Lithium holds a prominent position among the 35 minerals recognized as crucial to the economic and national security of the United States, as initially listed by the U.S. Department of the Interior on May 18, 2018. In June 2021, the U.S. Department of Energy unveiled the "National Blueprint for Lithium Batteries 2021-2030" (hereafter referred to as the "NBLB Report"). This report, developed by the Federal Consortium for Advanced Batteries (FCAB), a collaborative effort involving the U.S. Departments of Energy, Defense, Commerce, and State, emphasizes one of its primary objectives as "securing U.S. access to raw materials for lithium batteries." Notably, in the NBLB Report, Ms. Jennifer M. Granholm, the U.S. Secretary of Energy, underscores the significance of lithium-based batteries, which power a spectrum of daily applications, from consumer electronics to national defense. She further highlights their role in facilitating transportation electrification and supporting stationary grid storage, essential components in the development of a sustainable clean-energy economy.
The NBLB Report provides a comprehensive summary of the U.S. government's perspective on the demand for lithium and the anticipated expansion of the lithium battery market:
"To establish a strong and secure domestic industrial foundation for lithium-based batteries, it is imperative to have dependable access to raw, refined, and processed material inputs..."
"The global lithium battery market is projected to expand by a factor of 5 to 10 in the coming decade."
Our Masvingo Lithium Project comprises 54 mineral rights dedicated to lithium, strategically situated in the southern region of the Masvingo Province, Zimbabwe. These rights encompass areas within the municipalities of Bikita, Chiredzi, Chivi, Gutu, Mwenezi and Zaka.
Our Masvingo Lithium Project presently encompasses 54 mineral rights, spanning across roughly 59,275 acres (240 km2). Notably, a number of these rights are situated in close proximity to, or adjacent to, mineral rights owned by a prominent publicly traded competitor. This competitor, supported by extensive drilling efforts, has substantiated the existence of lithium deposits exceeding 80 million tons, as indicated in their publicly available filings.
Our exploration efforts on select mineral rights within our Masvingo Lithium Project have yielded evidence of hard rock pegmatites featuring lithium mineralization. In light of the close proximity to regions with economically significant lithium deposits, our technical experts are inclined to believe that one or more sections of our Masvingo Lithium Project may likewise harbor comparable lithium deposits.