Hi Mirage,
These are valid questions and I'm sure many have said their piece along the way.
IMO it would be difficult negotioating deals at the bottom of the lithium market. (This is changing of late).
IMO the PLL deal won't be the best deal but they've signed 1/3 of their production to Tesla and the name will help put PLL on the map and get them to production even if the deal wans't that great. They still have 2/3 to do better. Tesla would be a tough customer to deal with profit wise, so not the best if you want to make money (which is what it all comes down to).
IMO AVZ is looking to sign single offtakes larger than PLL's whole yearly production, so this needs to be a good deal.
PLS has several great examples of a bad deal to which AVZ can learn from their mistakes. PLS however to their credit got to production quickly but then found themselves in a massive hole because of those deals.
As a producer to survive in the up's and down cycles of the market the offtakes makes all the difference. AJM another good example if you follow them.
I don't think it's a problem at all for AVZ to get an offtake deal, I think it's negotiating the correct terms that is whats well worth the wait in time rather than dealing with pain down the track.
IMO they're coming for AVZ and once the first is locked in the rest will follow (on good terms).
This stock isn't a good one for the impatient but IMO will be well worth the wait.
Peace
- Forums
- ASX - By Stock
- Running discussion on SP
Hi Mirage, These are valid questions and I'm sure many have said...
- There are more pages in this discussion • 46,207 more messages in this thread...
You’re viewing a single post only. To view the entire thread just sign in or Join Now (FREE)
Featured News
Add AVZ (ASX) to my watchlist
(20min delay)
|
|||||
Last
78.0¢ |
Change
0.000(0.00%) |
Mkt cap ! $2.752B |
Open | High | Low | Value | Volume |
0.0¢ | 0.0¢ | 0.0¢ | $0 | 0 |
Featured News
AVZ (ASX) Chart |
Day chart unavailable