Melen100,The Demonstration Plant at Kachi will be up and running...

Melen100,

The Demonstration Plant at Kachi will be up and running in months (not years) - so not too long to wait on proof of production at scale…..or not. I, for one, am confident that the process will prove itself…..but only time will tell conclusively.

As far as projected Lithium pricing goes…
“There’s a complete overoptimism about the responsiveness of supply in the lithium market,” said Andrew Miller from BMI. “It’s very hard to see how it’s going to accelerate at the speed that the battery market & electric vehicles are accelerating”.

It has been suggested that Lithium supply will be in deficit until at least 2030 - as new projects and expansions have no hope of ramping up as fast as the projected demand. Bringing new projects on line just will not happen quickly enough. This would suggest that long term supply contracts will be struck at significantly higher price levels than in the past. One would not expect contracted prices to be at the Lithium Spot Price - but the trend in Spot Price should at least be an indicator that the prices that long term contracts are struck at will have significantly increased over the last 12 months and will likely continue to increase if the Spot Price continues its current trend. The current projected supply v demand picture certainly favours the Lithium Producers when it comes to the negotiation of contract prices for Lithium through the rest of this decade….hence the move towards contract pricing with at least a portion of the supply linked to the Lithium Spot Price.

I honestly don’t see any “glut” in supply appearing anytime this decade…..and certainly not in 3 years. This is no gamble.