"Lustros will apply revolutionary patent-pending technology to process
2.4 million tons of copper-rich tailings with the intention of producing
24,000 tons of copper sulfate."
Stock
Chart -The
stock chart for LSTS shows the EMA as Bullish short and intermediate-term
and Very Bullish long-term. MACD is Very Bullish, short, intermediate and
long-term.
LSTS
Investor Highlights
Management -
William Farley, the CEO of LSTS served as Chairman and Chief Executive Officer of Fruit of the Loom, Inc. from the time he acquired the
company in 1986 through December 1999. During that time, he built FTL from a
primarily domestic $500 million underwear company into a leading
international manufacturer and marketer of basic family apparel with sales
approximating $2.3 billion for the 1999 fiscal year. Fruit of the Loom was
sold to Berkshire Hathaway Co. in 2002 for approximately $1 Billion.
Growth Industry -Copper sulfate (CuSO4) is a value-added product derived from
copper ore. Demand is increasing rapidly for its use in farming and
agriculture. More than 50% of current global production is made from copper
scrap that contains toxins (such as Dioxin), which are no longer recognized
as food-grade by Canada, Australia and Brazil, with other important consumer
countries expected to soon follow.
Lustros produces copper sulfate directly
from mineral-rich ore, making it an ideal food-grade copper sulfate for use
in agricultural purposes. The completed copper sulfate processing plant is
engineered to process 180,000 tons of raw material and yield over 8,000 tons
of food-grade copper sulfate per year.
The food-grade copper sulfate market is a
$1.2 billion industry and growing at approximately 15% per year.
Demand for copper sulfate has been rapidly increasing for its use
as a natural growth stimulant for fattening pigs and broiler chickens,
fertilizers, as well as in the prevention of E. coli, listeria and
fungal diseases.
Demand -There exists strong demand for copper
sulfate from companies in Brazil, Canada, Colombia, New Zealand, Peru
and Chile to purchase the Company’s food-grade copper sulfate in
quantities exceeding its potential production capacity.
Expansion -
Announced that the Company had secured the final funding
needed to complete the copper sulfate processing plant in Puerto Oscuro,
Chile. This final funding will complete the crushing plant, leaching
pads and the remaining work needed on the Sx/Cr plant. The work is
expected to take approximately 50 days to complete with revenues from
the sale of copper sulfate produced at the plant expected in the next 90
days.
The fragmented copper sulfate market offers an
interesting opportunity for market consolidation through synergistic
acquisitions.
Claims -LSTS' Chilean subsidiary, Mineraltus Pudahuel Ltd., has made the first
required payment under the agreement with Sociedad Minera Pudahuel
“SMP” for the right to use all assets and facilities at the closed
mine of La Africana.
Technology -Lustros will apply revolutionary patent-pending technology to process
2.4 million tons of copper-rich tailings with the intention of producing
24,000 tons of copper sulfate.
Environmentally
Friendly -
The Company will restore 80.4 hectares of valuable land in the Santiago
Metropolitan area. The removal of these 2.4 million tons of
sulfuric-acid impregnated tailings will substantially increase the value
of the affected land while improving the environmental conditions of the
surrounding community.
The project, known in the industry as the “Congo Project”, has
received all necessary approvals and permits from the Chilean
authorities and is considered a model of responsible mining.
Shareholder
Value -There are over 800 closed mines in Chile, 50% of which are abandoned,
and all of them have left behind millions of tons of tailings. “Our
tag line, A mine is a terrible thing to waste, is emblematic of our
business strategy. We intend to extract valuable minerals from these
abandoned tailings and improve the conditions of the land while adding
substantial value to our shareholders,” said Gonzalo Troncoso, CEO of
Lustros Inc.
Right
Place, Right Time
-
The copper-rich geography of Chile offers several advantages
including a higher copper content in the range of 1.5-3.0% compared to
0.5-0.8% for copper mines globally. Copper is also more easily extracted
from the ore in Chile, generally requiring less sulfuric acid. As a
result of these advantages, Chilean copper sulfate exports have grown a
compound annual growth rate of 82% over the last ten years.
