Comstock Mining quadruples after EV investment
Comstock Mining (NYSE: LODE) announced yesterday that it secured the rights to a majority equity stake in LINICO Corporation, a lithium-ion battery recycling company.
The Nevada-based Comstock Mining hit a high of $8.09 after the news was announced. The stock was up from the start of the week when it traded at just over $2 a share.
Comstock Mining holds property and historic mine works just outside Reno.
According to a press release, LINICO recently acquired a state-of-the-art battery metal recycling facility from Aqua Metals, located in the Tahoe Reno Industrial Center in Storey County, Nevada. The Company will pay $4,500,000 in cash and 3,000,000 shares of its restricted common stock, representing up to $10,750,000 in consideration for up to a 64% ownership stake in LiNiCo. Aqua Metals is investing $2,000,000 for a 10% stake in LiNiCo.
LiNiCo will use the proceeds to increase its direct strategic investment in Green Li-ion Pte, Ltd., purchase Green Li-ion’s patented process equipment, with exclusive rights for the U.S. market, enabling the production of 99.9% pure lithium-ion cathodes.
“Our agreements accelerate the race towards reducing carbon emissions by valorizing critical metals and supporting the increasingly high demand for electric vehicles (“EVs”). Aligning ourselves with Comstock, Green Li-ion and Aqua Metals creates a unique ecosystem of complimentary companies,” said LiNiCo’s Chief Executive Officer and Founder, Michael Vogel.