At the bottom of the last Lithium cycle, 2020, ALB wanted to...

At the bottom of the last Lithium cycle, 2020, ALB wanted to take control of Greenbushes by buying out Tianqi, who were then in trouble.

Fast forward to 2024 and ALB are now considering selling its stake in Greenbushes, if speculation is to be believed.

ALB have somehow managed to not capitalize on the last Lithium price surge and find themselves in this situation.

You would think Tianqi, would also be sailing close to the wind, having just recorded a quarterly loss. Ganfeng would be concerned also. I suggest some major capital expenditure will be reviewed.

If the speculated buyer, IGO, is correct, where and how do they fund it?, considering both of their cash cows are currently not cash cows. Nickel operations shutting and bleeding cash, Greenbushes now producing minimal cash.

The decisions the PLS BOD have made are now looking like another master stroke. The conservative approach to capital management is now the lifeline. Not so long ago, mainstream analysts and the market were badgering PLS to spend spend spend, buy assets they said. Imagine the pickle PLS would be in if the BOD had buckled to that noise.

This Lithium winter will pass and PLS will again be positioned to supply 1Mt into a Lithium market short of supply because the investment is about to dry up completely, IMO.

Interesting times.