its final product into the European marketplace.”

He added: “Meeting the European battery market's requirements and expectations is foremost in our considerations. EMH's next step is a formal update of the 2017 PFS, the outcomes from which will be reported shortly.”

EMH shares rose 5.5% to 18.7p on Monday morning.

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Mon, 08 Apr 2019 10:33:00 +1000 https://www.proactiveinvestors.com.au/companies/news/218146/european-metals-produces-battery-grade-lithium-hydroxide-at-cinovec-218146.html
<![CDATA[RNS press release - Project Update - Battery Grade Lithium Hydroxide ]]> https://www.proactiveinvestors.com.au/companies/rns/15239/LSE20190402070002_14024475/ Tue, 02 Apr 2019 17:00:02 +1100 https://www.proactiveinvestors.com.au/companies/rns/15239/LSE20190402070002_14024475/ <![CDATA[Media files - European Metals targets EU demand for Lithium ahead of EV revolution ]]> https://www.proactiveinvestors.com.au/companies/stocktube/12822/european-metals-targets-eu-demand-for-lithium-ahead-of-ev-revolution-12822.html Tue, 02 Apr 2019 13:51:00 +1100 https://www.proactiveinvestors.com.au/companies/stocktube/12822/european-metals-targets-eu-demand-for-lithium-ahead-of-ev-revolution-12822.html <![CDATA[News - European Metals produces sample of battery-grade lithium hydroxide from Cinovec ore ]]> https://www.proactiveinvestors.com.au/companies/news/217722/european-metals-produces-sample-of-battery-grade-lithium-hydroxide-from-cinovec-ore-217722.html European Metals Holdings Ltd (LON:EMH) shares found gains on Tuesday on news it has successfully developed a flow sheet for the production of battery-grade lithium hydroxide from ore from the Cinovec project in the Czech Republic.

A formal update to the pre-feasibility study is underway and will incorporate a potential production rate of 25,000 tonnes per year.

It should be ready within six weeks.

Of the various tests done, the more robust flowsheet involved the production of battery grade lithium carbonate followed by conversion to battery grade lithium hydroxide.

"The clear majority of European battery producers are indicating a requirement for lithium input to be supplied as battery grade lithium hydroxide,” said European Metals managing director Keith Coughlan.

“The fact that European Metals Holdings has now demonstrated the ability to produce this product from Cinovec ore is an exciting development that will enable the company to supply its final product into the European marketplace.”

Cinovec hosts a globally significant hard rock lithium deposit with a total indicated mineral resource of 372.4mln tonnes grading 0.45% Li2O and 0.04% tin and an inferred resource of 323.5mln tonnes grading 0.39% Li2O and 0.04% tin.

In early afternoon trading, shares in European Metal were 4.4% higher at 17.75p.

 -- Adds share price --

 

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Tue, 02 Apr 2019 07:53:00 +1100 https://www.proactiveinvestors.com.au/companies/news/217722/european-metals-produces-sample-of-battery-grade-lithium-hydroxide-from-cinovec-ore-217722.html
<![CDATA[RNS press release - Second Price Monitoring Extn ]]> https://www.proactiveinvestors.com.au/companies/rns/15239/LSE20190327164115_14018375/ Thu, 28 Mar 2019 03:41:15 +1100 https://www.proactiveinvestors.com.au/companies/rns/15239/LSE20190327164115_14018375/ <![CDATA[RNS press release - Price Monitoring Extension ]]> https://www.proactiveinvestors.com.au/companies/rns/15239/LSE20190327163553_14018358/ Thu, 28 Mar 2019 03:35:53 +1100 https://www.proactiveinvestors.com.au/companies/rns/15239/LSE20190327163553_14018358/ <![CDATA[RNS press release - Price Monitoring Extension ]]> https://www.proactiveinvestors.com.au/companies/rns/15239/LSE20190321163548_14011433/ Fri, 22 Mar 2019 03:35:48 +1100 https://www.proactiveinvestors.com.au/companies/rns/15239/LSE20190321163548_14011433/ <![CDATA[RNS press release - Half-year Report ]]> https://www.proactiveinvestors.com.au/companies/rns/15239/LSE20190315080635_14003733/ Fri, 15 Mar 2019 19:06:35 +1100 https://www.proactiveinvestors.com.au/companies/rns/15239/LSE20190315080635_14003733/ <![CDATA[News - European Metals confident about drilling upgrade at Cinovec ]]> https://www.proactiveinvestors.com.au/companies/news/216548/european-metals-confident-about-drilling-upgrade-at-cinovec-216548.html Lithium explorer European Metals Holdings Limited (LON:EMH) remains confident that drilling underway at Cinovec in the Czech Republic will move significant resources into the indicated category.

