Day to day discussions on S/P, page-11624

When everyone is harping on how many EVs are going to be produced and how fast adoption is going to be. A contrarian view is that this is not going to happen as fast and as smoothly. The fastest rollout is going to be policy driven rather than market driven, which means China will have the fastest rollout and democratic countries will be slower.

Constant chattering about electric vehicles is not going to rectify the problem of supply and demand of lithium. Lithium is still in oversupply until the EV industry gets bigger.

SQM delaying their expansion decision will mean Pilbara is likely to delay Stage 3 as well. Not only that, POSCO had purchased tenements from Galaxy Resources. What have they been doing with it thus far? 400mln aud is not a small sum. Why would they bother farming more into "upstream" tenements with Pilbara when they probably got their hands "full"?

This is causing investors to rethink on valuation of PLS. Oversupply for 2019 2020 and 2021 is going to mean less cash for PLS. Unless you have a long term investment horizon of 5 years(most people do in months instead), you may be better off moving money elsewhere and come back later. That is why the share price is going down.