Westwater Resources Ugh- Full disclosure: I have both Canadian and American Citizenship, moved from Montreal to San Francisco in '97, have nibbled at NMG shares. First, I hate disingenuous presentations. The National Academy of Sciences is a private non-governmental organization full of academics, but anyone can become a member, just have to be recommended. They publish reports and this was just a presentation, nothing to do with current government policy. For me it was just intentional window dressing. Second, even Joe Biden will tell you that Canada is considered US supply chain. It's like Australia and New Zealand. For the presentation to not include some of the world's highest quality resources(multiple mines) sitting idle in Quebec due to the last bust/North American cost is misleading(akin to Pilbara). He had the audacity to include Alaska! It just seems like a shakedown to me.
The reason I like Nouveau Monde is that Pallinghurst got involved and bought in cheap after their financial meltdown. Arne Frandsen is now involved. Pallinghurst makes money...Look at their presentation-NMG- market cap 317 million, WWR 140 million. WWR market cap in 2019-7 million. 2020-120 million, didn't look at capital raises...Haven't fully researched NMG but knew they were cheap due to reverse split, listing on NYSE and huge tank due to implied Pallinghurst valuation.
FWIW, my regional supply small speculative posititions are Talon Metals on TSX- high grade nickel sulphide ore, non-lateralite, in Minnesota, JV with Rio, Rio seconding further knowledge power in a hurry in July to Talon, Tesla employees tweeting encouragement. For lithium, Frontier Lithium-high grade spodumene comparable to Wedbushes. Almost underhyped-undersell and overdeliver. They have been sitting on the resource for a while and think they will hit the sweet spot with production in 2025 when hydroxide takes off. I like the asymmetry, Frontier MC 100m, Standard Lithium 500m, Piedmont, over a billion. I like DLE and briefly looked at Standard and owned and sold LKE. Standard looks good, ion exchange, but less bang for valuation. LKE, has a weird perpetual warrant issue(positive feedback loop) that I was not eligible for but struck me as MLMish and sold at 110% gain and moved on, but will keep an eye on Lilac's modularity tech-it's a local company.
Both NMG and Talon advertise "electric" mining, I'll believe it when I see it. But I don't overbank on ESG. I believe Tesla is getting their synthetic graphite anodes via Panasonic from Shenzen. If push comes to shove, both US and German governments are practical. They would not impede industry progress and make exemptions. As green and rapidly developing renewables as the Germans are, they are building natural gas pipelines to Russia, with their ex-chancellor being wholly bought by Putin(couple of American Congressmen as well).
But in my mind, I am willing to sell these small positions at the next higher highs, as San Francisco is going crazy with the pandemic accelerated digitization of the economy. AI, Robotics as a service, Education Tech, Health Tech, DeFi, blockchain, everything tech even PDTs- prescription digital therapeutics: Pear Therapeutics going public valuation-1.2 B, Nextdoor-4.3 B, Novonix currently 1.2 B... gotta get my limit orders in for Monday AM here. This is just my opinion, little bug eyed from reading Investor Presentations, take it with a kilo of salt.
NVX Price at posting:
$3.91 Sentiment: Buy Disclosure: Held
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