The next focusIR Investor Webinar takes places on 14th May with guest speakers from Blue Whale Growth Fund, Taseko Mines, Kavango Resources and CQS Natural Resources fund. Please register here.
London South East prides itself on its community spirit, and in order to keep the chat section problem free, we ask all members to follow these simple rules. In these rules, we refer to ourselves as "we", "us", "our". The user of the website is referred to as "you" and "your".
By posting on our share chat boards you are agreeing to the following:
The IP address of all posts is recorded to aid in enforcing these conditions. As a user you agree to any information you have entered being stored in a database. You agree that we have the right to remove, edit, move or close any topic or board at any time should we see fit. You agree that we have the right to remove any post without notice. You agree that we have the right to suspend your account without notice.
Please note some users may not behave properly and may post content that is misleading, untrue or offensive.
It is not possible for us to fully monitor all content all of the time but where we have actually received notice of any content that is potentially misleading, untrue, offensive, unlawful, infringes third party rights or is potentially in breach of these terms and conditions, then we will review such content, decide whether to remove it from this website and act accordingly.
Premium Members are members that have a premium subscription with London South East. You can subscribe here.
London South East does not endorse such members, and posts should not be construed as advice and represent the opinions of the authors, not those of London South East Ltd, or its affiliates.
AlWays a good sign, anyway he is off trekking in France :)
It would be nice to see some positive news and correspondingly some positive movement today.
While the movement on a day to day basis recently has not been significant, it is starting to accumulate, and in the wrong direction.
I'm sure Joe Lowry will have nothing to say about that Barksy1
Well, Warren Buffett seems to have invested very wisely and another milestone in EV penetration, how big are the batteries?
https://www.greencarcongress.com/2019/09/20190924-byd.html
Must be 350Kwh plus?
Lac news
Sept 25 (Reuters) - Lithium Americas Corp has cut its budget and production target for a proposed Nevada mine amidst growing concern of a global supply glut for the white metal, a key ingredient used to make electric vehicle batteries.
The announcement on Wednesday from the British Columbia-based company comes as lithium prices plummet in China, the world’s largest consumer of the metal, due to fears of supply exceeding demand, even as Rivian Automotive LLC, Volkswagen AG and other automakers launch ambitious EV plans.
Lithium Americas said it now plans to spend $400 million on the first phase of its Thacker Pass project with output of 20,000 tonnes of lithium annually. The company had previously forecast a $581 million budget for the first phase with annual output of 30,000 tonnes. The mine is expected to open by 2023.
“People are really preoccupied with pricing, but they’re just looking at spot pricing in China, which is only part of the market,” Chief Executive Jon Evans told Reuters. “The demand picture remains strong.”
A wave of new supply and Chinese EV subsidy cuts have sent lithium hydroxide prices AM-LIOH0002-LHM, as assessed by industry information provider Asian Metal, plummeting 36.8% this year to 67,000 yuan ($9,418.31) a tonne.
Still, there is no global pricing standard, much to the chagrin of miners who see China as only part of the global demand picture. Japan’s Panasonic Corp, for instance, is a large lithium consumer. The London Metal Exchange plans to launch a lithium pricing contract in the near future.
ADVERTISEMENT
Lithium Americas also said on Wednesday it has hired Nacco Industries Inc to build and run Thacker Pass, where lithium is found in clay rock. The company plans to use a proprietary acid leaching process to extract the lithium.
Nacco will fund $50 million for mining equipment, funds that will be repaid by Lithium Americas once the mine is operational.
Lithium Americas, which is developing a brine lithium project in Argentina with China’s Ganfeng Lithium Co , has not yet secured financing for Thacker Pass, a process expected to begin next year.
ADVERTISEMENT
Lithium Americas plans to host U.S. Senator Catherine Cortez Masto, a member of the Senate’s Energy and Natural Resources Committee, this Friday at the Nevada mine site.
The Democratic senator voiced her support last week for pending federal legislation to streamline permitting for new mines.
“If we don’t start embracing this new technology, we are going to be left behind,” Cortez Masto said. ($1 = 7.1138 Chinese yuan renminbi) (Reporting by Ernest Scheyder Editing by Shri Navaratnam)
Managed to accumulate 55k shares...which is a lot for me.Happy to play the long game here,fingers crossed!
Imho the reason the s/p isn't on the rise is because we know once this final approval from SAFE arrives there will be a funding gap on the BCN side to get the project fully up and running. There are several ways this shortfall could be reduced, possibly even closed altogether, but BCN have chosen not to publicise their plans. Unfortunately PS mentioned the dreaded words "equity raise" in his latest interview and I guess few will find that an enticing prospect, especially if they're looking for quick gains.
