Cobalt cliff

For anyone who wants to understand the value of Cobalt better, please check below and also Post #:17372351

http://investorintel.com/technology-metals-intel/lithium-ion-batteries-the-cobalt-cliff-is-upon-us/
annually:-


http://investorintel.com/market-ana...r-cheap-lithium-ion-batteries/#comment-537803

well bugger me this graph also shows that Cobalt "magnet" consumption jumped about 20% in 2011 - when rare earth prices spiked

John Petersen goes onto say:-
My simpler view is that the eight non-battery industrial sectors have predictable annual needs that they must satisfy regardless of market prices

Since the battery industry expects even faster growth in the future and is very sensitive to raw material costs, it seems appropriate to note that a return to $52 per pound cobalt ..... (dude Cobalt is presently around $10 per pound - that's around a 420% price increase should it occur)

When I reviewed the tonnage of cobalt shipped to battery manufacturers during the last nine years, I was amazed to learn that 2014 demand from the battery industry was 270% of 2006 demand. Growth rates like that don’t happen in mining.

Cobalt’s status as a by-product of nickel and copper mining precludes the possibility of abundant cobalt supplies for the battery industry. Competition from eight well-established industrial sectors that need predictable volumes of cobalt every year precludes the possibility that the battery industry will be able to outbid competitive cobalt users. Declining cobalt production during a period of rapidly increasing demand from a single industry is likely to have a highly adverse impact on cobalt prices ....

http://investorintel.com/market-ana...r-cheap-lithium-ion-batteries/#comment-537803

Likely outcomes:-
High performance Dy-free magnet manufactures (they use Cobalt) if they can get the Cobalt then they will likely pay through the nose for it - pushing up the price for the Dy-free magnets they produce and sell

If the Cobalt price is bid to unrealistic high levels and flows through to Dy-free magnet costs - then expect some high performance magnet users may switch back to traditional Dy high performance magnets

There are plenty of information on huge Cobalt deficit in the coming months already. Lets see how it plays out on TGS.
Rocket it up the only direction I could see!