Lithium Chile Inc. (TSX.V: LITH) (OTCQB: LTMCF) Aims to Capitalize on Soaring Lithium Demand

Lithium stocks have soared over the last couple years, driven by global demand for lithium-ion batteries and anticipated subsequent supply chain deficits. The supply-demand imbalance is highlighted by reports that Li-ion battery consumption grew 73 percent from 2010 to 2014, whereas lithium production only increased 28 percent. Moreover, between 2014 and 2017 the cost of a lithium-ion battery was cut in half, increasing demand and further exacerbating lithium feedstock shortages. Portending the enormity of coming shortfalls, Roskill, a leader in international metals and minerals research, tripled its lithium demand forecast last year, and now expects demand to exceed a million tons annually within the next eight years. Under these market factors, acquisitions and joint ventures are becoming almost commonplace among manufacturers and miners. Institutional investors are also entering the fray and attention is turning to junior miners since the majors will be hard pressed to alleviate feedstock deficits. Prospective junior miner Lithium Chile (TSX.V: LITH) (OTC: LTMCF) aims to capitalize on these deficits. With vast resources directly in the heart of South America’s famed lithium triangle, the company recently announced a joint venture MOU and is initiating a new high-priority drilling program. In attempts to keep pace with global deficits, other lithium producers such as Albemarle Corp. (NYSE: ALB), Sociedad Quimica y Minera S.A. (NYSE: SQM), Lithium Americas Corp. (NYSE: LAC) and FMC Corporation (NYSE: FMC) have all taken measures to increase production.