Li-FT Power (TSXV:LIFT) - The Next North American Lithium Supplier?

Company Interviews

Interview with Alex Langer, President & Director of Li-FT Power Ltd.

Our previous interview: https://www.cruxinvestor.com/posts/li-ft-power-tsxvlift-upcoming-lithium-resource-update-5344

Recording date: 4th June 2024

Li-FT Power is emerging as a compelling investment opportunity in the rapidly evolving lithium market. The company's flagship project near Yellowknife, Canada, is shaping up to be one of the largest hard rock lithium resources on the continent. With demand for battery metals soaring on the back of government incentives and the EV revolution, Li-FT Power is positioning itself to be a key supplier to the North American supply chain.

Over the past year, the company has completed more than 50,000 meters of drilling in the last 12 months, outlining a significant spodumene pegmatite system. Li-FT Power expects to release its maiden NI 43-101 resource report by the end of this summer. President & CEO Alex Langer is confident the report will show the project is "absolutely major" in size, potentially vaulting it to the top of the list of undeveloped lithium assets.

While the resource estimate will be a key catalyst, Li-FT Power is already taking steps to systematically de-risk the project. Metallurgical studies are underway to define the optimal processing route. Environmental baseline work has begun, and the company is engaging early and often with local indigenous communities. These efforts demonstrate Li-FT Power is following a clear blueprint to advance the asset towards development and production.

The company's strategy is to move with speed and purpose. Langer sees a narrow window for new lithium projects to enter production before the market faces a structural supply deficit. He believes only 10-20 major new mines will be built in time to serve the demand surge. By accelerating its timeline and checking off key milestones, Li-FT Power is looking to secure its position in this exclusive club.

Importantly, the company has laid the groundwork to attract the significant capital a large project like this will require. The board has been restructured to bring in key skills around indigenous engagement, permitting, and M&A. This signals Li-FT Power is readying itself for the transition from explorer to developer and potential acquirer.

Situated in the stable jurisdiction of Canada, Li-FT Power's project is ideally positioned to supply the U.S. market. The Inflation Reduction Act (IRA) has unleashed a scramble to secure "IRA-compliant" sources of lithium. Supply from China will not meet the bill's increasingly stringent requirements. This creates a premium opportunity for North American projects that can fill the gap. Li-FT Power is already seeing keen interest from Korean and Japanese battery makers looking to preserve access to American consumers.

The upcoming resource report is the key catalyst to watch. A large, high-quality resource could quickly make Li-FT Power the go-to name for exposure to North American lithium development. Positive metallurgical results would further enhance the project's appeal. In a market facing long-term supply shortfalls, companies with large, scalable, de-risked assets in good jurisdictions will be in high demand.

Li-FT Power has a clear path to creating significant shareholder value. With one of the biggest lithium resources in Canada, a methodical de-risking plan, and a board built for the next phase, the company is positioning itself to play a major role in the North American EV supply chain. As the scramble to secure "IRA-compliant" lithium intensifies, Li-FT Power stands out as a prime investment target. The upcoming catalysts could be just the spark to illuminate this opportunity for the market.

View Li--FT Power's company profile: https://www.cruxinvestor.com/companies/li-ft-power-ltd

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