DLE Co. Expands Expert Team

Source: Streetwise Reports 06/17/2024

Volt Lithium Corp. VLTLF has announced significant expansions to its team as the company transitions to field operations and prepares for future commercial endeavors in the Delaware Basin in Texas.

 This strategic move is designed to strengthen Volt's operational capabilities and enhance its communication efforts. The newly appointed team members include Dave Kimery, PEng, as Chief Operating Officer, Derek McFarlane as Production Engineer and Field Operations lead in the U.S.A., and Greg Foofat as Vice President of Investor Relations.

Since the beginning of 2024, Volt has been expanding its operational team to ensure a seamless transition to field operations in the Delaware Basin. As touted by the company, the experience of Kimery and McFarlane has been pivotal as Volt progresses beyond its Field Simulation Centre in Calgary, Alberta. Dave Kimery is also noted as having been instrumental in building the company's Field Simulation Unit in Calgary. The report goes on to mention Greg Foofat, who joined Volt to enhance its communication capabilities as the company commences its field operations and moves toward commercial production. His background includes roles at E3 Lithium Ltd., Harvest Operations, Penn West Petroleum, and Southern Pacific Resources, as well as capital markets positions at National Bank Financial and Canaccord Genuity.

In addition to these strategic appointments in the news release, Volt has granted an aggregate of 800,000 options to the new team members and certain consultants. These options, which vest over a six-month period, are exercisable at US$0.25 per share for four years, expiring on June 11, 2028. This move aims to align the interests of the individuals with the long-term success of the company, fostering a commitment to Volt's growth and success.

The Reality of Lithium

According to a May 27, 2024 report from Fortune Business Insights, "the global lithium market is experiencing remarkable growth, with its value projected to soar from USD 26.88 billion in 2024 to USD 134.02 billion by 2032, driven by a CAGR of 22.1% during the forecast period." This robust growth is propelled by "rapid advancements in rechargeable batteries for laptops, mobile phones, electric vehicles, and digital cameras" positioning lithium as a key player in the future of energy and technology.

"The growing adoption of hybrid and electric vehicles, coupled with the increasing awareness of environmental pollution, is significantly boosting the demand for lithium-ion batteries" further enhancing the market's potential. Governments worldwide are also playing a critical role by "implementing strict emission standards to reduce carbon emissions, further augmenting the growth of the lithium market as electric vehicles become more popular."

In addition to the demand from the automotive sector, the report continued, "the increasing demand for lithium batteries, lubricants, glass & ceramics, and foundry products is fostering a positive outlook for the sector." Companies are also creating "environmentally sustainable solutions for lithium-ion batteries and electric vehicles, fueling product demand and highlighting the sector's commitment to sustainability."

A May 2024 report from Carboncredits.com underscores this optimism, noting that "the global lithium supply is projected to rise to over 2 million metric tons by 2030, according to a Statista report, indicating robust growth and sustained demand for this crucial resource." Additionally, "industry analysts remain optimistic about Australia's position in lithium asset development, expecting renewed interest as lithium prices recover in the coming quarters and years ahead."

In a Trading Economics report, it was highlighted that "despite current market pressures, lithium carbonate prices have stabilized at CNY 100,000 per tonne, reflecting a resilient market even amidst global challenges." Lithium miners and producers are "proactively expanding capacity and exploring new reserves, showcasing the sector's commitment to meeting future demand and driving growth."

Chile's ambitious plan to double lithium output over the next decade signals "a strong long-term outlook and confidence in the sustained demand for lithium." The ongoing efforts to balance the market and manage oversupply highlight "the industry's adaptability and strategic planning, ensuring stability and growth in the lithium sector."

The continued investments and capacity expansions by lithium producers indicate "a positive future for the sector, with expectations of market balance and increased production capabilities." Even with tariff challenges, "the lithium market's ability to maintain stable prices demonstrates its underlying strength and resilience."

Company Catalysts

Volt noted it is poised to become North America's first commercial producer of lithium hydroxide and lithium carbonates from oilfield brine. The company leverages its proprietary Direct Lithium Extraction (DLE) technology to achieve high lithium recoveries at low costs, positioning itself as a key player in the clean energy transition. With a clear path to production through near-term field unit operations in the Delaware Basin and an operational Field Simulation Centre in Calgary, Volt said it is uniquely positioned to capitalize on existing infrastructure and brine production, accelerating the commercialization process.

The addition of seasoned professionals like Dave Kimery and Derek McFarlane, with their extensive experience in the energy sector, will bring commitment to operational excellence and strategic growth, the company said. Kimery's background in mechanical engineering and leadership roles in successful oil and gas companies will provide a solid foundation for the company's field operations. Similarly, McFarlane's hands-on experience in various U.S. basins will be instrumental as Volt commences its operations in the Delaware Basin.

Greg Foofat's appointment as vice president of investor relations is a strategic move to enhance Volt's communication and investor engagement efforts, Volt said. His extensive experience in capital markets and corporate communications will play a crucial role as Volt transitions to field operations and prepares for commercial production.

These strategic appointments and the grant of stock options are designed to align the interests of the new team members and consultants with the long-term success of Volt, ensuring a focused and committed approach to achieving the company's goals.

Ownership and Share Structure

Refinitiv provided a breakdown of the company's ownership and share structure, where management and insiders own approximately 15.54% of the company.

According to Refinitiv, James Alexander Wylie owns 8.73% of the company with 11.38 million shares, Martin Scase owns 4.94% of the company with 6.44 million shares, Warner Uhl owns 0.88% of the company with 1.15 million shares, Maury Dumba owns 0.49% of the company with 0.64 million shares, Morgan Tiernan owns 0.39% of the company with 0.50 million shares, and Kyle Robert Hookey owns 0.11% of the company with 0.14 million shares.

Refinitiv reports that institutions own 1.84% of the company, as Eagle Claw Investments Pty. Ltd. owns 1.07% of the company with 1.40 million shares, and U.S. Global Investors, Inc. owns 0.77% of the company with 1.00 million shares.

According to Market Watch, the company has 137.1 million shares outstanding and a market cap of CA$37.79 million.

It trades in the 52-week range between CA$0.16 and CA$0.40.

Important Disclosures:

1. Volt Lithium Corp. has a consulting relationship with an affiliate of Streetwise Reports, and pays a monthly consulting fee between US$8,000 and US$20,000.
2. As of the date of this article, officers and/or employees of Streetwise Reports LLC (including members of their household) own securities of Volt Lithium Corp.
3. James Guttman wrote this article for Streetwise Reports LLC and provides services to Streetwise Reports as an independent contractor.
4. This article does not constitute investment advice and is not a solicitation for any investment. Streetwise Reports does not render general or specific investment advice and the information on Streetwise Reports should not be considered a recommendation to buy or sell any security. Each reader is encouraged to consult with his or her personal financial adviser and perform their own comprehensive investment research. By opening this page, each reader accepts and agrees to Streetwise Reports' terms of use and full legal disclaimer. Streetwise Reports does not endorse or recommend the business, products, services or securities of any company.