European Metals has reported results from five of the eight holes planned in the programme, which is part of work ongoing on a Definitive Feasibility Study.

READ: Europa Metals releases full scoping study economics for Toral project

The company had no further news on a letter from Czech group Krupa Global Investments that purported to make an indicative offer on behalf of Ceske Lithium, one of KGI’s group of companies.

Losses in the half year to December were A$2.13mln (A$1.89mln), with cash at the period end of A$2mln.

Cinovec's hard rock lithium deposit currently has a total indicated resource of 348mln tonnes grading 0.45% Li2O and 0.04% tin, with an additional inferred resource of 309mln tonnes grading 0.39% Li2O and 0.04% tin.

This makes Cinovec the largest lithium deposit in Europe, the fourth largest non-brine deposit in the world and a globally significant tin resource.

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Fri, 15 Mar 2019 09:42:00 +1100 https://www.proactiveinvestors.com.au/companies/news/216548/european-metals-confident-about-drilling-upgrade-at-cinovec-216548.html
<![CDATA[RNS press release - Drill Programme Update ]]> https://www.proactiveinvestors.com.au/companies/rns/15239/LSE20190228070001_13984412/ Thu, 28 Feb 2019 18:00:01 +1100 https://www.proactiveinvestors.com.au/companies/rns/15239/LSE20190228070001_13984412/ <![CDATA[News - European Metals pleased with latest drill results ]]> https://www.proactiveinvestors.com.au/companies/news/215484/european-metals-pleased-with-latest-drill-results-215484.html Results from the recent drilling programme at the Cinovec lithium-tin project continue to meet or exceed European Metals Holdings Limited's (LON:EMH) expectations.

The company has completed drilling on five of the eight holes it intends to drill and has released results today from the fifth drill hole – hole CIS-14.

READ: European Metals hits strong lithium grades in programme to move Cinovec resource from indicated to measured

Hole CIS-14 returned 67 metres (m) averaging 0.43% lithium oxide Li2O (including 3m @ 0.99% Li2O and 0.18% tin, or Sn); 8m @ 0.67% Li2O and 0.20% Sn (including 4.15m @ 1.00% Li2O and 0.35% Sn); 8m @ 0.21% Sn, 4m @ 0.39% Sn; and 3m @ 0.20% Sn.

Drilling activities remain suspended and will resume after the end of the snow season in the Czech Republic.

"As we have previously reported, the current drill programme has been planned to define blocks of resource for the first two years of mining within the Cinovec-South area, with a goal to convert the resource from indicated to measured category,” said Keith Coughlan, the managing director of European Metals Holdings.

“The results of this programme have either been in line with or exceeded, our expectations particularly with regard to the tin intercepts. I look forward to reporting the results of our lithium hydroxide production work, and the projected impacts upon the economics of the project over the next few weeks," he added.

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Thu, 28 Feb 2019 07:29:00 +1100 https://www.proactiveinvestors.com.au/companies/news/215484/european-metals-pleased-with-latest-drill-results-215484.html
<![CDATA[RNS press release - Release from Escrow ]]> https://www.proactiveinvestors.com.au/companies/rns/15239/LSE20190212070003_13965590/ Tue, 12 Feb 2019 18:00:03 +1100 https://www.proactiveinvestors.com.au/companies/rns/15239/LSE20190212070003_13965590/ <![CDATA[RNS press release - Quarterly Cashflow Report ]]> https://www.proactiveinvestors.com.au/companies/rns/15239/LSE20190131070002_13952595/ Thu, 31 Jan 2019 18:00:02 +1100 https://www.proactiveinvestors.com.au/companies/rns/15239/LSE20190131070002_13952595/ <![CDATA[RNS press release - Drill Programme Update ]]> https://www.proactiveinvestors.com.au/companies/rns/15239/LSE20190128070003_13947894/ Mon, 28 Jan 2019 18:00:03 +1100 https://www.proactiveinvestors.com.au/companies/rns/15239/LSE20190128070003_13947894/ <![CDATA[News - European Metals hits strong lithium grades in programme to move Cinovec resource from indicated to measured ]]> https://www.proactiveinvestors.com.au/companies/news/213390/european-metals-hits-strong-lithium-grades-in-programme-to-move-cinovec-resource-from-indicated-to-measured-213390.html European Metals Holdings Limited (LON:EMH) has revealed results from its ongoing eight core-hole resource drilling programme at the Cinovec lithium project.

