ASX Today, page-37147

Elon will need a drink or two when he sees this!

What this shows quite clearly is the buildup in negative sentiment towards the EV industry. The demand for EVs is still growing but at a much slower growth rate and not at the level "hoped" for in all the spectacular EV growth forecasts. Lithium producers geared up on the basis of these forecasts and have been caught in an oversupply situation. The result has been a substantial drop in the SC6 price from over US$8000/dmt CIF to US$850/dmt CIF currently. This is clear evidence of the size of the oversupply situation which is not insignificant.
So what can be done to rebalance the market:
1. Stimulate EV demand (Up to the BIG boys!)
2. Existing producers reduce current production and/or delay expansion plans.
3. New projects delay commencement of production OR commence at much lower production level.

LTR is in the third category and IMO the SC6 market would struggle to adsorb 613kpa of SC6. This would not encourage a market rebalance so likely to result in lower SC6 prices for longer.
LTR has a difficult decision to make.

IMO only