LITHIUM EXPLORER POWERS AHEAD
Written on the 11 August 2010
OROCOBRE Limited (ORE) has been included in the world’s first lithium-based Exchange Traded Fund (ETF), staking its claim on a market for what’s pitted to be the ‘oil of the 21st century’.
As the world’s major car makers boost production of electric cars, Orocobre, which means ‘gold copper’ in Spanish, is on track to providing the raw materials for batteries from its exploration project in Argentina.
Managing director Richard Seville says the company’s selection in the fund highlights confidence in its Salar de Olaroz project, which is near the country’s border with Chile and Bolivia.
“The decision of Global X Funds to launch a lithium exchange traded fund underscores the strength of the lithium market fundamentals and a positive outlook for the commodity,” he says.
“This is a vote of confidence in the lithium sector as a whole and follows strong investment support in the sector from major global motor vehicle companies such as Toyota Tsushu.
“The inclusion as one of just 20 companies in the ETF highlights Orocobre’s position as one of the world’s next large scale, low cost lithium-potash brine producers.”
ORE shares rose 6.3 per cent this morning to $2.02 per share.