Welcome!

News Feed Item

Lithium Exploration Group CEO Distributes March 2014 Newsletter

SCOTTSDALE, AZ -- (Marketwired) -- 03/07/14 -- Lithium Exploration Group Inc. (OTCQB: LEXG) CEO addresses shareholders with his monthly newsletter:

Dear Shareholders,

Last month began with the successful testing of the ultrasonic generator unit in Houston. The same day that the testing was taking place, we received notification that our Morinville facility had been upgraded from Class 2 to limited Class 1b. So February started out pretty well.

The following week, the Morinville facility was upgraded to limited Class 1a status, with full Class 1b status. This means we are able to market a significantly expanded suite of disposal options to potential customers, and all of these additional options command higher pricing than standard Class 2 produced water.

Two weeks ago, there happened to be a diesel spill on a highway in the region requiring the disposal of thousands of tons of contaminated water and, as a local site with our newfound regulatory approvals, we were ready to fill that order. Then last week we got another call from a new customer with a significant amount of high dollar waste needing a home. Our new approvals allow us to take it. Six weeks ago, we would have had to turn all of these opportunities away.

Without the final numbers in, I hesitate to discuss exact amounts but I feel comfortable saying that in the month of March alone we will achieve more revenue than we projected for the first six months of 2014. We intentionally modeled only a Class 2 revenue stream for the first six months of 2014 and have set a cap on the amount of fluid we are willing to dispose at Morinville until we get six months of injectivity pressure testing. We think of this well as a gold mine and want to ensure that we treat it properly so that it can produce revenue for us for decades to come. If we get too aggressive too soon, we run the risk of damaging the integrity of the formation and the well.

We spent the last ten days of February rounding up the required capital to close on the transaction to purchase 50% of the outstanding shares of Tero Oilfield Services. We have spent the past six months working with the management of Tero to improve some operational performance metrics which have gone very well. Their books are not yet GAAP compliant so unfortunately I cannot discuss their 2013 financial performance but I can say that we are extremely excited to have completed this transaction.

Tero Oilfield Services is a Class 1b liquid disposal and solid waste processing facility. One of the plans that we have made with our partners is to expand their facility to offer custom treating of oil (treating producer's oil to make it pipeline-ready) for some of the smaller operators in their addressable market. They have already taken steps to begin this process with a few of their customers and, after a few months of this "custom treating trial," we will make a decision regarding the prospects of expanding the facility to accept larger volumes. Tero has a great team on site and we believe that, with a little bit of help from our team at Alta Disposal, this facility can be a considerable thorn in the side of the larger competition in the area.

Financially we have assembled a team of people in Calgary and a set of assets (Morinville and Tero) that will allow us to operate profitably on a go forward basis while we wait for the technology to be field-tested and prepared for mass distribution; but I don't see us resting on our laurels at this stage in the game.

  • We will be looking at more acquisitions of disposal facilities with the following criteria:
    • That we can provide needed back office support from Calgary (bookkeeping, production accounting, regulatory and safety programs, etc.).
    • That we can improve revenue via sales and marketing efforts of our own.
    • That we can assist in adding additional product offerings to their clientele.
  • We will continue to develop the strategy for extraction of lithium, potassium, magnesium and other industrial minerals from oilfield brine. Timing will be dependent on the deployment of the technology to the field and performance results but there certainly is work that we can begin now to prepare for a bench scale test of our separation technique.
  • We are already looking at the distribution of additional technologies that are trying to find a home in the Western Canadian energy ecosystem. We will add these products to the "technology distribution" arm of the business (to go along with the distribution rights we have in Canada for the ultrasonic generator). These technologies need some field testing which we can provide at our disposal facilities and they need a talented sales force to manage the strategy and deployment.
  • We are going to get into the production side of the oil and gas industry. It is just a matter of when and where. We are not actively looking for assets but if we find the right asset with the right management team, we will not hesitate to pull the trigger on an acquisition.

