SP1 Nov 2019 08:37
Aside from the blatant manipulation, one of the problems we face is transitioning from the security of the traditional V market predominantly in steel to newer potentially much larger, but as yet unreliable and unsecured, uses in VRFBs. This is a big part, in my opinion, of why the SP languishes. The market can clearly understand loss of revenues from reduced V prices in sales for steel but has no way of seeing the upside and opportunity of new markets.
Unfortunately, the increase in production in an analysis of traditional markets could even be seen as negative as it has the potential to further depress V prices short term as a consequence of increased supply.
For me, this goes some way to explaining the slow response in SP to all the excellent news of late. We will make more product, but the margins might be tighter still. The thing that will change this (and which is now urgently needed) is concrete news on the BE side of activities translating into revenue. Firm evidence of turning the concept into reality. It's a matter of time I believe. JMO.