Here is a good article, not only reading on Christmas evening, me thinks
https://themarketherald.com.au/lithium-the-highly-sought-battery-metal-powering-evs-2019-12/Some extracts:
"However, before the booming electric automotive industry began consuming roughly half of the world's lithium-ion battery supply, the smartphone and electronics market consumed the lion share of lithium.
Rewinding back two years, lithium battery demand was growing at a rate of over 20 per cent per year and, since 2010, grew over 73 per cent. In November 2017, lithium carbonate prices peaked at US$25,800 per tonne.
This sparked the attention of miners and producers to strategically invest and ramp up productions. However, because consumption has grown so extensively, there has been an oversupply. Analysts argue this has been key in causing the lithium price to fall from its former throne.
Alternatively, other analysts say capital expenditure blowouts, delays in mine ramp-ups and the bear market in the lithium equities have undoubtedly curtailed investment in greenfield projects.
Despite uncertainties in supply, analysts argue that the demand for lithium won't slacken. This is mainly attributed to the unrelenting need for the battery metal in electric vehicles.
Tesla isn't the only force pursuing the growth in EVs. Volkswagen, for example, is planning to put 22 million electric vehicles onto European roads by 2028. Porsche and Mercedes have recently invested billions in electric vehicle programs. In Japan, Toyota has teamed up with Orocobre to build a lithium hydroxide plant.
Because of this, the lithium price is likely to rise in the coming years. Matching this, an onslaught of supply is expected to arrive on the market in the coming years."
Me thinks, the conclusion (done in bold letters from me) is quite right. For illustration here a 1year-chart; lithium sparked roughly 20 % from low in sept 2019
As
@estate09 said earlier: "AGY needs a catalyst to kickstart buying volume from somewhere. Is the permit the catalyst?? I certainly hope so."
There is nothing more to say !!Oh sorry, I forgot something:
I wish all of us more gifts in the new year of 2020, than you could ever carry on Christmas evening !
A very happy Year 2020 to you all .... all the best in health, wealth and happiness .... and a special thanks to all the lads and lasses who contribute so much to this board sharing with us their wealth of knowledge and in-depth research ...... Very much appreciated !!