Variety
Of Uses
- In agriculture, copper sulfate is used in Bordeaux and Burgundy
mixtures on the farm for the control of fungus diseases, correction of
copper deficiency in soils, correction of copper deficiency in animals,
stimulation of growth for fattening pigs and broiler chickens, a
molluscicide for the destruction of slugs and snails.
Copper Sulfate is also used in preserving hides, tanning leather,
manufacturing copper salts, preserving pulp wood and ground pulp. It is used in electroplating solutions, laundry and metal marking
inks, petroleum refining, pyrotechnics, water-resistant adhesives for wood,
metal colouring, tinting baths, synthetic rubber, insecticides, herbicides,
anti-fouling paints, corrosion inhibitors, electrolysis and electroplating
processes, fabric and textiles, flame proofing, fuel additives, glass,
ceramics, cement, food and drugs, metallurgy, nylon, paper products, and
pigment and dyes.
It is used as a battery electrolyte, flotation agent, pigment in paints,
varnishes and has many other uses.
Overview
Copper sulfate (CuSO4) is a value-added product derived from
copper ore. Demand is increasing rapidly for its use in farming and
agriculture. More than 50% of current global production is made from copper
scrap that contains toxins (such as Dioxin), which are no longer recognized
as food-grade by Canada, Australia and Brazil, with other important consumer
countries expected to soon follow. Lustros produces copper sulfate directly
from mineral-rich ore, making it an ideal food-grade copper sulfate for use
in agricultural purposes. The completed copper sulfate processing plant is
engineered to process 180,000 tons of raw material and yield over 8,000 tons
of food-grade copper sulfate per year.
Lustros specializes in the production of Copper Sulfate from
traditional mining and the treatment of copper tailings. Copper tailings are
waste materials leftover from prior mining operations and represent a
significant environmental liability. Mineraltus has patent-pending
technology that allows them to extract the mineral content from these waste
materials, and to restore this barren, inhospitable land so that it can be
used for future development, parks, etc.
Profile
Lustros (LSTS) through
its Chilean subsidiaries, is in the business of copper mining and the
manufacturing of food-grade copper sulfate.
Lustros has a majority equity position in Sulfatos Chile S.A., which owns
the Anica Copper Mines as well as a copper sulfate production project and
employs a highly experienced staff of mining professionals.
Lustros, Inc.’s subsidiary Mineraltus SA is a Chilean corporation that
extracts copper from the tailings (waste products) of expired copper mines
to secure the raw materials to manufacture high quality, feed-grade copper
sulfate.
In January 2012 Lustros purchased a majority stake of Sulfatos Chile SA.,
a Chilean private company that is currently involved in the manufacturing of
Copper Sulfate and copper mining.
In 2011, Sulfatos Chile bought an 800-hectare property located in the Sierra
del Cocou, Comuna de Illapel in the IV Region of Chile. The company has
dedicated 225 hectares to the construction of an industrial plant to process
feed-grade Copper Sulfate, the remaining area is assigned for future growth
and the development of additional plants. The copper will be sourced from
the company's Anica Mine, a 600-hectare mineral property located 15 miles
from the plant.
Mineraltus SA
Mineraltus SA, a subsidiary of Lustros is in the process of implementing
a new division specialized in the extraction of copper and other valuable
minerals from tailings dumps. Chile has over 800 closed mines and tailing
dumps that represent a substantial environmental risk for the country and an
insurmountable challenge for the Chilean authorities. Mineraltus intends to
clean up these sites and restore the land currently covered by the tailing
dumps.
Three
Month Chart
Uses
Of Copper Sulfate
In agriculture, copper (II) sulfate is used in Bordeaux and Burgundy
mixtures on the farm for the control of fungus diseases, correction of
copper deficiency in soils, correction of copper deficiency in animals,
stimulation of growth for fattening pigs and broiler chickens, a
molluscicide for the destruction of slugs and snails (particularly the snail
host of the liver fluke).
