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SHOP Stock Ready to Surge: An Options Strategy to Take Advantage of the Big Move

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Shopify (SHOP) continues to show strong potential for growth, which is supported by fundamentals and technicals. As the broader e-commerce market expands, SHOP is well-positioned to capture additional market share from rivals such as Amazon.com (AMZN), thanks to its competitive suite of solutions for businesses of all sizes. SHOP has continued outperforming its peers in earnings and revenue growth, which supports its future growth.

Recently, SHOP’s stock price broke out above its trading range and has pulled back to its $67 support level. This provides an attractive risk/reward opportunity for bullish exposure. The stock is also trading above its 200-day simple moving average, a positive trend signal, with a potential breakout to the $85 level based on historical price action. This gives investors an entry point near a solid support level while maintaining significant upside potential.

CHART 1. DAILY CHART OF SHOP STOCK. After breaking out of a trading range, SHOP’s stock price has pulled back to a support level. SHOP has the potential to break out to the $85 level. The stock is trading above its 200-day moving average, its relative strength to the S&P 500 is close to zero, and the MACD is in the early stages of a bullish crossover.Chart source: StockCharts.com. For educational purposes.

Fundamental Analysis of SHOP Stock

Shopify’s valuation appears fairly justified, with a Forward P/E ratio of 53.47x, which is high but reflects its exceptional expected earnings per share (EPS) growth rate of 185.5%, compared to an industry average of only 13.68%. Its expected revenue growth of 21.88% also outpaces the industry average of 8.59%. Moreover, despite the high valuation, SHOP maintains healthy net margins at 16.33%, close to the industry average of 17.83%. This rapid growth and strong profitability metrics support the stock’s long-term bullish outlook.

SHOP Stock Options Structure

I recommend a Call Vertical Spread using the SHOP November 1, $75/85 strikes at a net debit of $2.96 to take advantage of this potential upside. This trade entails:

        •       Buying the Nov 1 $75 calls at $4.33

        •       Selling the Nov 1 $85 calls at $1.37

Below is the risk curve for the Call Vertical Spread.

This options strategy offers a maximum reward of $704, with a risk of $296, providing a favorable risk/reward ratio. The breakeven price for the trade is $77.96, meaning Shopify’s stock price only needs to trade slightly above its current levels for this strategy to be profitable. If SHOP reaches $85 or higher by expiration, this trade could achieve a 238% return on investment!

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The Secret to Perfecting SPY Entry Points? RSI!

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In this exclusive StockCharts TV video, Joe shows how to use RSI in multiple timeframes to identify the next buying opportunity in the SPY. Joe thinks this rally is important; he uses the ADX to distinguish between the strength in different indices. Joe demonstrates how he moves quickly around ACP, discussing some valuable sector action in the process. Finally, he goes through the symbol requests that came through this week, including NVDA, PYPL, and more.

This video was originally published on September 18, 2024. Click this link to watch on StockCharts TV.

Archived videos from Joe are available at this link. Send symbol requests to stocktalk@stockcharts.com; you can also submit a request in the comments section below the video on YouTube. Symbol Requests can be sent in throughout the week prior to the next show.

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Stock Market Today: Fed Cuts Rates and Market Makes Last Minute U-Turn

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The stock market received what it expected from the Federal Reserve—a 50 basis point interest rate cut. Stocks rose initially, but the broader stock indexes—Dow Jones Industrial Average ($INDU), S&P 500 ($SPX), and Nasdaq Composite ($COMPQ)—closed lower. Small- and mid-cap indexes followed the broader indexes and closed slightly higher, with the S&P 600 Small Cap Index ($SML) rising by 0.09%. All S&P sectors except Energy closed lower.

It was a case of “buy the rumor, sell the news” after the Fed’s announcement. The stock market rose in anticipation of an interest rate cut, so a selloff after the announcement shouldn’t be a big surprise. It’s almost as if the anticipation fizzled off.

The selloff wasn’t too damaging, though. Equities are still holding up. The S&P 500 hit a record in Wednesday’s trading, but closed below its blue dashed trendline (see chart below).

CHART 1. S&P 500 CONTINUES TO BATTLE AGAINST RESISTANCE. After hitting an all-time high, the S&P 500 fell and closed below its downward-sloping trendline. The stochastic oscillator in the lower panel is starting to turn lower.Chart source: StockCharts.com. For educational purposes.

The stochastic oscillator is starting to turn lower, but is still above the 70 level. The S&P 500 is trading above its 21-day exponential moving average, which is still sloping higher. There still needs to be a series of higher highs to break the gentle downward-sloping trendline. Remember, it’s still September, and the latter part of the month tends to be weaker than the first half.

US Economy in Good Shape

Fed Chair Jerome Powell remarked that the economy is holding up well and heading toward a soft landing. His comments shifted from inflation, which continues to decline, to the labor market. The committee will closely watch the labor market, which is at 4.2% unemployment. That’s close to full employment.

