All lithium stocks down today e.g CXO 5%, LTR 4.5% and this sort of thing is perfectly normal where I suspect an orchestrated move to take profit by instos after lithium stocks going gangbusters over the last few weeks.
AVZ also part of a healthy pullback with many short term re-rating share price catalysts about to hit:
Short Term Strong Re-rating Catalysts:
-mining licence-trigger other catalysts including further funding where instos will pull the trigger on the awarding of the ML.
-HEPP
-BFS- which should be stellar with massive increases in lithium and tin prices, increased resource size(wedge drilling), decreased payback period and a massive increase in NPV/IRR with plans for a 10 Mtpa plant( 2 times greater than PLS's two plants combined
-AVZ MC=4.6 Bn; PLS MC=10.8 Bn, and roughly the same shares on issue, so AVZ is greatly undervalued especially when you look at the size of our resource(the largest) and capacity to expand.(1.5 Bn tonne exploration target which the MD has said can be achieved easily
-planning 10 Mtpa and have enough easily extractable lithium for 40 Mtpa
) Value added with primary lithium sulphate(less transport cost) and plans for lithium hydroxide and a battery plant making transport costs redundant in the future!
-SEZ-special economic zone giving tax, duty and royalty benefits greatly increasing the economic bottom line in the BFS
-Lithium hydroxide feasibility study-JV?
-other partnerships? e.g. Bosch and Saudis are both together with AVZ on the DRC battery council...And who else with the desperate need to secure lithium supply with spiralling demand because of supply chain disruption, lack of investment in lithium mining and development when lithium prices were down, and the need to fill massive lithium contracts for auto makers(re-tooled to electric)and gigafactories pressured by mandates to phase out internal combustion engines and mandated emission targets.
-further funding e.g.
BTW AVZ just received 545 million from the African Development Fund, and AVZ was the only aspiring miner chosen to take part in the DRC’s newly formed Battery Council-what a great endorsement for the project.
-further offtakes
-FID
AVZ with the largest lithium deposit globally well placed to meet future demand:
Exciting Times for AVZ holders to be in this company making stage of AVZ's development!
AIMO
