12,000 tonnes per annum won't be for another 5-8 years time, and that's being optimistic. I'm not looking to hold that long (or perhaps a fraction of what I'm holding now), it simply won't be worth it compared to the returns available elsewhere. But everyone has a different risk profile.
The successful hard rock producers won't have a problem, I'm sure smarter people than you or I have crunched the numbers and ensured their projects stay viable. As for funding, I also think they'll do just fine if they have a large enough resource. Some (very) large resources are being found as we speak in Canada. In the time it will take AGY to start producing 12ktpa, I can confidently say far more larger resources will have been found when it comes to hard rock exploration.
Unfortunately the same assumptions cannot be made with AGY at the moment. I remember JZ saying in an interview what they need the lithium price to be to make their project viable, and that was years ago, so naturally we can assume this figure has now risen with inflation and I'm sure other running cost blowouts now they're actually producing. It would be interesting to find what he said, I believe it was in a Proactive Investor interview a couple years back.
AGY Price at posting:
17.0¢ Sentiment: Hold Disclosure: Held
