Thanks for the post. What do you mean "LTM is trading Gxy at around $1 and Ore $1.20"? How did you work this out?
But when I calculate the real Lithium consumption, it does not look very inspiring really.
In 2022, global EV battery installation was 518Gwh. That consumed only 440kt LCE. Don't know the exact figure of last year, but 2024 Q1 from China, they said EV battery installation was 85.2Gwh. This annual rate is about 290kt LCE. Consider PLS alone will supply material enough for 130kt LCE, when Leo and Liontown both come online, these 3 suppliers can cover the whole chinese EV demands at this rate.
Although, global EV industry outside China is still at its infancy, we might see sudden change of tide, who knows. But I think another overlooked potential is from grid storage. That part could be quite significant as well, with solar power making progress.
It will be real help to have roughly accurate quantified supply/demand analysis, rather than just live on wish. In LTM's case, long resource life certinaly will help holders weave through these troughs, if one can afford long investment timeframe. Hope we don't have to wait that long though.
LTM Price at posting:
$5.86 Sentiment: Hold Disclosure: Held
(20min delay)