Investors can expect another 50 basis point rate cut this year and an additional 100 basis points in 2025. Chairman Powell pointed out that investors shouldn’t expect 50 basis point cuts at the next meeting. The pace may be slower, going forward.

Earlier in the day on Wednesday, housing data painted a positive picture of the housing market. Housing starts and building permits rise, probably because of a fall in mortgage rates.

A strengthening housing market, falling inflation, and a stabilizing labor market point to economic stability.

Bonds Pull Back

Treasury yields rose after the rate cut decision, resulting in falling bond prices. It’s worth watching the bond market. The daily chart of the iShares 20+ Year Treasury Bond ETF (TLT) shows that Wednesday’s selloff was sizable. If TLT falls further, watch the upward-sloping trendline (blue dashed line) as a potential support level.

CHART 2. BOND PRICES ARE STILL IN AN UPTREND. Watch TLT’s price action at the blue trendline. This could be a viable support level at which the ETF could bounce off and move higher.Chart source: StockCharts.com. For educational purposes.

Ideally, when interest rates fall, bond prices should go up. If TLT bounces off the trendline and moves higher, it would be an opportunity to accumulate more positions in TLT.

Closing Position

Now that the stock market has received what it wanted, it’s taking a breather. Allow some time for the news to digest, which could take a couple of weeks, and look for signs of a market bottom. Toward the last hour of trading, there was much selling across the board. Let’s see if the selling continues tomorrow or abates.

Disclaimer: This blog is for educational purposes only and should not be construed as financial advice. The ideas and strategies should never be used without first assessing your own personal and financial situation, or without consulting a financial professional.

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Pharma Stocks: 5 Biggest Companies in 2024

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The pharmaceutical industry is a major player in the overall life science sector, responsible for developing and manufacturing the majority of prescription drugs.

Companies in this space are constantly researching and creating innovative treatments for various medical conditions. In recent years, there has been a particular focus on developing new treatments for diabetes, weight loss and cancer.

With the pharmaceutical sector projected to reach a staggering US$1.6 trillion in total revenue by 2028, there is an opportunity for investors to gain exposure to the growth potential of this industry while also benefiting from the diversification and stability provided by established companies.

1. Eli Lilly and Company (NYSE:LLY)

Company Profile

Market cap: US$860.11 billion

Founded in 1876, Eli Lilly and Company employs approximately 10,000 individuals for research and development in seven countries and has products marketed in 110 countries, including therapies for diabetes, cancer, immune system diseases and a wide range of mental health conditions. The company also has drugs in development for various medical conditions, such as skin ailments, cancers, Crohn’s disease, diabetes, obesity and Alzheimer’s disease.

Eli Lilly’s Alzheimer’s disease drug donanemab completed its Phase 3 trial in May 2023, with test results showing ‘significant’ slowing of cognitive and functional decline for people with early symptoms of the disease. The drug, sold under the name Kisunla, was approved by the US Food and Drug Administration on July 2, 2024.

2. Novo Nordisk (NYSE:NVO)

Company Profile

Market cap: US$594.89 billion

Danish company Novo Nordisk has demonstrated a commitment to addressing various health conditions, such as type I and II diabetes, obesity, hemophilia and growth disorders, and markets its therapies in 170 countries. The company’s main product is the diabetes drug Ozempic, which is also marketed for obesity under the name Wegovy

It has been conducting research into a new obesity treatment called amycretin, which targets both GLP-1 and amylin receptors. Phase 2 trials are ongoing, but early-stage results show that volunteers taking amycretin have lost up to 13.1 percent of their body weight after 12 weeks, compared to 6 percent seen in patients taking Wegovy, which only targets GLP-1, according to the company.

Novo Nordisk has a working partnership with Microsoft (NYSE:MSFT) through which it uses the tech giant’s artificial intelligence (AI), cloud and computational services to facilitate the discovery of new drugs and treatments. The firm announced in March it will work with AI heavyweight NVIDIA (NASDAQ:NVDA) to build the Danish Center for AI Innovation, which will host an NVIDIA supercomputer and will run on 100 percent renewable energy.

3. Johnson & Johnson (NYSE:JNJ)

Company Profile

Market cap: US$399.96 billion

Johnson & Johnson operates on a massive scale and encompasses various segments through its subsidiaries. Its primary pharmaceutical subsidiary is Janssen Pharmaceuticals, which focuses on cardiovascular disease and metabolism, infectious diseases and vaccines, neuroscience, oncology, immunology and pulmonary hypertension.

Johnson & Johnson acquired a clinical-stage biopharmaceutical company called Ambrx Biopharma on July 3, which will allow the company to further develop antibody-drug conjugates, expanding its offering of targeted oncology therapies.

On January 30, following positive data from a Phase III study, the company submitted its drug Darzalex Faspro to the FDA for the treatment of newly diagnosed multiple myeloma in patients who are eligible to receive a transplant. The agency approved the treatment on July 30. The same request was submitted to the European Medicines Agency on March 4, but it has not received approval there at the time of this writing.

