LOS ANGELES–(BUSINESS WIRE)–Glancy Prongay & Murray LLP (“GPM”), a leading national shareholder rights law firm, continues its investigation on behalf of Standard Lithium Ltd. (“Standard Lithium” or the “Company”) (NYSE: SLI) investors concerning the Company’s possible violations of the federal securities laws.
If you suffered a loss on your Standard Lithium investments or would like to inquire about potentially pursuing claims to recover your loss under the federal securities laws, you can submit your contact information at www.glancylaw.com/cases/standard-lithium-ltd/. You can also contact Charles H. Linehan, of GPM at 310-201-9150, Toll-Free at 888-773-9224, or via email at firstname.lastname@example.org to learn more about your rights.
On November 18, 2021, before the market opened, Blue Orca Capital issued a research report alleging that Standard Lithium’s claims of 90% extraction rates of battery grade lithium at its Arkansas demonstration plant has no evidence to back it up. The report claimed that “undisclosed to investors, production data submitted by Standard Lithium to the Arkansas Oil & Gas Commission appears to show that the Demonstration Plant, which has been operating for 18 months, is barely achieving a fraction of this projected recovery rate,” and that the demonstration plant has only been achieving an average lithium recovery rate of 13%.
On this news, Standard Lithium stock fell $1.86, or 18.8%, to close at $8.01 per share on November 18, 2021, thereby injuring investors.
Then, on November 18, after the market closed, Standard Lithium issued a response purporting to dispute the Blue Orca report. Among other things, the Company stated that “the only data reported to the AOGC, in compliance with the requirements of the AOGC, were those volumes of lithium chloride solution that were temporarily stored on Standard Lithium’s site and these have no correlation with actual lithium recovery rates observed in the plant.”
Then, on November 22, 2021, Blue Orca responded in a series of tweets, calling the Company’s response “nonsense.” It further stated that “[t]he AOGC permit, which any investor can review, plainly requires the reporting of output of lithium chloride and carbonate in a separate category 2(c) from the volumes stored onsite 2(e). The data we used 2(c) is plainly labelled as the output data.” Moreover, regarding Standard Lithium’s claim that the AOGC data does not include lithium chloride that has been produced and subsequently reinjected, Blue Orca stated that the “output volumes reported under 2(c) are clearly shown as being ‘sent for reinjection.’” Blue Orca reiterated that the Company “claims to have reached ‘proof of concept,’” but the potential joint venture partner “denies it has reached this milestone.”
On this news, the Company’s share price fell $0.85, or 9%, to close at $8.43 per share on November 22, 2021, thereby injuring investors further.
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Whistleblower Notice: Persons with non-public information regarding Standard Lithium should consider their options to aid the investigation or take advantage of the SEC Whistleblower Program. Under the program, whistleblowers who provide original information may receive rewards totaling up to 30 percent of any successful recovery made by the SEC. For more information, call Charles H. Linehan at 310-201-9150 or 888-773-9224 or email email@example.com.
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