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🩸 Rotten Apple?
DR Congo lawyers allege Apple uses conflict minerals from eastern Congo. Plus, Stardust Power set to join the Nasdaq.
Brooks Dyroff
May 23, 2024
Happy Thursday, Zingers! Today, we’re exploring why lawyers claim Apple uses conflict minerals from eastern Congo, Stardust Power’s plans to build a lithium refinery in Oklahoma, Cleveland-Cliffs’s response to U.S. Steel and more. Let’s dig in.
Before we do, did you miss us at PDAC 2024? Watch our exclusive interviews from Mining Into The Heart Of EV Innovation.
TOP STORY
Briefly: Lithium refining company Stardust Power is expected to begin trading on the Nasdaq in June following the completion of a $490 million blank-check deal.
Back Up: The SPAC comes at a time when lithium prices are well off their highs from 2022 amid tempered expectations about the electric vehicle industry.
Zoom Out: Demand for the battery metal is expected to strengthen over the long term as more electric vehicles (EVs) are adopted.
What Else: Stardust Power plans to build a lithium refinery in Oklahoma to help U.S. diversify from Chinese supply.
What Next: In addition to the refinery, Stardust is developing upstream lithium supply lines to become a more vertically integrated company.
ZINGERS
Cleveland-Cliffs (NYSE:CLF) refutes allegations from the U.S. Steel Board stating that the company announced an "unclosable deal" that it is now blaming on Cleveland-Cliffs.
ArcelorMittal (NYSE:MT), along with partners Mitsubishi Heavy Industries, BHP and Mitsubishi Development, has initiated a pilot carbon capture unit at ArcelorMittal Gent in Belgium.
U.S. GoldMining (NASDAQ:USGO) is preparing for the 2024 field season at the Whistler Gold-Copper Project in Alaska.
Hecla Mining (NYSE:HL) released its 2023 Sustainability Report, detailing its environmental, social and governance (ESG) performance.
Zijin Mining Group (OTC:ZIJMF) announced an upward revision of its copper production targets for 2025 in response to soaring copper prices.
DIGGING IN
Briefly: Lawyers from the Democratic Republic of the Congo claim Apple uses conflict minerals from eastern Congo, raising serious supply chain concerns.
What Happened: The country’s international lawyers, Amsterdam & Partners, have been investigating allegations that minerals mined in Congo are smuggled through Rwanda, Uganda and Burundi.
What Else: In an April notification to Apple CEO Tim Cook, the lawyers outlined concerns regarding this supply chain in the eastern DRC.
Specifically: They allege that armed groups are mining conflict minerals, including tin, tantalum, tungsten, and gold (collectively known as 3TG), and smuggling them through neighboring countries like Rwanda and Uganda.
What Now: Despite Apple's continuous claims of commitment to ethical sourcing, Amsterdam & Partners points out that these are not based on verifiable evidence.
Quoted: "Although Apple has affirmed that it verifies the origins of minerals it uses to manufacture its products, those claims do not appear to be based on concrete, verifiable evidence," their statement read.
UPGRADES AND DOWNGRADES
Steel Dynamics (NASDAQ:STLD) - Date: 05/20/2024, Industry: Metals & Mining, Analyst Firm: Jefferies, Ratings: Initiates Hold, Target: $120
Gatos Silver (NYSE:GATO) - Date: 05/22/2024, Industry: Metals & Mining, Analyst Firm: CIBS, Ratings: Upgrade to Outperform, Target: $16
Hecla Mining (NYSE:HL) - Date: 05/22/2024, Industry: Mining, Analyst Firm: CIBS, Ratings: Maintains Neutral, Target: $7.50
INSIDER TRADES
Notable Purchases
Granite Ridge Resources (NYSE:GRNT) - Purchase Date: 05/23/2024, Insider: Griffin Perry (Director), Value: $13.08K, Delta Own: +0.34%
Texas Pacific Land (NYSE:TPL) - Purchase Date: 05/15/2024, Insider: Donald Cook (Director), Value: $6.11K, Delta Own: +4.27%
Notable Sales
Range Resources (NYSE:RRC) - Sell Date: 05/21/2024, Insider: Reginal. Spiller (Director), Value: $56.47K, Delta Own: -6.60%