General Discussion, page-2139

Ernie Ortiz, CEO of
@Lithium_Royalty

literally “wrote the book” about #lithium ten years ago as analyst at Credit Suisse before becoming one of the biggest shareholders in SQM and Albemarle Corporation at a large New York hedge fund. Having seen multiple boom/bust cycles in lithium prices and lithium equities over this time frame, his rational, reasoned view today is one of “balance”. The key demand drivers for lithium are still very much intact, Ernie argues, in significant detail over this 40-minute Investor Connect interview I conducted
@FastmarketsBRM

16th Lithium Supply and Battery Materials Conference last month. To the surprise of many, supply has managed to keep up, but at what quality and cost, and for how long? Just as lithium uber bulls got it wrong forecasting deficits throughout this decade, Ernie believes today’s uber bears forecasting surpluses through 2030 are equally misguided. Ernie has access to all relevant market research from price reporting agencies, sell-side analysts and other forecasters, but his own, proprietary models built over ten years, point to deficits/surpluses not greater than 3% in any given year. As a reminder, lithium has been the best performing commodity in four of the past ten years. It has also been the worst performing commodity in four of the past ten years.

Ernie suggests that down cycles typically last 2 to 2.5 years and by Election Day we will have hit the 2-year mark from November 2022’s peak.

Lithium lovers can choose to wallow in Summertime Blues watching continued weak prices ahead of the next round of quarterly commentary from major producers. But the Royalty King, Ernie Ortiz, thinks Queen’s The Show Must Go On is a better soundtrack for Rock Stock Channel’s E114: Rational Optimism… WATCH FULL VIDEO

E114: Rational Optimism. Lithium Royalty Corp's Ernie Ortiz (youtube.com)https://youtu.be/Wm_7JqZF8Wc?feature=shared…