BMO Capital Markets on Thursday reiterated its outperform, speculative risk, rating on the shares of Standard Lithium (SLI.V, SLI) while raising its price target to C$3.00 from an undisclosed prior level after the company said its SWA lithium project in Arkansas is receiving a US$225-million grant from the U.S. Department of Energy.
"SLI announced its South West Arkansas (SWA) project was selected for up to a US$225M award negotiation by the US Department of Energy. Work on the SWA feasibility study and front-end engineering design is advancing (expected H1/25) and now contemplates a larger 45ktpa LCE project (vs. 30ktpa in the PFS) to be developed in two stages. The award, subject to final negotiation, would serve to minimize future equity dilution. We have adjusted our model assumptions for the larger-scale project and revised funding assumptions, and increase our target price to C$3.00," analyst Greg Jones wrote.
(MT Newswires covers equity, commodity and economic research from major banks and research firms in North America, Asia and Europe. Research providers may contact us here: https://www.mtnewswires.com/contact-us)
Price: 2.15, Change: +0.05, Percent Change: +2.38
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