Ann: Drilling indicates Flemington resource expansion potential, page-101

Interesting article about SKI in Korean News over night.

SKI claims that they are on track to mass produce EV batteries by 2020 with expanded range. That in itself we kind of know already but what’s really caught my attention is the rate of growth of their outstanding contracts.

Outstanding contracts have grown by 100Gwh in a few months (say 7-8) meaning that demand for EV batteries roughly doubles every 3 years. As a result SKI is building battery factories all over the world and working on new NCM 9:5:5 battery chemistry which uses 90% Ni, 5% Co and 5% Mg

Now I wonder where all the raw materials for this demand will come from? Where can SKI ensure security of supply and not be bound to abnormal price movements?

Now put that in the context of Trade tensions with US, China and now India where wither raw material or EV demand is growing rapidly (maybe not US yet) and where there are safe jurisdictions with abundant resources.

To put it simply, I think the Australian mining industry for anything related to REE and EV metals is about to experience a golden age and AUZ (amongst others) is in the prime seat to take advantage. So it’s no wonder that perhaps it was AUZ who may have gone soft on the original SKI deal. I think there is a bigger prize here as demand and infilled orders/contracts apply severe commercial pressure on battery producers.


source: http://english.etnews.com/20190617200001