Agree that a premium product comes at a premium price and Ganfeng has recognized the importance of a consistent product that AVZ can supply hence locked up 30% of AVZ Initial production.
If Yibin locks up another 30% in spodumene offtake then the remaining balance of the 4.5 MTPA goes to ??
No doubt that the refined lithium hydroxide will make its way to EU battery cell plants.
This is what I mean by providing competitive pricing to Ganfeng and Yibin pricing.
If AVZ supply lithium sulphate there is excellent margins to work with as compared to supplying spodumene and EU do not have to deal with wastes
As Rainbowdaisy pointed out the direction AVZ takes .... more sulphate supply or less spodumene.
ALL IMO
AVZ Price at posting:
21.5¢ Sentiment: Buy Disclosure: Held