PLS 5.29% $3.14 pilbara minerals limited

Ann: Pilbara Minerals launches digital sales platform, page-103

ANNOUNCEMENT SPONSORED BY PLUS500
ANNOUNCEMENT SPONSORED BY PLUS500
CFD TRADING PLATFORM
CFD Service. Your Capital is at risk
CFD TRADING PLATFORM CFD Service. Your Capital is at risk
ANNOUNCEMENT SPONSORED BY PLUS500
CFD TRADING PLATFORM CFD Service. Your Capital is at risk
  1. 8,984 Posts.
    lightbulb Created with Sketch. 4436
    Who organizes - No different to regular shipments to offtake partners. Port Hedland is a very busy port, plenty of opps to sneak 15kt on a ship with spare capacity.

    PLS needs to find new long term offtake business quickly - You have got it backwards, China media stating 6% shortage this year, so I'll take that as 16%. Therefore, China, South Korea who do and will rely heavily on Oz for spod will take what they can get IMO. Also, don't forget, PLS will need to keep a fair chunk of its spod available for its downstream integration initiatives, so it doesn't make sense to commit those tonnes to long term offtake contracts.

    And on that last note, if you quietly listen to the language from PLS management wrt plant 2 , Thesi plant 2 and the associated tenements do not have any commitments, offtakes, etc. Therefore, plant 2 will be fixed and eventually expanded. Initially is will supply spod on the spot to bring in free cashflow, which will assist in funding downstream integration. Lets say plant 2 expands to 400kt of spod, enough to produce 57kt of lithium chems. Assuming lithium chem prices at US$13kpt and AISC of US$5,500, thus a gross profit of $427 mill, from plant 2 alone, a very good buy, hey.....

    Some of those chems will be shipped to the EU, as the EU will not be able to meet its own domestic requirements, it will remain import dependent indefinitely, though that dependence will improve over time as EU projects expand.

    Pilgangoora 1 & 2 once fully explored and drilled will be the largest project globally, a 100% owned global brand, where the battery pack will have a stamp - "Powered by Pilbara Minerals (PLS) Lithium", followed by the sustainability credentials.




 
watchlist Created with Sketch. Add PLS (ASX) to my watchlist
arrow-down-2 Created with Sketch. arrow-down-2 Created with Sketch.