We feel pretty excited about the growth opportunity that we have in front of us and I thank you all for the opportunity to serve as your Chief Executive. We have so many things going on right now that I will be distributing a letter of this kind in the first week of every month for the foreseeable future.

Sincerely,
Alex Walsh
CEO
Lithium Exploration Group, Inc.

About Lithium Exploration Group
Lithium Exploration Group is a US-based exploration and development company focused on the acquisition and development potential of lithium brines and other precious metals that demonstrate high probability for near-term production. Currently the company is focused on its Western Canada lithium assets, testing its Ultrasonic Generator Technology and the acquisition of oil and gas related assets in Western Canada. Lithium Exploration Group is a fully reporting company traded on the OTCQB under the symbol LEXG. Website: www.lithiumexplorationgroup.com.

Safe Harbor Statement
This news release contains "forward-looking statements." Statements in this press release that are not purely historical are forward-looking statements and include any statements regarding beliefs, plans, expectations or intentions regarding the future testing of the ultrasonic technology.

Actual results could differ from those projected in any forward-looking statements due to numerous factors. Such factors include, among others, the inherent uncertainties associated with mineral exploration and difficulties associated with obtaining financing on acceptable terms. We are not in control of lithium prices and these could vary to make development uneconomic. These forward-looking statements are made as of the date of this news release, and we assume no obligation to update the forward-looking statements, or to update the reasons why actual results could differ from those projected in the forward-looking statements.

Although we believe that the beliefs, plans, expectations and intentions contained in this press release are reasonable, there can be no assurance that such beliefs, plans, expectations or intentions will prove to be accurate. Investors should consult all of the information set forth herein and should also refer to the risk factors disclosure outlined in our most recent annual report for our last fiscal year, our quarterly reports, and other periodic reports filed from time-to-time with the Securities and Exchange Commission.

More Stories By Marketwired .

Copyright © 2009 Marketwired. All rights reserved. All the news releases provided by Marketwired are copyrighted. Any forms of copying other than an individual user's personal reference without express written permission is prohibited. Further distribution of these materials is strictly forbidden, including but not limited to, posting, emailing, faxing, archiving in a public database, redistributing via a computer network or in a printed form.

