TSX Shariah screener · October 2026
Is Standard Lithium Ltd. (SLI) Halal?
Standard Lithium Ltd. · TSXV: SLI / NYSE American: SLI · Materials
The short answer
No — Standard Lithium (SLI) fails this Shariah stock screen. Its lithium-brine development business is permissible and its debt is negligible (~0.02% of market cap) — but interest income of US$2.3M in the first half of 2026, against nil revenue, is the company's only income, breaching the 5% non-compliant income limit. No Zoya, Musaffa, or ShariaPortfolio rating was found for this ticker — honestly reported as absent, not invented.
Gate 1 — Business activity: PASS
Standard Lithium Ltd. (TSX-V:SLI; NYSE American:SLI) is a near-commercial lithium-brine developer with a portfolio of properties on the Smackover Formation in southern Arkansas and East Texas: the Lanxess 1A Project (joint venture with LANXESS Corp.), the South West Arkansas Project (the 'Smackover Lithium' joint venture with Equinor ASA), an East Texas leasing program, and Mojave Desert mineral leases. The company has no production and is pre-revenue. No alcohol, pork, gambling, conventional interest-based lending, tobacco, cannabis, weapons, or adult-entertainment lines were disclosed. Gate 1 passes. Facts only.
Gate 2 — Debt and cash: PASS
The June 30, 2026 balance sheet shows long-term debt of about US$76 thousand, and the interim MD&A states the company has 'no term or revolving debt' — total interest-bearing debt is about US$0.08M (roughly C$0.11M at USD/CAD 1.4197). Against a market capitalization of roughly C$656.5 million (about 249.6 million shares at C$2.63, October 1, 2026), debt ÷ market cap ≈ 0.02%, far under the ~33% ceiling. Gate 2 passes. Facts only.
Gate 3 — Non-compliant income: FAIL
For the six months ended June 30, 2026, the interim MD&A reports a separate interest-income line of US$2.3M — 'interest income, net of fees primarily from interest earned on cash balances held in savings accounts' — while the company is pre-revenue with US$0 of sales. Interest is effectively 100% of the company's income, far above the 5% non-compliant income limit. Gate 3 fails. Facts only.
Key figures used
- Interest-bearing debt at June 30, 2026: ~US$76K long-term debt; MD&A states 'no term or revolving debt' (~C$0.11M at USD/CAD 1.4197)
- Market cap: ~C$656.5M (~249.6M shares × C$2.63, Oct 1, 2026); debt ÷ market cap ≈ 0.02%
- Cash & equivalents: US$137.3M (~C$194.9M) ≈ 29.7% of market cap
- H1 2026: revenue US$0 (pre-revenue); interest income US$2.3M — the company's only income
- Dual-listed: TSX-Venture (CVE:SLI) and NYSE American (SLI); also Frankfurt (S5L)
- Material: Smackover Lithium JV with Equinor (South West Arkansas); Lanxess 1A Project; LG Energy Solution offtake agreement (Aug 2026)
Frequently asked questions
Is Standard Lithium (SLI) halal?
No. Standard Lithium fails this Shariah stock screen. Its lithium-brine development business is permissible — Smackover Formation lithium projects in Arkansas and Texas — and its debt is negligible, but interest income of US$2.3M in the first half of 2026 was the company's only income (nil revenue), far above the 5% limit for non-compliant income. This is a factual screen, not a religious ruling — consult a qualified scholar for personal guidance.
What is Standard Lithium's debt-to-market-cap ratio?
About 0.02%. The June 30, 2026 balance sheet shows long-term debt of about US$76 thousand, and the interim MD&A states the company has 'no term or revolving debt' — total interest-bearing debt is about US$0.08M (roughly C$0.11M at USD/CAD 1.4197), against a market cap of roughly C$656.5 million (~249.6M shares at C$2.63, October 1, 2026) — far under the ~33% ceiling.
What does Standard Lithium do?
Standard Lithium Ltd. (TSX-V:SLI; NYSE American:SLI) is a near-commercial lithium-brine developer on the Smackover Formation in southern Arkansas and East Texas: the Lanxess 1A Project (joint venture with LANXESS Corp.), the South West Arkansas Project (the 'Smackover Lithium' joint venture with Equinor ASA), an East Texas leasing program, and Mojave Desert mineral leases. It has no production and is pre-revenue.
How much interest income does Standard Lithium earn relative to revenue?
For the six months ended June 30, 2026, the interim MD&A reports a separate interest-income line of US$2.3M — 'interest income, net of fees primarily from interest earned on cash balances held in savings accounts' — while the company is pre-revenue with US$0 of sales. Interest is effectively 100% of the company's income, far above the 5% ceiling.
Where can I find more materials stock screeners?
See halal-stock-verdicts.html for the full list of stock screeners, including the other materials-sector entries.
Sources
- Standard Lithium — Form 6-K interim MD&A + FS, 6 months ended Jun 30, 2026 (US$0.08M debt; US$137.3M cash; US$2.3M interest income; nil revenue)
- Standard Lithium — Q2 2026 results news release (Aug 10, 2026)
- Finnhub — CVE:SLI quote (C$2.63, Oct 1, 2026)
- USD/CAD exchange rate 1.4197 (Sep 30, 2026)
Screened 2026-10-01 from published company figures and market data. Figures change; this page is educational, not financial advice and not a religious ruling.