4. Merck & Company (NYSE:MRK)

Company Profile

Market cap: US$300.73 billion

Merck & Company has an extensive portfolio of products, including treatments for conditions such as diabetes and cancer, as well as vaccines for a variety of diseases.

Merck has a robust research and development pipeline, with over 80 programs currently in Phase II trials, over 30 in Phase III trials and more than 10 under review. The company is actively pursuing treatments for a range of conditions, including HIV, Ebola, hepatitis C, cardio-metabolic disease and antibiotic-resistant infections.

On March 13, Merck revealed plans to develop a new version of its human papillomavirus (HPV) vaccine Gardasil; it will be a multi-valent vaccine that will protect against more strains of HPV. The company also plans to run a separate trial to evaluate the results of a single dose of Gardasil 9, its current vaccine, compared to the previous three-dose regimen. Merck intends to begin the two trials in the fourth quarter of 2024.

On September 18, the FDA approved Merck’s cancer drug Keytruda for the treatment of unresectable advanced or metastatic malignant pleural mesothelioma (MPM) in adult patients, in combination with pemetrexed and platinum chemotherapy.

5. AbbVie (NYSE:ABBV)

Company Profile

Market cap: US$340.8 billion

AbbVie is a global biopharmaceutical company that discovers and delivers innovative medicines and solutions to address complex health issues. The company has identified five areas of focus where it believes it can make a significant impact in improving treatments for patients: immunology, oncology, neuroscience, eye care and aesthetics.

Its biggest performer was Humira, a therapy for autoimmune conditions such as rheumatoid arthritis and Crohn’s disease, but its exclusivity ended in 2023 and biosimilars have now entered the market.

On February 28, AbbVie announced a strategic partnership with OSE Immunotherapeutics (LSE:0RAD,EPA:OSE), a clinical-stage immunotherapy company, to develop a monoclonal antibody to treat chronic and severe inflammation.

‘This collaboration underscores our commitment to expanding our immunology portfolio with the ultimate goal of improving the standard of care for patients living with inflammatory diseases globally,’ said Jonathon Sedgwick, PhD, senior vice president and global head of discovery research at AbbVie.

The firm cemented that point with the March 25 news that it has entered a definitive agreement to acquire Landos Biopharma (NASDAQ:LABP), a clinical-stage biopharma company that develops oral therapeutics for autoimmune diseases.

AbbVie declared a quarterly dividend of US$1.55 per share on September 6, payable on November 15, 2024.

FAQs for pharmaceutical stocks

What does the pharmaceutical industry do?

The pharmaceutical industry encompasses a variety of companies that have different — although sometimes overlapping — roles to play. The most famous players are the ‘Big Pharma’ companies. These giants often have a variety of subsidiaries, large pipelines and many products in their portfolios.

There are also smaller pharma R&D companies, which sometimes get acquired by larger firms if their work seems promising. Companies in these categories research, develop and bring to market drugs aimed at filling unmet needs, or helping people who are resistant to pre-existing treatments.

Once patents run out on prescription drugs, generic drug manufacturers create much cheaper generic versions. Wholesale companies also play a large role in the pharma sector. According to Common Wealth Fund, wholesalers have four areas through which they affect drug buying and distribution: ‘setting generic drug prices, leveraging list price increases, competing in specialty drug distribution, and mitigating or exacerbating drug shortages.’

What is the big pharma business model?

Big Pharma companies have a fairly consistent business model. Often, the company’s R&D team will slowly develop a new drug through many stages of testing to prove the drug’s efficacy, safety and necessity.

If all trials are completed successfully, the company will apply to government organizations such as the FDA, which must approve the drug before it can be mass produced, marketed and sold. Companies can skip a number of these steps by acquiring smaller companies, or through in-licensing, which results in two companies sharing the burden of a drug’s development through to commercialization. However, it’s worth noting that large pharma companies have many drugs in their pipelines at any given time, and many don’t make it to approval.

Once a drug is approved by the relevant health organization, it can be marketed and prescribed. Because patents expire after 20 years, companies lobby and advertise to try to get as many sales as possible during that window.

Who are the ‘Big 3’ in pharma?

The ‘Big 3’ in pharma refers to the three largest wholesalers: AmerisourceBergen (NYSE:ABC), Cardinal Health (NYSE:CAH) and McKesson (NYSE:MCK). Collectively, those three companies account for over 92 percent of wholesale prescription drug distribution in the US.

Which country is number one in the pharma industry?

The US is the top pharmaceutical country, with five of the top 10 pharma companies by revenue headquartered in the nation. The country is also in the lead when it comes to consumer spending on pharmaceuticals — this is due to the high cost of brand-name drugs. Aside from that, the US is the top country globally for R&D spending — companies that are part of PhRMA, a trade group that represents US biopharmaceutical companies, spent US$100.84 billion on R&D in 2022 out of a total of US$244 billion spent by pharmaceutical companies globally that year.

What are the problems in the pharmaceutical industry?

