Comstock Mining Inc. (AMEX: LODE) disclosed that it has bought the holdings in LiNiCO Corporation. LiNiCO is famous as a lithium-ion battery recycling firm. Comstock declared that it would pay $4,500,000 in cash and 3,000,000 shares of its regulated common stock, indicating up to $10,750,000 in payment for up to a 64% possession interest in LiNiCo.
LiNiCO has earlier acquired a battery metal recycling service from Aqua Metals, Inc. Aqua Metal Inc holds 10% interest in the firm, and it would pay $2,000,000 for the interest in the LiNiCO. LiNiCO is intending to use the profit from the transaction to boost its financing in Green Li-ion Pte, Ltd. also bought the original process apparatus.
CEO of LiNiCO stated that this deal is a step forward towards the firm commitment to lessen carbon emissions. After joining with Green Li-ion, LiNiCO, Comstock, and Aqua Metal it will be able to create a unique network of admiring firms.
The facility of LiNiCO was made for and perfectly positioned to, get, squeeze, and isolate battery materials into a black mass. The technology of Green Li-ion has been developed to transform black mass into refreshed, high integrity, battery-grade metals, and pure cathodes for a portion of the cost and time of traditional solutions.
The lithium-ion battery production capability has risen ten times in the past few years. Recently, the report of IEA disclosed that the demand for lithium is continuously increasing to fulfill the needs of EVs. ARK revealed that the sale of EVs also rose in the past five to six years.
LiNiCo intends to begin manufacturing later in the following year, developing toward a cathode manufacturing capacity of about 10,000 tons per year. Shares of Comstock Mining skyrocketed 173.33% as it gained +3.90 during the trading session of Wednesday. The firm has recorded a volume of 137.88 million as compared to the average volume of 6.54 million.