Personally, I'm in for the long haul as the EV market is on the verge of a global explosion and it needs an awful lot of exactly what Bacanora and Ganfeng can deliver.
Thank you Barksy
Another slow start this morning
I don't suppose the chairman of Ganfeng would be being photographed in Mexico if he wasn't sure this was a done deal. Completely mystifying why the share price doesn't begin to reflect what is clearly a long-term commitment to produce what will be one of the world's most prized commodities, battery grade lithium, at huge scale, and at excellent margins, for world class clients who have already agreed to purchase the product for decade(s) into the future. They say buy on the rumour and sell on the fact. It's hard to see how this could be a more compelling "rumour" imho. time will tell I guess, but not to long to wait now.
Absolute bargain prices here
Thanks Barksy, full contingent then... Can't be long now till final finding announcement surely...
That picture posted earlier this week....it's Mark Hohnen and Martin Vidal Torres for BCN with Ganfeng BOD ....
ganfeng’s sp is beginning to rally... since their interim report out last week... https://www1.hkexnews.hk/listedco/listconews/sehk/2019/0918/ltn20190918309.pdf ...
Yes that looks like Martin Vidal Torres on the right.
That's very promising though, nearly there now!
No mention if in the delegation were members of the BCN board. Can anybody recognize any from the picture? In any case very positive news in my opinion.
In Peter Secker's most recent interview (about 4weeks ago?) I think he said the final approval was expected in the next 'couple of weeks'. End of Oct means roughly 9 weeks. As someone else has remarked previously on this bb I wish he wouldn't announce wildly optimistic timelines that get us all excited only to cause subsequent disappointment and doubt. As someone else also pointed though, PS and BCN will have no influence whatsoever over Chinese authorities to speed things up. Just gotta sit tight. At least we now know from experience that if we endure another s/p dip, such as the one we saw in August, that it will all end up ok in the long run.
Deep breath... and... relax.
yes that´s right, there is still no announcement for an earlier board meeting...
-> http://www.ganfenglithium.com/dongshihuizixun_en/typeid/3.html
BUT ... without received SAFE approval they can´t schedule a board meeting !
Nevertheless it would be nice to have an update or a statement about a delay of SAFE approval from chin. authorities ...
At risk of being shot down, from what I can see the next announced Ganfeng Board meeting seems to be on Monday 29th October (to consider Q3 results). Of course, they may have delegated matters on the BCN investment to the Executive or they could hold a meeting earlier - but from past performance Ganfeng appear to give 2 weeks' notice on announcements of Board meetings. Just saying......
Few bigger buys creeping in now,gotta be final confirmation after board meeting this week
Totally agree T-jon. Timetable is exactly as stated so no cause for alarm. Patience required for just one more week.
As you rightly point out, this whole venture looks so positive that even if Ganfeng decided to withdraw another major player would jump at the chance to get involved (Southern Copper?) and probably at more advantageous rates to current bcn holders. Zinnwald still to be priced in, price of lithium highly likely to rise as demand soars due to EV market explosion, Sonora production now looking likely to exceed initial expectations, possibly double!! It's all good. If there is one fly in the ointment then it's just the possible shortfall in funding on the bcn side once the Ganfeng deal clears the final hurdle but even on this I feel confident. There are several ways to reduce the amount required and it can be done without the need for an equity raise. One week to go as the next Ganfeng Board Meeting is most likely going to be next Friday. In the mean time enjoy the Rugby World Cup....
I agree mr c but imo this is a whopper deal for Ganfeng and if for whatever reason it fell through, knowing what we know now, others would jump straight in and snap it up probably at a better deal for BCN.
Ganfeng have a chance to buy in at 25p a share (25%) and for the other 25% possibly 50p a share as opposed to Hanwa 85p and us PIs. Of course their expertise and money would be good and they stand to make a lot of money whilst they will pay market rate for the product they will in effect be getting a 25% or even 50% discount over a 30 year mine life that’s a lot of beans as payback for their initial investment.
So in conclusion why wouldn’t they seal the deal, I am just surprised they have not snapped both BCNs arms off but maybe there is a touch of what they call inscrutability going on.
i'm not sure BCN are in a position to accelerate the internal machinations of the exchequer of the People's Republic of China. The timetable mentioned in RNSs is exactly the timetable they are following. A week or two either way is not going to make any difference to the coming rerate imho
I was a sales director before I retired and there is an old saying in sales "time kills deals" this is what makes a lot of people jittery...