Copper Sulfate is also used in preserving hides, tanning leather,
manufacturing copper salts, preserving pulp wood and ground pulp, preventing
and controlling Dutch elm disease, and controlling algae growth in impounded
waters. It is used in electroplating solutions, laundry and metal marking
inks, petroleum refining, pyrotechnics, water-resistant adhesives for wood,
metal colouring, tinting baths, synthetic rubber, insecticides, herbicides,
anti-fouling paints, corrosion inhibitors, electrolysis and electroplating
processes, fabric and textiles, flame proofing, fuel additives, glass,
ceramics, cement, food and drugs, metallurgy, nylon, paper products, and
pigment and dyes.
It is used as a battery electrolyte, flotation agent, pigment in paints,
varnishes and other materials, mordant bath for intensifying photographic
negatives, reagent toner in photography and photoengraving, fungicide for
control of downy mildew, blights, leaf spots, apple scab, bitter rot, and
peach leaf curl, and pollution control catalyst.
Management
William
Farley - Chief Executive Officer
Mr. Farley is the Chief Executive Officer and
Chairman of Lustros Inc. as well as the sole shareholder of Liam Ventures,
Inc., a private equity firm with investments in various industries including
technology, communications, railroad, and basic industries. Mr. Farley is
also CEO and owner of Zrii International in Salt Lake City, Utah, a liquid
nutritional marketer. He served as Chairman and Chief Executive Officer of
Farley, Inc. and Fruit of the Loom, Inc. from the time he acquired the
company in 1986 through December 1999. During that time, he built FTL from a
primarily domestic $500 million underwear company into a leading
international manufacturer and marketer of basic family apparel with sales
approximating $2.3 billion for the 1999 fiscal year. Fruit of the Loom was
sold to Berkshire Hathaway Co. in 2002 for approximately $1 Billion.
Mr. Farley was born and raised in Pawtucket,
Rhode Island. He received a Bachelor of Arts degree from Bowdoin College in
Maine, and a Juris Doctor degree from Boston College Law School. More
recently, Mr. Farley received an honorary degree of Doctor of Laws from his
alma mater Bowdoin College.
In addition to his business activities, Mr.
Farley has served on various educational, corporate, civic and cultural
boards, including: The Horatio Alger Association, The Big Shoulders Fund,
The Rush Hospital Heart Institute, The Goodman Theatre of Chicago, and The
Lyric Opera of Chicago. He also participates in Chicago Public School’s
Principal For A Day Program.
Mr. Farley has received the Ireland-U.S.
Council for Commerce and Industry's Annual Outstanding Achievement Award for
his efforts to improve economic, business and commercial links between
Ireland and the United States. Other honors include: the Apparel Industry
Board, Inc.'s Special Award, the Horatio Alger Award for Distinguished
Americans, the Freedom Award from America’s Freedom Festival, the American
Academy of Achievement's Golden Plate Award, the National Women's Political
Caucus' Good Guys Award and the White House's Presidential Award for
Entrepreneurial Excellence. Mr. Farley has also previously served as
Chairman of the Illinois Ambassadors and the Executive Club of Chicago.
Gonzalo
Tronscoso - President
Mr. Troncoso is the President and a Director
of Lustros Inc. Mr. Troncoso has over 25 years of management experience in
the US, Europe and Latin America. From 1986 to 1997 Mr. Troncoso served as
Vice President - Finance and Chief Financial Officer for SRC International,
an energy services conglomerate. From 1998 to 2001 Mr. Troncoso worked as
Vice President -- Finance at Anixter International (NYSEG:AXE) and PSINet (NASDAQ:PSIX).
In 2001, Mr. Troncoso joined Interland (NASDQ:INLD) where he served as Vice
President- Finance and Administration until 2004 and as Chief Financial
Officer until 2007.
From 2007 to 2009 Mr. Troncoso was the Chief
Financial Officer and President of Web Services of Web.com (NASDAQ:WWWW).
Since 2009, Mr. Troncoso has been engaged in several start-ups in the
Internet and energy service industries. Mr. Troncoso has been a director and
the Chief Financial Officer of the Casablana Mining, Ltd. and President of
Santa Teresa Minerals since December 2011. Mr. Troncoso has a B.B.A. in
Accounting from Universidad Javeriana in Colombia, South America and an
M.B.A. in Finance and International Marketing from St. Joseph's University
in Philadelphia, PA. Mr. Troncoso is bilingual in English and Spanish.
