original post regarding offtake agreements, shenghe can sign...

original post regarding offtake agreements,

shenghe can sign offtakes with lots of different companies, all those will have different economic profiles as to financial profitability , maybe post some information regarding VHM Opex and basket price payability?

Its a different company profile with different challenges and different mix of rare earths.

this stock hasn't had the best liquidity driven from market interest , so only takes a seller wanting/needing to offload for whatever reasons to push the price down - add to context the whole rare earth market has taken a beating so sentiment isn't going to bring in buyers looking for value when other stocks with more liquidity have also declined (some almost by half from 4 weeks ago - MEI as an example),

be interesting to know if new holders have come on board or current holders have mopped up the selling stock - been buying myself a few more. i dont think there would be any holders that aren't underwater with the current share price. So i assume some are averaged down buyers. So i assume they still hold confidence in the project and more shares become held by long termers.. less liquidity works both ways....

posted several weeks ago (might have been december) the Ev market was showing some issues..

High interest rates flow on effect is vehicle purchases - there is a lag in that which takes time to flow through the system, we are also leverage to USD - stronger dollar equals weaker commodity prices , i have put up charts in past showing this as a clear correlation to ore price.

China itself has issues with its economy and consumption. The stock market has had some serious downgrades - shenghe share price itself is down more than 50% from 12 months ago. from its 52 week high of $17 to $7.


there is always chatter how china has a stranglehold on prices - ultimately western society will want ore to supplied from environmentally responsible methods and countries with higher standards - its a compelling argument - to use renewable resources but not mine them in an environmentally unsustainable and with destructive methods , the petroleum industry use this as a point of reference as to the Ev production issues and the current hypocrisy of saving the planet... .

companies like Pek and VHM are positioned to provide ore from mines with higher environmental standards due to their jurisdictions.. when europe and usa get lobbied by their own industry to put in place these supply standards.