Drilling of five of the eight holes has been completed.

WATCH: European Metals kicks off DFS drilling at Cino vec Lithium-Tin project

Among the highlights from the drilling were 129.3 metres averaging 0.51% Li2O, 108 metres averaging 0.45% Li2O, and 89 metres averaging 0.47% Li2O.

"We are very pleased to present these results,” said Keith Coughlan, managing director of European Metals.

“The current drill programme has been planned to define blocks of resource for the first two years of mining within the Cinovec-South area, with a goal to convert the resource from indicated to measured category to allow the delineation of initial proven reserves for the deposit. The results confirm our confidence in the robustness of the ore body and we are particularly encouraged by the higher than expected tin grades in hole CIS-13.”

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Mon, 28 Jan 2019 08:04:00 +1100 https://www.proactiveinvestors.com.au/companies/news/213390/european-metals-hits-strong-lithium-grades-in-programme-to-move-cinovec-resource-from-indicated-to-measured-213390.html
<![CDATA[RNS press release - Second Price Monitoring Extn ]]> https://www.proactiveinvestors.com.au/companies/rns/15239/LSE20190116140558_13937013/ Thu, 17 Jan 2019 01:05:58 +1100 https://www.proactiveinvestors.com.au/companies/rns/15239/LSE20190116140558_13937013/ <![CDATA[RNS press release - Price Monitoring Extension ]]> https://www.proactiveinvestors.com.au/companies/rns/15239/LSE20190116140035_13937008/ Thu, 17 Jan 2019 01:00:35 +1100 https://www.proactiveinvestors.com.au/companies/rns/15239/LSE20190116140035_13937008/ <![CDATA[RNS press release - Receipt of Unsolicited Indicative Offer - Cinovec ]]> https://www.proactiveinvestors.com.au/companies/rns/15239/LSE20190116110719_13936786/ Wed, 16 Jan 2019 22:07:19 +1100 https://www.proactiveinvestors.com.au/companies/rns/15239/LSE20190116110719_13936786/ <![CDATA[News - European Metals Holdings confirms receipt of purported indicative offer to purchase lithium project at Cinovec ]]> https://www.proactiveinvestors.com.au/companies/news/212692/european-metals-holdings-confirms-receipt-of-purported-indicative-offer-to-purchase-lithium-project-at-cinovec-212692.html European Metals Holdings Limited (LON:EMH) shares rose on Wednesday after the group confirmed it has received a purported indicative offer to "purchase the lithium mining and processing project at Cinovec" on behalf of the Ceske Litihium company, part of Krupa Global Investments (KGI).

In a statement, the AIM-listed firm said it received a letter from KGI on 15 January 2019 purporting to make the indicative offer for the project at Cinovec, which is in the Czech Republic. However, it did not contain any details with regards to price, terms or conditions.

WATCH: European Metals kicks off DFS drilling at Cinovec Lithium-Tin project

The company added: “In light of the absence of this information European Metals does not consider this to be an offer to which it can give consideration at this time.”

European Metals said it was making the announcement as it has become aware that KGI has released its letter to the Czech Press.

The group confirmed that it has had no discussion with KGI on this matter.

In late morning trading, shares in European Metal Holdings were 15.6% higher at 18.50p.