Trisha
Malone - Chief Financial Officer
Ms. Malone is the Chief Financial Officer and
Secretary of Lustros Inc. Ms. Malone has more than 19 years of experience in
finance and accounting including experience in corporate governance,
securities regulation, financial controls requirements, and financial
management. From 2000 to 2006, Ms. Malone served as Corporate Controller for
Xsilogy, Inc., a leading wireless sensor network company, and as the
division controller after Xsilogy's acquisition by SYS Technologies, Inc., a
public company engaged in government contracting. From 2006 to 2008, Ms.
Malone was the Corporate Controller for Satellite Security Corporation, a
developer of satellite tracking systems.
Since 2008, Ms. Malone has been self employed
as an independent accounting consultant and is presently consulting as
Corporate Controller for several private companies. From 2007 to 2009, Ms.
Malone served as the Corporate Controller for Lenco Mobile Inc., which
operates in the high growth mobile marketing and Internet sectors, and
served as Corporate Secretary for the company until June 2010. From June
2010 to September 2012 Ms. Malone served as Chief Financial Officer and
a Director of Wikifamilies, Inc., a public company that operates in the
technology services industry. Ms. Malone was also a Director of Casablanca
Mining, Ltd. since inception and was the Chief Executive Officer of the
Company from inception until January 2009 and the Chief Financial Officer
from inception through December 2011. Ms. Malone has a degree in Business
Administration from Grossmont College.
Contacts
Lustros
Inc.
1005 South Center Street
Redlands, CA 92373
Phone: 909-253-0774
SmallCapReview.com
feature stock reports are intended to be stock ideas, not recommendations.
Please do your own research before investing. It is crucial that you at
least look at current SEC filings and read the latest press releases. Information contained in this report was extracted from current documents
filed with the SEC, the company website and other publicly available
sources deemed reliable. For more information see our disclaimer section, a
link of which can be found on our website. This document contains
forward-looking statements, particularly as related to the business plans of
the Company, within the meaning of Section 27A of the Securities Act of 1933
and Sections 21E of the Securities Exchange Act of 1934, and is subject to
the safe harbor created by these sections. Actual results may differ
materially from the Company's expectations and estimates. The information
provided in this report is not intended for distribution to, or use by, any
person or entity in any jurisdiction or country where such distribution or
use would be contrary to law or regulation or which would subject us to any
registration requirement within such jurisdiction or country.
Copyright
SmallCapReview. All rights reserved. SCR is not a
Registered Broker/Dealer or Financial Advisor. All materials presented on our website and individual reports
released to the public through this website, e-mail or any other means of
transmission are not to be regarded as investment advice and are only
for informative purposes. Before making a purchase or sale of any securities featured
on our web site or mentioned in our reports, we strongly encourage and
recommend consultation with a registered securities representative. This
is not to be construed as a solicitation or recommendation to buy or sell
securities. Past performance of our profiled stocks is not indicative of
future results. The profile and opinions expressed herein are expressed
as of the date the profile is posted on site and are subject to change
without notice. No investor should assume that reliance on the views,
opinions or recommendations contained herein will produce profitable results.
SmallCapReview may hold positions in securities mentioned herein, and may
make purchases or sales in such securities featured on our website or within
our reports
In order to
be in full compliance with the Securities Act of 1933, Section 17(b), SCR will disclose in it's disclaimer, what, if any
compensation was received for our efforts in researching, presenting
and disseminating this information to our subscriber database and featuring
the report on the SmallCapReview website. SmallCapReview has
been compensated three thousand five hundred dollars by a third party
SmallCapVoice for its efforts with regards to Lustros. As
with any stock, companies we select to profile involve a
degree of investment risk and volatility, particularly small-caps. All investors are cautioned that they may lose all or a portion of
their investment if they decide to make a purchase in any of our profiled
companies.
We
encourage our readers to invest carefully and read the investor information
available at the web sites of the Securities and Exchange Commission (SEC)
at: http://www.sec.gov
and/or the National Association of Securities Dealers (NASD) at: http://www.nasd.com. Readers can review all public filings by companies at the SEC's EDGAR
page. The NASD has published information on how to invest carefully at its
website.