CXO needs to work on its teething problems and recoveries to reduce costs. They did well to prevent further cash bleeding now. Others will follow. Some will leave it to late. Its indecision during these times that is the company killer. LTR will have its challenges and will not want to leave it to late to make a decision. The lithium price worm will turn but the key is making timely decisions both cutting back and timely ramping up. Timing may for once by on our side with production scheduled for circa mid 2024. For once with the lithium price down delays are less of a worry. We will have time to get it right. I expect the lithium price to after mid to late 2024. Shorters will be likely the leading indicator. The transition to EVs is just beginning. So a demand return is a sure thing at some point. We will see plenty of lithium newcomers make their fortunes on the rebound given the falls are looking extreme. Supply cutting by producers will hasten the rebound. Anyway, if the ducks line up for us in terms of production timing (minimal teething problems) and price rebound timing we could see some decent, likely sizeable/surprising SP gains.
LLL Price at posting:
50.5¢ Sentiment: Hold Disclosure: Held
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