One of the largest problems with the pharmaceutical industry, particularly in the US, is the high cost of treatments. According to a study looking at American prescription drug spending between 2016 and 2021, prescription drug prices were 2.5 times the cost on average of prices in similar high-income nations.

In early 2023, US President Joe Biden signed the Inflation Reduction Act (IRA) into law intending to reduce healthcare costs and improve access to medications for patients; however, it may present new challenges and opportunities for pharmaceutical companies as they adapt to the evolving regulatory and market landscape.

Critics have argued that the IRA could negatively impact drug development and innovation due to additional regulatory hurdles and increased operational costs, potentially reducing the incentive to invest in R&D. Additionally, the IRA requires drug companies to pay rebates to Medicare if they raise the price of drugs faster than inflation. If the industry can’t adjust its prices in response to market conditions, it could deter investment in new drug development.

What is the future of pharmaceuticals?

Pharmaceutical companies will have to adapt to changing times. The world is shifting, with economic woes, geopolitical disruptions and supply chain concerns affecting nearly every sector. Innovation continues to accelerate as well, and the medical landscape has changed in the wake of COVID-19. Additionally, the US government is making moves to address the astronomical prices of prescription medicine as the industry comes under more scrutiny.

For a look at what is else is effecting the market, read our 2024 Pharma Market Forecast.

Are pharmaceutical stocks risky?

While established players like the Big Pharma and wholesale companies discussed above should be relatively consistent, small companies are make-or-break depending on whether their drugs are successful. This means that investors could see much higher returns compared to large companies, but run the risk of taking massive losses in the case of failure.

Securities Disclosure: I, Meagen Seatter, hold no direct investment interest in any company mentioned in this article.

This post appeared first on investingnews.com

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NioCorp Aiming to Boost US Rare Earths Supply Via Recycling

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NioCorp Developments (NASDAQ:NB) said on Wednesday (September 18) that it will discuss its plans for producing and potentially recycling rare earth elements at the International Rare Earths Conference.

The event will be held in Washington, DC, and NioCorp will present on October 15. The company will focus on its efforts to produce magnetic rare earth oxides, such as dysprosium and terbium, at its Elk Creek project.

In addition to production, the company will explore the possibility of recycling post-consumer rare earth magnets, aiming to contribute to a growing need for sustainable rare earths supply chains.

Elk Creek, which is located in Nebraska, is designed to utilize a whole ore leach process that would allow NioCorp to extract niobium, scandium, titanium and potentially rare earth oxides from the site.

According to the company, the asset contains the largest indicated terbium resource in the US, as well as the second largest indicated neodymium-praseodymium and dysprosium resources.

The project’s scope may include the recycling of neodymium-iron-boron (NdFeB) magnets, which are commonly used in various high-tech applications, such as electric vehicles and wind turbines.

Recycling these magnets could provide a new source of rare earth oxides, reducing reliance on traditional mining operations and global supply chains, particularly from China.

The company is looking to process magnetic rare earth concentrates from sources outside the Asian nation, potentially boosting the production of rare earth elements like dysprosium and terbium.

These elements are critical for various industries, including energy, electronics and defense.

NioCorp plans to begin testing the feasibility of recycling NdFeB magnets once it secures sufficient funding. It aims to research processes to de-magnetize, prepare and grind used magnets into feedstock that could be converted back into separated rare earths products at the Elk Creek facility through NioCorp’s planned chemical processes.

If successful, this could allow NioCorp to increase its planned production of neodymium-praseodymium oxide, dysprosium oxide and terbium oxide beyond what is contained in the Elk Creek ore.

Securities Disclosure: I, Giann Liguid, hold no direct investment interest in any company mentioned in this article.

This post appeared first on investingnews.com

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Wheaton Precious Metals Dedicates US$1 Million Prize to Drive Cleantech Innovation

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Wheaton Precious Metals ( TSX:WPM,NYSE:WPM)announced the launch of the Future of Mining Challenge, a global competition aimed at advancing technological innovation in the mining sector.

The initiative, developed in collaboration with Foresight Canada, seeks to foster solutions that will reduce greenhouse gas emissions and improve overall efficiency in mining operations.

The focus is on technology that can reduce the environmental impact of base and precious metals mining, in line with Wheaton’s commitment to addressing challenges revolving around carbon emissions and efficiency.

Cleantech companies and innovators from around the world are invited to participate. The goal is to identify scalable solutions that can be applied to mining operations across the globe.

A US$1 million prize will be awarded to the winner, with applications opening on Wednesday (September 18).

Randy Smallwood, president and CEO of Wheaton Precious Metals, emphasized the critical role that mining plays in the global economy. “It is critical that we foster innovation and collaboration to improve the future of mining, with a goal of making current practices more efficient and sustainable,” he said in a press release.

Foresight Canada specializes in fostering clean technology innovation, and CEO Jeanette Jackson echoed the dual objective of the competition: reducing emissions while enhancing productivity and profitability in the mining sector.

