Growing demand for lithium as a natural resource is sparking interest in the basic materials sector where Liquidmetal Technologies Inc (OTCMKTS:LQMT) is a key player. Skyrocketing demand has already resulted in an increase in exploration and mining projects in the sector further affirming the company’s prospects in the industry.
Such opportunities are what the company urgently needs if it is to bolster its revenue stream, having posted revenues of $34,000 in the recent quarter. The company has been aggressive in the recent past in entering into licensing agreements as it looks to pursue new growth opportunities both at home and on the international scene.
Early this year the developer of amorphous alloys entered into a Securities Purchase Agreement with Investor, a Hong Kong-based company. The agreement is for the purchase of 105 million shares for an aggregate of $8.4 million. Liquidmetal also signed a licensing agreement with DongGuan Eontec Co., Ltd for the cross licensing of respective technologies.
“Our collaboration with Eontec has begun, and we are all very excited about the ongoing synergies between LQMT and EONTEC as we seek to develop and grow the market for Liquidmetal on a global basis,” said CEO, Thomas Steipp.
The chief executive officer says they have already made important strides towards making the company’s products available worldwide, thanks to the partnership with EONTEC. Mr. Steipp expects the collaboration to help Liquidmetal Technologies grow faster by addressing customer needs in North America and Europe.
The maker of amorphous alloys is also pursuing growth opportunities in Asia especially in China where it hopes to leverage the benefits of the huge marketplace. Meanwhile, the company has confirmed the amendment of a purchase agreement announced March.
Under the new agreement, the company has agreed to extend to December the purchase of the additional 300 million shares under the securities purchase agreement. However, Liquidmetal Technologies Inc (OTCMKTS:LQMT) has not amended or modified the terms of the original agreement.