WAS THIS THE MAJOR PLAN OF TESLA?
ALB will takeover LTR, Then TESLA will takeover ALB..!
ALB CAN'T TAKOVER LTR BECAUSE OF ITS OPPORTUNISTIC LAW BALL BID.
NOW...
IF LTR AND MIN MERGES,
THEN IT WILL BE THE LARGEST LITHIUM COMPANY IN THE WORLD.WE SHOULD BE WELL AWARE THAT LTR'S KV PROJECT IS A KEY RESOURCE IN THE WORLD LITHIUM SUPPLY SECTOR BECAUE IT'S 100% OWNED BY LTR. IF ONE OF THE EXISTING BIG LITHIUM MINERS TAKESOVER LTR, THEN IT WILL BE THE LARGEST PLAYER IN THE WORLD.Before ALB's LTR takeover offer was announced I was thinking that LTR was getting too expensive even for major miners, so was MIN.
As you know ALB couldn't make a move on to MIN so far but preferred to be in JV relationship with it. BHP never demonstrated a solid eagerness to enter the lithium mining business while RIO have done stupid moves and hesitated to buy a tier-1 asset like LTR's.
Btw I was thinking that Tesla might have a major plan to control the lithium supply chain. Because they were building many battery gigafactories, Elon Musk was mentioning about the importance of lithium and going into mining business. However Tesla was not doing anything about buying a lithium mine..! That was weird.
Then Tesla might have a different plan I thouhgt!.
TESLA'S PLAN MIGHT BE BUYING ALB..!
BUT THEY WON'T DO IT BEFORE ALB BUYS OUT LTR..!(Remember: IF ONE OF THE EXISTING BIG LITHIUM MINERS TAKESOVER LTR, THEN IT WILL BE THE LARGEST PLAYER IN THE WORLD.)
I put my opinions on my
Post #:61096083 about a year ago on 29/04/2022.
"
Tesla may buy Albemarle. Then Tesla would be controlling nearly 50% of world lithium resources under operation or development. 49% of Greenbushes, 60% of Wodgina (JV with MIN), 35% of world brine sales because of Atacama operations, etc, etc. Plus Tesla has couple of offtake agreements with LTR, WES (Earl Grey deposit), and others.
That would be much better for LTR if Tesla buys Albemarle than Tesla buys LTR, because then LTR's sp will fly more than the Tesla's T/O for LTR as there will be less lithium for other OEMs".
As you may know the Lithium Bulls Howard Klein and Rodney Hopper are also saying the same thing now, but they also say they don't understand why that is not happening.
However I was giving the answer to that on my one year old post, at the same day with the one above;
Post #: 61097603
"I would also think Tesla would buy Albemarle after Albemarle bought LTR,
but that would be hard because Albemarle can't afford to buy LTR
because their balance sheet is not that good IMO unless Tesla would help or ask Albemarle to buy LTR first."
This graph below credit to our fellow poster
@TrayonRangerExplains the plan...
WOULD TESLA HELP OUT ALB TO BUY LTR AND,
WHY AND HOW WOULD IT DO THAT?IF Tesla has a master plan in upstream part of the lithium supply chain as I said, then Tesla should help ALB to buy LTR.
How would it do it?
Maybe Tesla might join the bid with ALB (as its balance sheet is not good enough to make a higher bid) and increase the bid to the level where TG and us would be happy to sell out. There might be many alternatives for them to do that. I will leave that problem to be solved by ALB and Tesla.
WHAT HAPPENS IF LTR AND MIN MERGED..!
HOW TO CREATE THE LARGEST LITHIUM COMPANY ON EARTH
Strategic ThinkingI have had this idea for some time and was thinking on it. I was researching the structures, business models, resources of all large companies in the lithium business; Albemarle (ALB), MIN, SQM, PLS, WES and of course LTR.
MIN lithium resources are not independent as you know. MIN has two JV's on its two resources. One 50/50% JV with ALB for Wodgina and two lithium hydroxide plants (one is existing plant for Greenbushes ore) and the other one is going to be built in China for Wodgina's ore. MIN also has a 50-50% JV with Ganfeng for its Mt Marion mine (70mt resource). And MIN and Ganfeng are also building a lithium hydroxide plant for that mine. MIN also has invested in GL1 in Normsan region where LTR's Buldania is located as well.
We know what LTR has.
CHRIS ELLISON of MIN is great man like TG. Very smart and diligent. He created MIN. I'm sure he would be very happy to work with LTR's TO as CEO as well.
Let's have a look at the graph below.
The LTR-MIN merger company would have:
330mt Resource and,
200kt lithium hydroxide production capacity potential. In that case, ALB would not be the largest lithium producer.
ALB would not be able to takeover LTR.
MIN would be much confortable against ALB.
TESLA would not be able to control lithium supply chain.
I am now opening this to discussion.
Let's see what the opinions are.
(20min delay)