‘By working together, we will seek to identify solutions whose goal is to not only reduce emissions but enhance the productivity and profitability of the global mining sector. We are excited to see the innovations that emerge,’ she noted.

A panel of industry experts will review the proposals, and the winner will be announced at next year’s Prospectors & Developers Association of Canada convention, scheduled to run from March 2 to 5, 2025, in Toronto, Canada.

The deadline for Future of Mining Challenge applications will be at the end of the year.

Securities Disclosure: I, Giann Liguid, hold no direct investment interest in any company mentioned in this article.

This post appeared first on investingnews.com

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What are Prefeasibility and Feasibility Studies? (Updated 2024)

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Resource investors new to the market might see quite a few unfamiliar phrases in news releases. Prefeasibility and feasibility studies are definitely two key mining terms to know.

Prefeasibility and feasibility studies are inherently linked to each other — understanding their differences creates a clearer idea of what they are and how they’re used. Their key similarity is that they represent milestones for mining and exploration companies.

On that note, let’s take a closer look at what exactly prefeasibility and feasibility studies are, as well as how they fit into company plans and the lifecycle of a mining project.

What is a prefeasibility study?

A prefeasibility study (PFS) is an early stage analysis of a potential mining project. These studies are conducted by a small team and are designed to give company stakeholders the basic information they need to greenlight a project or choose between potential investments. They typically give an overview of a mining project’s logistics, capital requirements, key challenges and other information deemed important to the decision-making process, such as whether the operation will be open pit or underground.

What comes before a prefeasibility study?

Prefeasibility studies are usually preceded by sufficient mineral exploration work, including drilling, to inform a mineral resource report, a potential model of the orebody and a scoping study.

What is a scoping study?

A scoping study, also known as a preliminary economic assessment or a PEA, is a study that includes initial technical and economic analysis of the potential viability of a project’s mineral resources.

PEAs should include base-case data on the capital costs associated with bringing a project into production, an estimate of how the mine will operate once it is built, how much metal and money it will produce and what operating costs it will incur. PEAs help mining companies understand risks and uncertainties associated with a project by providing information on pre-production capital costs, life-of-mine sustaining capital, mine life and cash flow, as well as details on processing and production methods and rates.

When and why do companies undertake prefeasibility studies?

Following a preliminary mineral resource report and the creation of an orebody model, a PFS acts as one of the first explorations of a potential investment. Companies use these studies to collect information before investing millions of dollars into tasks like acquiring permits or research equipment.

What information does a prefeasibility study include?

In addition to information relating to geological models and mine design, prefeasibility studies take into account factors that may impact or interfere with the final project. That can involve community issues, geographic obstacles, permit challenges and more.

A comprehensive PFS should include detailed designs and descriptions for the mining operation, as well as cost estimates, project risks, safety issues and other important information. There should also be multiple options included in the study for tackling different issues, as that will provide organizations with more ways to overcome potential challenges.

What happens if prefeasibility study results are positive? Negative?

If a PFS shows a positive base-case scenario, the company will likely move on to the next stage, a feasibility study. If the study is negative, an organization may head back to the drawing board or abandon the potential project altogether.

What is a feasibility study?

A feasibility study is an in-depth evaluation of a mining project with and established mineral resource. These studies are intended to evaluate if a mineral reserve can be mined effectively and if it will be profitable. Detailed mining feasibility studies are also used as the basis for a project’s capital estimates, operating costs and overall economic viability.

What is the difference between prefeasibility and feasibility studies?

While the cover many of the same topics, the main difference between prefeasibility and feasibility studies is that the latter are meant to be much more accurate and require more resources to complete. Feasibility studies should offer estimates that are within 10 to 20 percent accuracy, whereas prefeasibility studies are allowed to run between 20 and 30 percent.

When and why do companies undertake feasibility studies?

At this point in the process, organizations already have large sums of money at stake and a drive to see their project through to completion. Feasibility studies are all about reducing risks and addressing potential issues that may complicate a mining project. The studies also include information that is helpful for stakeholders such as local governments or environmental analysts.

In a guide to feasibility studies, Don Hofstrand and Mary Holz-Clause of Iowa State University note, “A feasibility study is usually conducted after producers have discussed a series of business ideas or scenarios.” The number of business alternatives being considered can be reduced from here.

What information do feasibility studies include?

Feasibility studies cover many important points, including economic, legal, operational and scheduling issues. Feasibility studies should be able to address questions across these topics and feature information about the technical feasibility of a project, as well as how much it will cost, whether it’s in accordance with the law, how operations will work and when it can be completed.

Market analysis research can also be a vital part of the feasibility study phase. This type of research is intended to ensure that there is demand for the metal or commodity a project may produce. Market research also helps to zero in on competition in the marketplace. This type of information on markets and demand is especially valuable for investors.

What happens if the feasibility study results are positive? Negative?

Feasibility studies act as tools that provide CEOs and mining engineers with as much detailed information as possible to make intelligent and strategic decisions regarding the development of a project. Positive results will likely move the project forward as is. Decisions will vary, but reactions to negative results can include choices like canceling projects, bringing in partners, increasing investment or changing schedules.

