PLS and Tesla Supply Chain., page-17

It has become clear to me how lithium producers work since Im from an iron ore background. In Iron ore its all about producing tonnage with minimal cost with little regard to the iron ore price.

Whereas lithium its more like focusing down the cost to produce and then stockpiling until the price/demand comes in then they sell for increased margins.

Because the price of lithium the past few years has been down but now with batteries being the biggest product of the coming decade and they see a 100x increase in demand, you have to factor or in cost to run up production with many miners have to account for. Where Pilbara Minerals is concerned they are already sitting and just waiting for the clients to start buying the product then they can snowball production and can profit immensely.

I suspect this is PLS business model they know lithium has a future 6 years ago but never considered how Tesla has changed the whole mining industry on its head.

Never underestimate Tesla's influence on battery manufacturing going forward alot of competition coming and battery manufacturers will take the shortest route in regards to the supply chain as they can to improve margins.

Exciting times ahead for sure.

Hold this stock boys no need to sell I forsee minimum 18% growth rate for next 5 years.