think about it this way lithium price is plummeting and will stay low for awhile Kachi DFS shows OPEX is WAY higher than competitors CAPEX is enormous and doesn't include building a entire power line route to Kachi LKE cash burn is god awful and they'll be out of money in a few months management team have proven themselves to be distrustful
Kachi will never go into production, noone will fund a project like this in an environment like this, LKE DFS used a price for lithium which is double the price today and 20% more than expected 2030 price, the CAPEX and OPEX are the real nails in the coffin companies like ASN and VUL can offset the OPEX with byproduct sales but LKE are solely focused on lithium and with the current price LKE would be making a net loss on every ton produced, there will be more funding this year, no new offtakes, this will continue to slump down into the low single digits until they either give up at kachi or can no longer raise the money they need (30m per quarter) to continue operating
take a punt if you want, its your money but LKE isnt low because of downramping on HC, its low because its a pile of shit
LKE Price at posting:
9.4¢ Sentiment: Sell Disclosure: Not Held
