Normal
.... "in a move that will boost interest in lithium from Australia and other regions, California will impose a flat tax on production of the key battery metal from the huge untapped Salton Sea.California’s Democrat Party government and Governor, Gavin Newsom justify the tax as a way of paying for environmental remediation projects in the area east of Los Angeles.Opponents say the government is trying to tax a gold goose before it has been born.Governor Gavin Newsom approved the tax as part of a must-pass state budget on Thursday. The state’s legislature had signed off on the new tax during deliberations on Wednesday night.The tax is structured as a flat-rate per tonne impost and will go into effect in January, 2023. It will be reviewed every year, and state officials have agreed to study potentially switching to a percentage-based tax.California’s tax is aimed at plans to mine the huge lithium reserves in the Salton Sea region, east of Los Angles, an area heavily damaged in the past century by years of heavy pesticide use by farmers.Funds generated from the tax are earmarked in part to cleanup of the area but as yet no mining projects are happening. There are a number of gepothermal power plants operating in the area.The Salton Sea brine deposits are easier to process using a geothermal brine process more environmentally friendly than open-pit mines (as in Australia) and brine evaporation ponds (used in Chile and Argentina).Two of the three lithium companies working around the Salton Sea have warned the tax will scare off investors and customers.Both said they may leave the state for lithium-rich brine deposits in Utah or Arkansas.The privately-held Controlled Thermal Resources Ltd said the tax would force it to miss deadlines to deliver lithium to General Motors Co by 2024 and Stellantis NV by 2025.EnergySource Minerals LLC, also privately held, said it halted discussions with potential financiers and an automaker.Energy Source, which owns one of the 11 geothermal plants around the Salton Sea, plans to produce lithium by April of 2024.Berkshire Hathaway, which owns the other 10 geothermal plants under the subsidiary Cal Energy, plans to produce lithium on a mass scale by 2027.The Salton Sea alone has the estimated potential to provide 40% of the lithium used by the world, which would make it the largest source in the world.[URL unfurl="true"]https://www.sharecafe.com.au/2022/07/01/eu-keen-to-drive-ice-vehicles-off-the-road/[/URL]
.... "in a move that will boost interest in lithium from Australia and other regions, California will impose a flat tax on production of the key battery metal from the huge untapped Salton Sea.
California’s Democrat Party government and Governor, Gavin Newsom justify the tax as a way of paying for environmental remediation projects in the area east of Los Angeles.
Opponents say the government is trying to tax a gold goose before it has been born.
Governor Gavin Newsom approved the tax as part of a must-pass state budget on Thursday. The state’s legislature had signed off on the new tax during deliberations on Wednesday night.
The tax is structured as a flat-rate per tonne impost and will go into effect in January, 2023. It will be reviewed every year, and state officials have agreed to study potentially switching to a percentage-based tax.
California’s tax is aimed at plans to mine the huge lithium reserves in the Salton Sea region, east of Los Angles, an area heavily damaged in the past century by years of heavy pesticide use by farmers.
Funds generated from the tax are earmarked in part to cleanup of the area but as yet no mining projects are happening. There are a number of gepothermal power plants operating in the area.
The Salton Sea brine deposits are easier to process using a geothermal brine process more environmentally friendly than open-pit mines (as in Australia) and brine evaporation ponds (used in Chile and Argentina).
Two of the three lithium companies working around the Salton Sea have warned the tax will scare off investors and customers.
Both said they may leave the state for lithium-rich brine deposits in Utah or Arkansas.
The privately-held Controlled Thermal Resources Ltd said the tax would force it to miss deadlines to deliver lithium to General Motors Co by 2024 and Stellantis NV by 2025.
EnergySource Minerals LLC, also privately held, said it halted discussions with potential financiers and an automaker.
Energy Source, which owns one of the 11 geothermal plants around the Salton Sea, plans to produce lithium by April of 2024.
Berkshire Hathaway, which owns the other 10 geothermal plants under the subsidiary Cal Energy, plans to produce lithium on a mass scale by 2027.
The Salton Sea alone has the estimated potential to provide 40% of the lithium used by the world, which would make it the largest source in the world.
[URL unfurl="true"]https://www.sharecafe.com.au/2022/07/01/eu-keen-to-drive-ice-vehicles-off-the-road/[/URL]
Hello and welcome to Aussie Stock Forums!
To gain full access you must register. Registration is free and takes only a few seconds to complete.
Already a member? Log in here.
