Electric Vehicles (EVs) are coming…fast.
The International Energy Agency estimates EVs will need to make up 60% of all new car sales by 2030 if we want to meet net-zero targets by 2050. This is up from just over 4% in 2020.
It’s why some companies are already changing tactic to get exposure — companies like Hawkstone Mining Ltd [ASX:HWK].
Hawkstone Mining is an ASX-listed explorer with projects in the US. Until recently, their main focus was their Pine Gold Project in Idaho, of which they hold 100% interest. They also fully own the gold-copper Western Desert project and Big Sandy, a low-cost lithium project.
Hawkstone Mining to become Arizona Lithium, changes focus to lithium
Hawkstone Mining said today it would become a dedicated lithium company, Arizona Lithium Limited. The main focus will be their 100% owned Big Sandy Lithium Project in Arizona, US.
To achieve this, Hawkstone will sell its gold and gold-copper projects (Devil’s Canyon Gold-Copper project in Nevada, Western Desert Gold-Copper project in Utah, and the Lone Pine Gold Project in Idaho) to Diablo Resources Limited, a new ASX-listed company.
Hawkstone will get 40 million shares in Diablo after it lists on the ASX. These will be distributed as an in-specie pro-rata to Hawkstone’s existing shareholders.
Paul Lloyd, Hawkstone’s Managing Director, said:
‘With the recent shift in market sentiment to battery minerals, we feel that Hawkstone shareholders will gain maximum value from the Company’s gold and gold-copper assets via Diablo Resources, as a separate ASX listed entity. Located in world class gold and copper regions, these projects hold significant potential and the spin-out will provide shareholders with a non-dilutive and “off balance sheet” solution to accelerate exploration on these assets in a period of high gold and copper prices.
‘Diablo will have an exciting start to its ASX listing with the drilling of the Devil’s Canyon Gold Project, a Carlin style project in Nevada, USA, 20kms from a 5.9 million ounce resource1, that returned high grade rock chip samples.’
What could happen next to the HWK Share Price?
This is all subject to shareholder approval. Hawkstone’s share price boosted to 3.3 cents, up 17.86% from yesterday’s close.
The renewable energy transition will need plenty of resources, including lithium.
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