Why should investors care?

Both prefeasibility and feasibility studies can provide investors with useful updates on the progress of a company’s project. These studies help create a more concrete picture about a company’s milestones and challenges moving forward.

Securities Disclosure: I, Melissa Pistilli, hold no direct investment interest in any company mentioned in this article.

This post appeared first on investingnews.com

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Low Cost Technology to be Trialed in DLE Pilot Plant Conversion Stage, Aiming to Lower Energy Use and CO​2 Emissions

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CleanTech Lithium PLC (AIM:CTL, Frankfurt:T2N, OTCQX:CTLHF), an exploration and development company advancing sustainable lithium projects in Chile, announces it has completed due diligence on the use of industrial forward osmosis (iFO) as an alternative to using a standard thermal evaporator for eluate concentration in it´s pilot plant conversion stage. iFO provides several benefits to optimise the downstream process to produce battery-grade lithium carbonate.

Highlights:

CTL has investigated utilising iFO for eluate concentration, the first step in the downstream conversion process, with the method achieving higher water recovery and up to 60% lower energy consumption and CO2 emissions compared to using conventional thermal evaporatorsiFO also has high efficiency when utilising solar thermal for power supply An iFO demonstration unit, provided by Forward Water Technology based in Canada, is preparing for shipment from Toronto to the facilities of Conductive Energy in Chicago, USAConductive Energy will convert the eluate produced from our DLE pilot plant in Copiapó, Chile, using feed brine from Laguna Verde, into battery grade lithium carbonateAn initial volume of 88m3 of concentrated eluate, equal to approximately one tonne of lithium carbonate equivalent (LCE), is at Conductive Energy´s facility, with transport and commissioning of the iFO unit expected to take approximately two weeks

Steve Kesler, Executive Chairman and Interim CEO, of CleanTech Lithium PLC, said:

‘Our team has undertaken a tremendous amount of work on selecting and optimising the DLE process for the Laguna Verde project, and this has extended to the downstream conversion process where we are working with Conductive Energy. Previous test-work confirmed that a downstream process has been developed that will efficiently produce battery-grade lithium carbonate for the Laguna Verde project at pilot scale, including use of Forward Osmosis which we are investigating as an alternative for eluate concentration. This has the potential to lower energy consumption, CO2 emissions and both capital and operating costs.’

Further Information

CleanTech Lithium has engaged Conductive Energy for the conversion of lithium chloride eluate, produced using feed brine from Laguna Verde at our DLE pilot plant in Copiapó, Chile, into battery-grade lithium carbonate. Four containers of eluate with a total volume of 88m3 have been received by Conductive Energy at its Chicago, USA, facility with conversion to begin in October 2024. Conductive Energy´s conversion process is shown in Figure 1 which is based on standard industry process steps, other than the trialing of Forward Osmosis in the eluate concentration stage as an alternative to using a relatively more energy intensive thermal evaporator.

Figure 1: Conductive Energy Conversion Process

As due diligence in investigating alternative technologies capable of improving process performance, iFO was trialed in process test-work on a 200L sample of eluate undertaken at Conductive Energy´s facilities in Q2 2024. The full results of this test-work, which produced a sample of battery grade lithium with a purity of 99.75% lithium carbonate, was reported to the market on July 22, 2024. Results of the iFO stage of the test work achieved very good performance supporting the replacement of a thermal evaporator in concentrating eluate, with the key parameters and results provided in Table 1:

Parameter

Unit

Concentrated Eluate

R/O Concentrate

iFO Concentrate

Lithium (Li)

mg/L

2,194

5,700

18,000

Total Dissolve Solids (TDS)

mg/L

19,260

62,000

190,000

Laboratory

ALS Chile

Lambton.Scientific

Lambton.Scientific

Volume

L

215.5

66.3

13.9

Reduction in Volume

%

69.3%

94%

Table 1: Results from concentration of Laguna Verde eluate through R/O followed by iFO

A concentration of 18,000mg/L Li was set as the target concentration during iFO testing, representative of a typical lithium concentration used in the carbonation conversion process. Based on the Laguna Verde eluate, iFO can concentrate lithium up to 50,000 mg/L Li. Total water recovery of 94% was achieved during the eluate concentration, with the remaining 6% recycled or returned in the process. The DLE adsorbent used to produce the concentrated eluate achieved very high impurity rejection rates, except for boron, as previously reported (RNS July 22, 2024).

iFO testing was optimised for boron removal resulting in a 55% reduction based on weight. The achieved boron reduction is significant enabling improved process efficiency and product quality, while reducing energy consumption and operating costs associated with removal of boron using Ion Exchange (IX), which is the last process step prior to carbonation. In the Laguna Verde PFS currently underway, recovering this boron as a saleable by-product is being investigated.

