Sage words, Seagull.The shorting games can't last too much...

Sage words, Seagull.

The shorting games can't last too much longer with this one. Pre-production SP low balling will soon be a thing of the past IMHO. As FOMO starts to set in as the scale of insatiable Li demand (and subsequent shortages and price rises) plays out, AGY will have its day in the sun with bigger players scrambling for exposure to up and coming producers with quality management and proven production tech capabilities.

FWIW - I sold out way too early with GXY (pre ORE merge- now Allkem) and waited for the pull back to reenter. A big pull back never happened once it started it's run from around 80c to 5.50 before becoming Allkem after merge with ORE and now trading between approx. $10-$11 mark. Shorters, who had played games for so long with GXY and caused many holders to lose faith and sell out, knew their time was ticking once production started to ramp up. GXY, and PLS for that matter, went from being some of the most shorted stocks to market darlings in a very short space of time.

I understand that there has been other larger macro policy decisions and government 'green' shift at play that have carved the conditions for success of ASX lithium early movers like GXY and PLS, but proven production capability for each company was the other game changer that enabled all important cash flow that started the investment dollars rolling. Now they are having fun with Lithium ETF and big superfund $ wanting a piece of the action.

I believe the days of shorters attempting to hold back AGY are numbered as we approach 2000tpa target and await confirmation of increased capacity for 12,000 tpa. (A side note: I think shorters will move their attention to the BNPL space as regulators tighten up on lending practices and competition from big banks starts to ramp up).

M and A activity in the lithium sector is looking hot and we only one week into 2022! Rio lobbing massive bids for our neighbours is comforting.

Holding tight and looking forward to a good year with AGY.

IMHO DYOR