I can't help but feel that the next stage of rationalisation and...

I can't help but feel that the next stage of rationalisation and consolidation in the Lithium process, will be in the LiOH chemical conversion stage.

Considered a "bottleneck"" stage by many media pundits this year, many production managers are happily expanding LiOH production in gleeful knowledge that Lithium raw material supply is "moving into a tsunami of supply" as some friendly financial institutions have said. Conversely, new raw material miners are not being financed due to this false future oversupply perception.

The downstream chemical conversion process has been considered the highly prized cherry on the cake. Remarkable profits to date but what happens if future supply doesn't meet expectations?

Production managers with idle and excess capacity screaming to cut profits to make sales an ensure survival. I think this may be the big hit the tipping point requires to cut EV battery to the cliffsedge $/KwH required.

It may also be the catalyst to send high purity spod conc prices soaring. If Lithium is just the "salt on the salad" and only contributes 2% to the EV batteries overall cost, then its price becomes irrelevant but its supply, paramount.. The perfect storm for a commodity boom.



As an aside, have you noticed the lack of political sabre rattling in the world now???

OK, there's a trade war but I reckon the Chinese respect Trump's hard nosed business. America's relations with Russia and North Korea have never seemed better.

Has Donald Trump brought peace to the world? The great paradox is that he "broke down walls" by engaging in direct and personal communication with Kim and Putin.

Is that the sound of one hand clapping?


.