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Wed, 16 Jan 2019 11:26:00 +1100 https://www.proactiveinvestors.com.au/companies/news/212692/european-metals-holdings-confirms-receipt-of-purported-indicative-offer-to-purchase-lithium-project-at-cinovec-212692.html
<![CDATA[RNS press release - Second Price Monitoring Extn ]]> https://www.proactiveinvestors.com.au/companies/rns/15239/LSE20181221110534_13913256/ Fri, 21 Dec 2018 22:05:34 +1100 https://www.proactiveinvestors.com.au/companies/rns/15239/LSE20181221110534_13913256/ <![CDATA[RNS press release - Price Monitoring Extension ]]> https://www.proactiveinvestors.com.au/companies/rns/15239/LSE20181221110024_13913238/ Fri, 21 Dec 2018 22:00:24 +1100 https://www.proactiveinvestors.com.au/companies/rns/15239/LSE20181221110024_13913238/ <![CDATA[RNS press release - Director/PDMR Shareholding & Appendix 3Y ]]> https://www.proactiveinvestors.com.au/companies/rns/15239/LSE20181221070002_13912309/ Fri, 21 Dec 2018 18:00:02 +1100 https://www.proactiveinvestors.com.au/companies/rns/15239/LSE20181221070002_13912309/ <![CDATA[RNS press release - Result of AGM ]]> https://www.proactiveinvestors.com.au/companies/rns/15239/LSE20181218070003_13906985/ Tue, 18 Dec 2018 18:00:03 +1100 https://www.proactiveinvestors.com.au/companies/rns/15239/LSE20181218070003_13906985/ <![CDATA[RNS press release - Notice of AGM ]]> https://www.proactiveinvestors.com.au/companies/rns/15239/LSE20181130070002_13886072/ Fri, 30 Nov 2018 18:00:02 +1100 https://www.proactiveinvestors.com.au/companies/rns/15239/LSE20181130070002_13886072/ <![CDATA[RNS press release - Investor Presentation ]]> https://www.proactiveinvestors.com.au/companies/rns/15239/LSE20181120070003_13872661/ Tue, 20 Nov 2018 18:00:03 +1100 https://www.proactiveinvestors.com.au/companies/rns/15239/LSE20181120070003_13872661/ <![CDATA[RNS press release - Successful Placing to Raise Approximately £1.035M ]]> https://www.proactiveinvestors.com.au/companies/rns/15239/LSE20181119144654_13872288/ Tue, 20 Nov 2018 01:46:54 +1100 https://www.proactiveinvestors.com.au/companies/rns/15239/LSE20181119144654_13872288/ <![CDATA[News - European Metals raises £1.0355mln via a share placing to advance its corporate strategy ]]> https://www.proactiveinvestors.com.au/companies/news/209491/european-metals-raises-10355mln-via-a-share-placing-to-advance-its-corporate-strategy-209491.html European Metals Holdings Limited (LON:EMH) (ASX:EMH) has raised gross proceeds of £1,035,500 via a share placing to advance the group’s corporate strategy, including to progress its drilling programme and upgrade its resource model.

The AIM-listed company, which controls the Cinovec lithium deposit in the Czech Republic, the largest in Europe, said it had issued 5,177,500 new ordinary shares - represented by Chess Depositary Interests (CDIs) - with new and existing investors at an issue price of 20p each.

WATCH: European Metals kicks off DFS drilling at Cinovec Lithium-Tin project

The issue price represents around a 13% discount to the closing mid-market share price last Friday. In late afternoon trading on Monday, European Metal shares were 6.5% lower at 21.50p. 

European Metal said the funds raised will also be used to begin the engineering process for a Definitive Feasibility Study; progress Environmental Impact Assessments for mining and processing; operate a pilot plant for production of samples for marketing; and progress discussions with potential strategic partners.

The company pointed out that investor Cadence Minerals Plc (LON:KNDC) subscribed for a total of 250,000 placing shares taking its holding in European Metal to a total of 28,096,470 CDIs representing 19.16% of the enlarged issued share capital.

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Mon, 19 Nov 2018 15:22:00 +1100 https://www.proactiveinvestors.com.au/companies/news/209491/european-metals-raises-10355mln-via-a-share-placing-to-advance-its-corporate-strategy-209491.html
<![CDATA[RNS press release - Appointment of Joint Broker ]]> https://www.proactiveinvestors.com.au/companies/rns/15239/LSE20181107070003_13857513/ Wed, 07 Nov 2018 18:00:03 +1100 https://www.proactiveinvestors.com.au/companies/rns/15239/LSE20181107070003_13857513/ <![CDATA[RNS press release - Resource Drilling Commenced ]]> https://www.proactiveinvestors.com.au/companies/rns/15239/LSE20181105090351_13854793/ Mon, 05 Nov 2018 20:03:51 +1100 https://www.proactiveinvestors.com.au/companies/rns/15239/LSE20181105090351_13854793/ <![CDATA[Media files - European Metals kicks off DFS drilling at Cinovec Lithium-Tin project ]]> https://www.proactiveinvestors.com.au/companies/stocktube/11097/european-metals-kicks-off-dfs-drilling-at-cinovec-lithium-tin-project-11097.html Mon, 05 Nov 2018 09:58:00 +1100 https://www.proactiveinvestors.com.au/companies/stocktube/11097/european-metals-kicks-off-dfs-drilling-at-cinovec-lithium-tin-project-11097.html <![CDATA[News - European Metals lifted as it begins drilling campaign at Cinovec ]]> https://www.proactiveinvestors.com.au/companies/news/208500/european-metals-lifted-as-it-begins-drilling-campaign-at-cinovec-208500.html European Metals Holdings Limited (LON:EMH) saw its shares tick upwards in early trading Monday at it commenced a drilling campaign at its Cinovec Lithium-Tin project in the Czech Republic.

