Morgan Stanley forecasts 30 per cent drop in lithium prices by 2025, page-26

I am glad I read that article Nolan posted before it got moderated, FT link is only a paid reading.

This is news to me even though I checked the article published on 12July. MS has been correct so far with that article in Jan2018 which was mocked here by LT believers at the time. Obviously hindsight commentary from me but recent history has once again taught is that future is never to be predicted accurately.

I will add to my negatives/positives on going with today's announcement by SYR which is battery related and over supply. This reinforce the outlook going forward on the efficiency of Oz Li miners to bring project so quickly into the production phase, victim of their own success. Demand pull have been slower in catching up to supply push. IT is true that all the major car manufacturers are increasing their EV models and there is a lot of growth but as a ratio of ICE production, this is still an insignificant %. Flipping a chart of Spod/LiOH price trend do not lie for the past several years. Seems to be the imbalance has so far tipped it into the opposite.

The good news is that PLS were able to raise so much capital that is providing a very warranted time and cash buffer to weather more downturn in the sector. The jog rather than the sprint that was happening for the last couple of years. The EV uptake needs to grow but with the bond yields signalling slow growth I remain cautiously optimistic.