Other benefits of iFO use include a 60% reduction in energy consumption compared to conventional thermal evaporators, and up to 80% if operated using a renewable energy source such as solar thermal as depicted in Figure 2 below. iFO´s low energy use when compared to thermal evaporation enables CO2 emission reduction by up to 60%, underscoring the sustainability benefits of this innovative technology.

Figure 2: Depiction of commercial scale iFO plant with solar thermal power supply

As a result of iFO performance during testing, CTL requested Conductive Energy to replace the thermal evaporator with iFO during the downstream conversion process for the next stage of conversion test-work, in which additional iFO operating information can be obtained such as energy requirements. A iFO demonstration unit with the capacity to process 35 m3/day of concentrated eluate will be supplied by Forward Water Technologies, which is shown in Figure 3 below, when final commissioning was underway. The unit is now ready for shipment from Toronto, Canada, and is expected to arrive at the Conductive Energy facility in Chicago, USA, in approximately one week. A further one week of on site commissioning is planned before the eluate conversion process will commence.

Figure 3: iFO demonstration unit with capacity to process 35 m3/day of eluate in final commissioning

Competent Persons

The following professional acts as qualified person, as defined in the AIM Note for Mining, Oil and Gas Companies (June 2009) and JORC Code (2012):

Marcelo Bravo: Chemical Engineer (Universidad Católica del Norte), has a Master’s Degree in Engineering Sciences major in Mineral Processing, Universidad de Antofagasta. He currently works as a Senior Process Consulting Engineer at the Ad-Infinitum company. Mr Bravo has relevant experience in researching and developing potassium, lithium carbonate, and solar evapo-concentration design processes in Chile, Argentina, and Bolivia. Mr Bravo, who has reviewed and approved the information contained in the chapters relevant to his expertise contained in this announcement, is registered with No. 412 in the public registry of Competent Persons in Mining Resources and Reserves per the Law of Persons Competent and its Regulations in force in Chile. Mr Bravo has sufficient experience relevant to the metallurgical tests and the type of subsequent processing of the extracted brines under consideration and to the activity being carried out to qualify as a competent person, as defined in the JORC Code. Mr Bravo consents to the inclusion in the press release of the matters based on his information in the form and context in which it appears.

The information communicated within this announcement is deemed to constitute inside information as stipulated under the Market Abuse Regulations (EU) No 596/2014 which is part of UK law by virtue of the European Union (Withdrawal) Act 2018. Upon publication of this announcement, this inside information is now considered to be in the public domain. The person who arranged for the release of this announcement on behalf of the Company was Gordon Stein, Director and CFO.

For further information contact:

CleanTech Lithium PLC

Steve Kesler/Gordon Stein/Nick Baxter

Jersey office: +44 (0) 1534 668 321

Chile office: +562-32239222

Or via Celicourt

Celicourt Communications

Felicity Winkles/Philip Dennis/Ali AlQahtani

+44 (0) 20 7770 6424

cleantech@celicourt.uk

Beaumont Cornish Limited (Nominated Adviser)

Roland Cornish/Asia Szusciak

+44 (0) 20 7628 3396

Fox-Davies Capital Limited (Joint Broker)

Daniel Fox-Davies

+44 (0) 20 3884 8450

daniel@fox-davies.com

Canaccord Genuity (Joint Broker)

James Asensio

+44 (0) 20 7523 4680

Beaumont Cornish Limited (‘Beaumont Cornish’) is the Company’s Nominated Adviser and is authorised and regulated by the FCA. Beaumont Cornish’s responsibilities as the Company’s Nominated Adviser, including a responsibility to advise and guide the Company on its responsibilities under the AIM Rules for Companies and AIM Rules for Nominated Advisers, are owed solely to the London Stock Exchange. Beaumont Cornish is not acting for and will not be responsible to any other persons for providing protections afforded to customers of Beaumont Cornish nor for advising them in relation to the proposed arrangements described in this announcement or any matter referred to in it.

Notes

CleanTech Lithium (AIM:CTL, Frankfurt:T2N, OTCQX:CTLHF) is an exploration and development company advancing sustainable lithium projects in Chile for the clean energy transition. Committed to net-zero, CleanTech Lithium’s mission is to produce material quantities of sustainable battery grade lithium products using Direct Lithium Extraction technology powered by renewable energy. The Company plans to be a leading supplier of ‘green’ lithium to the EV and battery manufacturing market.

CleanTech Lithium has two key lithium projects in Chile, Laguna Verde and Viento Andino, and hold licences in Llamara and Salar de Atacama, located in the lithium triangle, a leading centre for battery grade lithium production. The two major projects: Laguna Verde and Viento Andino are situated within basins controlled by the Company, which affords significant potential development and operational advantages. All four projects have direct access to existing infrastructure and renewable power.

