First Berlin Equity Research has published a research update on Rock Tech Lithium Inc. (ISIN: CA77273P2017). Analyst Simon Scholes reiterated his BUY rating and increased the price target from CAD 2.40 to CAD 3.90.

Abstract
The momentum behind Rock Tech’s second lithium conversion project–at Red Rock in Ontario–has accelerated sharply this year. In March. Rock Tech (RCK) announced a strategic partnership with Siemens to develop Red Rock and potentially other lithium conversion projects in G7 member countries. Earlier this month RCK signed an anchor partnership term sheet with the Canadian industrial infrastructure platform company, BMI. BMI intends to invest CAD200m in Red Rock as part of a broader equity structure. Our valuation model has up to now been based solely on RCK’s fully permitted, shovel-ready Guben lithium conversion project in Germany, where we expect production to start in late 2028. Against the backdrop of recent developments in Canada, we now expect Red Rock will begin production in the same timeframe. Including Red Rock in our model prompts us to raise our price target from CAD2.40 to CAD3.90. We maintain our Buy recommendation (upside: 302%).