Again some old news that is now being published.

https://unauthorised investment advice/resources/eye-on-lithium-super-effort-that-australiansuper-envisions-lithium-fightback/

Eye on Lithium: Super effort, 20 hours ago | Rob Badman

that– AustralianSuper envisions lithium fightback

AustralianSuper still likes lithium

There’s nothing more Australian than Travis Head belting a fighting ton at the Adelaide Oval. But AustralianSuper gives it a go with name, at the very least.

Perhaps taking a punt on lithium stocks has become inherently Aussie, because that’s exactly what the country’s largest pension firm has reaffirmed this week, in an encouraging endorsement for a sector that by and large struggled through 2023.

A Bloomberg report has revealed that the fund, which oversees about $300 billion in pension savings, plans to double its exposure to local lithium stocks over the next five years.

Buying the dip? You bet. The lithium sector’s price capitulation has been galling for many a lithium stock holder (no, not you, WC8 fans), but AustralianSuper clearly sees an opportunity and belief in the long-term EV/clean energy narrative.

Says the super fund’s Luke Smith, a senior portfolio manager, targeting lithium stocks is a strategic play based on belief in a continued global shift towards electric vehicles – demand for which should play out for more than a decade.

“The biggest opportunities for us as investors at AustralianSuper is when the prices are at cycle bottoms,” Smith said, adding that he also sees “lots of opportunities” in nickel, cobalt and graphite as key materials in the energy transition.

The lithium sector and the other critical minerals are likely to be “an attractive place to invest” over the next five years, he said.

And what’s the fund into? For one, Pilbara Minerals (ASXLS) – probably as safe a lithium play as you’ll find. AustralianSuper increased its stake in the company to 6.12% earlier this month.

According to Bloomberg, it now holds about $1 billion in Australian producers of the EV material, which Smith expects to increase to between A$2.5 billion and A$3 billion over the five-year period.

“Through 2022 and in early ‘23, we took money off the table in lithium as the price spiked well beyond the cost curve,” added Smith.

“Clearly, we’re seeing now the opportunity become more attractive.”