If these numbers were accurate, which companies would be hit the hardest? But probably those who have now sold at the spot price, but not Allkem who are still 25-30% below this and whose production is only just growing.
Where would the lithium price go? That's the question to ask, and then how long would it stay there if EV sales increased?
Let's say the price dropped to US$35,000 per tonne, the very fact of Allkem now ramping up Naraha would be aincrease in sales by US$ 350,000 million. Added to this is the doubling of production in Olaroz (from 15kt to 30kt)as well as the production of Sal de Vida, then James Bay in 2024 and probably also Maria-Victoria. In addition, I'm counting on another converter for James Bay to prepare the lithium for the American market.
AKE Price at posting:
$14.25 Sentiment: Buy Disclosure: Held