CleanTech Lithium is committed to using renewable power for processing and reducing the environmental impact of its lithium production by utilising Direct Lithium Extraction with reinjection of spent brine. Direct Lithium Extraction is a transformative technology which removes lithium from brine, with higher recoveries than conventional extraction processes. The method offers short development lead times with no extensive site construction or evaporation pond development so there is minimal water depletion from the aquifer. www.ctlithium.com

Source

Click here to connect with CleanTech Lithium PLC (AIM:CTL, OTCQX:CTLHF, Frankfurt:T2N), to receive an Investor Presentation

This post appeared first on investingnews.com

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UN members vote to demand Israel end occupation of Palestinian territories within 12 months

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United Nations members voted overwhelmingly on Wednesday to demand that Israel end its occupation of Palestinian territories within 12 months.

The resolution was adopted in the UN General Assembly after receiving 124 votes in favor. Fourteen countries voted against, including the United States, Hungary, Israel, Argentina, Czechia, Fiji, Malawi, Micronesia, Nauru, Palau, Papua New Guinea, Paraguay, Tonga, and Tuvalu. Forty-three nations abstained from the vote.

The vote comes after the UN’s top court, the International Court of Justice, said in July that Israel’s presence in the West Bank and East Jerusalem is illegal and called on Israel to end its decades-long occupation of territories claimed by Palestinians for a future state.

In its advisory opinion, the ICJ said Israel should end its occupation “as rapidly as possible.” The UN’s resolution gives a 12-month timeline.

Riyad Mansour, Palestinian ambassador to the UN, called the vote a turning point “in our struggle for freedom and justice.”

The resolution was put forward by observer state Palestine, which was granted new privileges – including the right to submit proposals in the assembly – in May.

Danny Danon, Israel’s ambassador to the UN, meanwhile slammed the vote outcome as “a a shameful decision that backs the Palestinian Authority’s diplomatic terrorism.”

Neither the ICJ advisory opinion nor the assembly resolution are binding, however the two decisions could further isolate Israel as world leaders prepare to meet next week in New York for the annual UN General Assembly.

Israeli Prime Minister Benjamin Netanyahu and Palestinian Authority President Mahmoud Abbas are expected to address other world leaders at the UN on September 26.

Monitoring group Human Rights Watch (HRW) welcomed Wednesday’s resolution.

“Israel should immediately heed the demand of an overwhelming majority of UN member states to abide by the World Court’s historic ruling on Israel’s decades-long occupation,” Louis Charbonneau, UN director at HRW, said in a statement.

Amnesty International also welcomed the resolution and called on Israel to abide by it.

“This resolution vindicates long-standing calls from the Palestinian people and many countries around the world, by pursuing the implementation of the ICJ’s historic advisory opinion which confirmed Israel has a legal obligation to end its unlawful occupation of the OPT and its systemic discrimination against the occupied Palestinian population,” said Amnesty secretary general Agnes Callamard said.

During the 1967 war, Israel captured the West Bank, East Jerusalem, the Gaza Strip and the Golan heights from neighboring Arab states. Soon after, it began establishing Jewish settlements in these territories.

The Palestinians want the West Bank and Gaza for a future state, with East Jerusalem as its capital. Israel considers the entirety of Jerusalem as its “eternal capital.”

This post appeared first on cnn.com

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Australian police infiltrate encrypted messaging app Ghost and arrest dozens

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Australian police said Wednesday they have infiltrated Ghost, an encrypted global communications app developed for criminals, leading to dozens of arrests.

The app’s alleged administrator, Jay Je Yoon Jung, 32, appeared in a Sydney court Wednesday on charges including supporting a criminal organization and benefitting from proceeds of crime.

Jung did not enter pleas or apply to be released on bail. He will remain behind bars until his case returns to court in November.

Australian police arrested 38 suspects in raids across four states in recent days while law enforcement agencies were also making arrests in Canada, Sweden, Ireland and Italy, Australian Federal Police Deputy Commissioner Ian McCartney said.

“We allege hundreds of criminals including Italian organized crime, motorcycle gang members, Middle Eastern organized crime and Korean organized crime have used Ghost in Australia and overseas to import illicit drugs and order killings,” McCartney told reporters.

Australian police had prevented 50 people from being killed, kidnapped or seriously hurt by monitoring threats among 125,000 messages and 120 video calls since March, Assistant Commissioner Kirsty Schofield said.

Police allege that Jung developed the app specifically for criminal use in 2017.

Australia joined a Europol-led global taskforce targeting Ghost in 2022.

Col. Florian Manet, who heads France’s Home Affairs Ministry National Cyber Command Technical Department, said in a statement issued by Australian police that his officers provided technical resources to the taskforce over several years that helped decrypt the communications.

McCartney said the French had “provided a foot in the door” for Australian police to decrypt Ghost communications.

Australian police technicians were able to modify software updates regularly pushed out by the administrator, McCartney said.

“In effect, we infected the devices, enabling us to access the content on Australian devices,” McCartney said, adding that the alleged administrator lived in his parents’ Sydney home and had no police record.

Jung was arrested at his home on Tuesday.

Police say Jung used a network of resellers to offer specialized handsets to criminals around the world.

The modified smartphones sold for 2,350 Australian dollars ($1,590) which included a six-month subscription to Ghost and tech support.

This post appeared first on cnn.com

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