The AIM-listed miner said the first hole of the drilling programme, CIS-10, had been completed at 340 metres, with a total of eight holes to be drilled in the campaign for 2,560 metres.

READ: European Metals shares lifted as it updates on Cinovec project

The company added that geophysical logging of the first four geotechnical drill holes at the proposed mine portal site had been completed, with five more geotechnical drill holes planned once resource drilling had finished.

The drilling is aiming to convert a sufficient portion of the existing indicated mineral resources at the site to the measured resource category that will cover the first two years of EMH’s scheduled mining plan.

Keith Coughlan, managing director of European Metals, said the campaign would provide an upgrade to Cinovec’s existing resources, adding that they looked forward to being able to release the results of their lithium hydroxide, the final product, option study.

Shares were up 2% at 25.2p.

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Mon, 05 Nov 2018 09:40:00 +1100 https://www.proactiveinvestors.com.au/companies/news/208500/european-metals-lifted-as-it-begins-drilling-campaign-at-cinovec-208500.html
<![CDATA[RNS press release - Quarterly Cashflow Report ]]> https://www.proactiveinvestors.com.au/companies/rns/15239/LSE20181031074015_13848971/ Wed, 31 Oct 2018 18:40:15 +1100 https://www.proactiveinvestors.com.au/companies/rns/15239/LSE20181031074015_13848971/ <![CDATA[RNS press release - Quarterly Activities Report ]]> https://www.proactiveinvestors.com.au/companies/rns/15239/LSE20181031073441_13848962/ Wed, 31 Oct 2018 18:34:41 +1100 https://www.proactiveinvestors.com.au/companies/rns/15239/LSE20181031073441_13848962/ <![CDATA[News - European Metals shares lifted as it updates on Cinovec project ]]> https://www.proactiveinvestors.com.au/companies/news/208213/european-metals-shares-lifted-as-it-updates-on-cinovec-project-208213.html European Metals Holdings Limited (LON:EMH ASX:EMH) saw its shares rise in early trading Wednesday after it updated on its Cinovec project in the Czech Republic.

The miner said in an update for the third quarter that additional roast optimisation test work had been completed and sustained improved recoveries meant lithium carbonate production was predicted to increase to 22,500 tonnes per annum (tpa) from 20,800 tpa previously.

WATCH: European Metals secures key permits as Cinovec project advances

The raised production forecast also meant that projected cash margins would be around 10%, with the company adding that the preparation of 2 tonnes of lithium concentrate via magnetic separation for lithium carbonate pilot plant trials was almost complete.

EMH also said in the update that work had commenced on an update of the preliminary feasibility study to model the production of higher value lithium hydroxide due to its increasing use in lithium ion batteries, with permits granted for geotechnical drilling at Cinovec.

The company had also received resource drilling permits for a definitive feasibility study, with the first 4 geotechnical drill holes at the proposed site of the mine portal completed.

Testing of a revised lithium hydroxide product flowsheet at Dorfner Anzaplan in Germany had also commenced on schedule.

In a separate announcement, the firm said it had used A$1.1mln in net cash in the third quarter, with its cash and cash equivalents at the end of the period at A$1.1mln.

EMH also estimated that total estimated cash outflows for the next quarter would total A$863,000.

Shares were up 2.9% at 26p.

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Wed, 31 Oct 2018 08:55:00 +1100 https://www.proactiveinvestors.com.au/companies/news/208213/european-metals-shares-lifted-as-it-updates-on-cinovec-project-208213.html
<![CDATA[RNS press release - DFS Level Drilling Permits Granted - LiHO Testwork ]]> https://www.proactiveinvestors.com.au/companies/rns/15239/LSE20181001070003_13810006/ Mon, 01 Oct 2018 16:00:03 +1000 https://www.proactiveinvestors.com.au/companies/rns/15239/LSE20181001070003_13810006/ <![CDATA[Media files - European Metals secures key permits as Cinovec project advances ]]> https://www.proactiveinvestors.com.au/companies/stocktube/10663/european-metals-secures-key-permits-as-cinovec-project-advances-10663.html Mon, 01 Oct 2018 09:31:00 +1000 https://www.proactiveinvestors.com.au/companies/stocktube/10663/european-metals-secures-key-permits-as-cinovec-project-advances-10663.html