BSX Day to Day SP discussion, page-2048

Thanks for the post, welcome to the Blackstone forum.

Important to do DD and assess risk.

Here are my thoughts on the subject.

Tesla is known to be a disruptive company and Elon has a natural ability to sway market simply with social media posts. Twitter etc.

His influence works in too ways, if they post that they are using a chemistry, the price increases and makes supply difficult and production bottleneck.

Instead he can Tweet that they are 'moving away' from a chemistry then secure supply.

'The company (Tesla) is placing a huge bet on rechargeable battery technology that doesn’t use cobalt.

'But Musk also flagged a big change in metals used, away from nickel and the previously flagged cobalt, and towards iron and manganese.'

Then does this

' 75,000 tonnes of nickel concentrate over six years, as well as smaller amounts of cobalt '

Long story short, there is room for lots of different battery types but majority of them will be Nickel rich and NCM variations.

'As per research report by Fortune Business Insights™, the global electric vehicle market size was USD 246.70 billion in 2020. The market is anticipated to grow from USD 287.36 billion in 2021 to USD 1,318.22 billion in 2028 at a CAGR of 24.3% in the 2021-2028 period.'

Worst case is NCM battery variations only captured 40% instead of 70% of the market that's still a USD$527,288,000,000 market.

Blackstone is positioning itself to leverage this market to the maximum.




Source:
- https://www.reuters.com/business/autos-transportation/tesla-signs-deal-first-us-supply-nickel-with-talon-metals-2022-01-10/
- https://www.forbes.com/sites/jamesmorris/2020/07/11/teslas-shift-to-cobalt-free-batteries-is-its-most-important-move-yet/?sh=3494b18e46b4
- http://reneweconomy.com.au/musk-predicts-change-in-battery-metals-and-terawatt-hour-storage-business/
- https://www.globenewswire.com/news-release/2021/10/21/2318059/0/en/Global-Electric-Vehicle-Market-Size-2021-2028-is-Anticipated-to-Grow-USD-1-318-22-Billion-at-a-CAGR-of-24-3.html#:~:text=Pune%2C%20India%2C%20Oct.,in%20the%202021%2D2028%20period.