Analysts’ Ideas of the Week: Major Updates from Our Lithium, Energy, and Tech Coverage

In this edition, we analyze the performance of our top picks, including a gold-copper junior, whose shares rose 31% last month. We also discuss promising developments from other companies under coverage, including a lithium royalty company, a leading global smartwatch maker, and a gas producer that reported significant production growth.

• Gain insights into companies under coverage that experienced significant developments last week, along with our analysts’ commentary and actionable takeaways.
• FRC top picks and standout performers from the past week

TNR Gold Corp. (TNR.V, TRRXF)

PR Title: commences production at its Mariana lithium project (Argentina)

Analyst Opinion: Positive – Ganfeng anticipates producing 20,000 tpa of lithium chloride from this project. TNR owns a 1.35% NSR, of which, Ganfeng has an option to purchase 0.90% for $0.9M. We believe Ganfeng will exercise its option, thereby reducing TNR’s interest to 0.45%. At current spot lithium prices, we estimate TNR’s annual royalty revenue at $1.2M, with payments potentially starting as early as next month. With a MCAP of just $12M, this milestone is pivotal for TNR, and we anticipate increased investor focus as the company starts reporting revenue.

Grid Metals Corp. (GRDM.V, MSMGF)

PR Title: Announces a cesium supply agreement with Tantalum Mining Corporation for its Donner lithium-cesium project in Manitoba

Analyst Opinion: Positive – Tantalum Mining owns the Tanco cesium-lithium mine, located 35 km from GRDM’s Donner lithium project. Tantalum Mining has offered a $1.2M prepayment to fund cesium exploration at Donner. In return, Tanco will have the right to purchase 10 Kt of cesium-bearing materials at a predetermined price if the project reaches production. While this development offers near-term cash flow potential for GRDM, it is still in the early stages. Although GRDM has outlined a high-grade lithium resource, the property has only undergone limited cesium testing. Cesium, designated as a critical mineral by both the U.S. and Canada, is essential for high-temperature drilling fluids, and is used in various high-tech and industrial applications.

Disclaimer: This article and research coverage is paid for and commissioned by issuers. See the bottom of this article for other important disclosures, rating, and risk definitions.