TAW 0.00% 31.0¢ tawana resources nl

No reason for much of an impact but the selloff did allow instos...

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    No reason for much of an impact but the selloff did allow instos who missed out on lithium stocks or needed to top up to load up at the expense of smaller retail holders who got into lithium stocks early.
    Talk of a lithium bubble following the recent Bitcoin falls would have some holders sitting on multibaggers nervous and consider taking in some profits if not cashing out altogether. Didn't do battery manufacturers any harm either as it slows the lithium prices and convince current and future lithium miners to sign more minegate contracts.

    I think we've just witnessed treeshaking on a global scale and IMO the impact of extra 200,000t over 7 years is barely a drop in the bucket. To put it in context the extra supply would not even be enough lithium to even convert to EV all the currently registered vehicles in Australia which makes up only 0.32% of world population. And then there is the solar system storage batteries market which also require vast amounts of lithium.

    Then we have to consider that SQM while it is a low cost producer it would still try to get as much $ as they can for their product. Flooding the market with lithium even if such thing was possible by 2025 it would not be in their bests interests. Realistically once the major car manufacturers begin to mass produce EV in 2020 we are more likely to see a shortage of lithium then any oversupply, at least for a decade or so until the lithium used in the first wave of EVs that hit the road from 2020 gets recycled and ads to supply. Basically I see happy days for lithium miners for at least a decade.
 
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