These are huge figures and confirm the demand is enormous by just one single car maker. More revelations to come. The bankers can only try hold the Li demand boom down for so long with erroneous reports. Macquarie, whom I'm certain having positioned their accumulations in various Li assets during the pullback, decides to come out here with a report on potential Li supply not meeting planned supply!? What don't we already know!? Lol.
Another poster on another stock thread mentioning a clear investors flight towards quality stocks ftom spec stocks. The top producers from the specs explorers. Flight to quality - cannot agree more. Further increases in Li2CO3 pricing nx few quarters - $14500p.t? $18500p.t? Any rises go direct into the ORE coffers NOW while specs are still scrambling to bring onboard problematic, time delayed projects, in 2-3 yrs time, and more.
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China is already reporting some constraints from suppliers and shortages. What about LiOH? $18000 -$20000p.t. +?? Once the broader market wakes up that they have had wool rubbed into their eyes, buying supply could rush back in quicker than we'd normally expect. $7.50 is not even close to where this is heading. The 25000t expansion on top of the 16500t current, 10000t of which will be LiOH, translate for the 1st time into potential revenue 3 times the current in a growing spot price market. Throwing serious money to ORE.
If shorts get rushed and lack of stock, tight registry results in short covering event, many will burn. I would love to see an event, such as several car companies placing multibillion orders, or China demand pushing further the Li2CO3 & LiOH prices, the Li GLOBAL EFT funds price to surge from funds buying back. That event will coincide with investor sentiment reversal- retail, pros and funds may return as buyers in a surge. The shorters get caught out in the dangerous game. Just a matter of time. Longs and holders have much to look forward. The SP recovery to continue from here is a no brainer. How quickly, if it ll surge or if a more solid gradual recovery, well, the shorters would hope for the latter and the longs more time to buy more.
VW (VLKAY, -0.40%) has awarded battery-purchasing contracts worth 40 billion euros ($48 billion), double from just a few weeks ago. The deals take the German manufacturer within striking distance of a sought-for 50 billion-euro total. By 2025, VW plans to sell as many as 3 million all-electric cars per year, Chief Executive Officer Herbert Diess told investors Thursday at the annual shareholder meeting in Berlin.
While Musk has perfected the role as industry iconoclast, he’s finding himself increasingly on the defensive as investors probe Tesla’s finances and established manufacturers from Daimler (DDAIF, +0.91%) to VW push aggressively into his niche. VW makes more cars in four days than Tesla (TSLA, -5.69%) does in a year, and is harnessing its immense financial financial and engineering firepower to make up for ground lost in the self-inflicted diesel-cheating scandal.
Cracks from mounting pressure on the California-based electric vehicle maker started to show when Musk criticized analysts for asking “boring” questions and cutting off queries about the company’s capital needs during Wednesday’s earnings call.
“By 2020 we will offer our customers more than 25 new electric models and more than 20 plug-in hybrids,” Diess said. “In just a few years’ time, then, across all brands and regions, we aim to put the world’s largest fleet of electric vehicles on the road.”
VW’s Audi brand, the group’s largest earnings contributor, will start production of its first all-electric SUV at the end of August, followed by the four-door coupe Mission E from sister brand Porsche next year. VW’s namesake brand will start to roll out the new I.D. range of battery-powered vehicles from 2020, which will be priced at comparable levels to similar combustion engine vehicles.
As carmakers roll out their electric lineups, Diess said there were “clear” indications to restart talks to establish manufacturing of battery cells in Europe to satisfy growing demand. Robert Bosch, the world’s largest car-parts maker, decided against starting an own battery cell production earlier this year citing high investment demands.
ORE Price at posting:
$5.73 Sentiment: Buy Disclosure: Held