Latest Stories
In this strange new world where more and more power is drawn from business technology, companies are effectively straddling two paths on the road to innovation and transformation into digital enterprises. The first path is the heritage trail – with “legacy” technology forming the background. Here, extant technologies are transformed by core IT teams to provide more API-driven approaches. Legacy systems can restrict companies that are transitioning into digital enterprises. To truly become a lea...
IoT is fundamentally transforming the auto industry, turning the vehicle into a hub for connected services, including safety, infotainment and usage-based insurance. Auto manufacturers – and businesses across all verticals – have built an entire ecosystem around the Connected Car, creating new customer touch points and revenue streams. In his session at @ThingsExpo, Macario Namie, Head of IoT Strategy at Cisco Jasper, will share real-world examples of how IoT transforms the car from a static p...
Cloud computing is being adopted in one form or another by 94% of enterprises today. Tens of billions of new devices are being connected to The Internet of Things. And Big Data is driving this bus. An exponential increase is expected in the amount of information being processed, managed, analyzed, and acted upon by enterprise IT. This amazing is not part of some distant future - it is happening today. One report shows a 650% increase in enterprise data by 2020. Other estimates are even higher....
From wearable activity trackers to fantasy e-sports, data and technology are transforming the way athletes train for the game and fans engage with their teams. In his session at @ThingsExpo, will present key data findings from leading sports organizations San Francisco 49ers, Orlando Magic NBA team. By utilizing data analytics these sports orgs have recognized new revenue streams, doubled its fan base and streamlined costs at its stadiums. John Paul is the CEO and Founder of VenueNext. Prior ...
One of biggest questions about Big Data is “How do we harness all that information for business use quickly and effectively?” Geographic Information Systems (GIS) or spatial technology is about more than making maps, but adding critical context and meaning to data of all types, coming from all different channels – even sensors. In his session at @ThingsExpo, William (Bill) Meehan, director of utility solutions for Esri, will take a closer look at the current state of spatial technology and ar...
The Internet of Things can drive efficiency for airlines and airports. In their session at @ThingsExpo, Shyam Varan Nath, Principal Architect with GE, and Sudip Majumder, senior director of development at Oracle, will discuss the technical details of the connected airline baggage and related social media solutions. These IoT applications will enhance travelers' journey experience and drive efficiency for the airlines and the airports. The session will include a working demo and a technical d...
What happens when the different parts of a vehicle become smarter than the vehicle itself? As we move toward the era of smart everything, hundreds of entities in a vehicle that communicate with each other, the vehicle and external systems create a need for identity orchestration so that all entities work as a conglomerate. Much like an orchestra without a conductor, without the ability to secure, control, and connect the link between a vehicle’s head unit, devices, and systems and to manage the ...
Businesses are struggling to manage the information flow and interactions between all of these new devices and things jumping on their network, and the apps and IT systems they control. The data businesses gather is only helpful if they can do something with it. In his session at @ThingsExpo, Chris Witeck, Principal Technology Strategist at Citrix, will discuss how different the impact of IoT will be for large businesses, expanding how IoT will allow large organizations to make their legacy ap...
The many IoT deployments around the world are busy integrating smart devices and sensors into their enterprise IT infrastructures. Yet all of this technology – and there are an amazing number of choices – is of no use without the software to gather, communicate, and analyze the new data flows. Without software, there is no IT. In this power panel at @ThingsExpo, moderated by Conference Chair Roger Strukhoff, panelists will look at the protocols that communicate data and the emerging data analy...
As ridesharing competitors and enhanced services increase, notable changes are occurring in the transportation model. Despite the cost-effective means and flexibility of ridesharing, both drivers and users will need to be aware of the connected environment and how it will impact the ridesharing experience. In his session at @ThingsExpo, Timothy Evavold, Executive Director Automotive at Covisint, will discuss key challenges and solutions to powering a ride sharing and/or multimodal model in the a...
SYS-CON Events announced today that Commvault, a global leader in enterprise data protection and information management, has been named “Bronze Sponsor” of SYS-CON's 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. Commvault is a leading provider of data protection and information management solutions, helping companies worldwide activate their data to drive more value and business insight and to transform moder...
Creating replica copies to tolerate a certain number of failures is easy, but very expensive at cloud-scale. Conventional RAID has lower overhead, but it is limited in the number of failures it can tolerate. And the management is like herding cats (overseeing capacity, rebuilds, migrations, and degraded performance). Download Slide Deck: ▸ Here In his general session at 18th Cloud Expo, Scott Cleland, Senior Director of Product Marketing for the HGST Cloud Infrastructure Business Unit, discusse...
Whether they’re located in a public, private, or hybrid cloud environment, cloud technologies are constantly evolving. While the innovation is exciting, the end mission of delivering business value and rapidly producing incremental product features is paramount. In his session at @DevOpsSummit at 19th Cloud Expo, Kiran Chitturi, CTO Architect at Sungard AS, will discuss DevOps culture, its evolution of frameworks and technologies, and how it is achieving maturity. He will also cover various st...
SYS-CON Events announced today that eCube Systems, a leading provider of middleware modernization, integration, and management solutions, will exhibit at @DevOpsSummit at 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. eCube Systems offers a family of middleware evolution products and services that maximize return on technology investment by leveraging existing technical equity to meet evolving business needs. ...
All clouds are not equal. To succeed in a DevOps context, organizations should plan to develop/deploy apps across a choice of on-premise and public clouds simultaneously depending on the business needs. This is where the concept of the Lean Cloud comes in - resting on the idea that you often need to relocate your app modules over their life cycles for both innovation and operational efficiency in the cloud. In his session at @DevOpsSummit at19th Cloud Expo, Valentin (Val) Bercovici, CTO of So...