The latest Investing Matters Podcast episode featuring Jeremy Skillington, CEO of Poolbeg Pharma has just been released. Listen here.
Liontown now
https://www.afr.com/companies/mining/liontown-loan-yanked-amid-lithium-price-slump-20240122-p5ez33
ASX lithium copping it. The 'cure' progresses :-/
Talk of it but the market appears indifferent. SP same, vol same.
Perhaps they guess Assore won't move until Piedmont has done all the heavy lifting. At SC 1000 all players will be thinking very carefully about spending money. However Piedmont will have little value if they don't proceed with Ewoyaa/Tennessee, they can borrow easily today for that but if they don't get things moving they will wither unless SC goes pretty high again.
Later in this build Atlantic will have to be finding cash. If they struggle Assore's moment?
My pref: ALL remains independent.
We'll see.
Https://www.modernghana.com/news/1286298/ratification-of-the-ewoyaa-lithium-deal-by-hon.html
Quoting KP from the Q3
"Virtually all of our offtake tonnage will eventually be sold under long-term contracts announced earlier this year, but initial shipments are being made on the spot market."
Also I would expect they will want certainty (partner deal?) with Tennessee before or at least in conjunction with their FID with Ewoyaa. Tennessee 7 to 10x more money.
Https://www.ft.com/content/3c55d69b-6932-4255-ad79-daeced372129
A China take out of this large spod supplier will leave the West hunting. Little new supply will come on over the near term as only a few will get finance.
Calculate the ratio: unsecured capex to production volume. Non better than Atlantic.
Surely for any such to have an impact on this there would have to be sustained increased volume. I see none.
Though political risk is always present with Africa projects the moribund performance of Atlantic has to be mainly driven by the decimated concentrate price. But 'moribund' looks pretty good when compared to say PREM's 80% collapse over the last 9 months . Tied to China, based in Zimbabwe.... now THAT is political risk..... and aren't holders paying.
GL.
With the vote on this ratification there would have to be significant rebellion from the ruling side's mps for a vote to be lost. Presently comment on the deal is all about that Ghanaian mining needs to be nationalised. Opposition politicians are latching on to this trope, but I can't see governing ones doing so.
With BoD buying and building up the workforce I have trust they have a far better feel on how this is going.
And also looks as tho other projects in Aus might get delayed/shelved if this opinion pans out
https://www.japantimes.co.jp/commentary/2024/01/09/world/lithium/
The issue is being framed as being pure politics now it appears. But now domestically reporting looks to be quietening
https://morningstaronline.co.uk/article/ghanas-mineral-wealth-blessing-or-curse
Positive from those in power
https://african.business/2024/01/technology-information/preparing-ghana-for-the-fourth-industrial-revolution
Negative from those seeking it
https://www.myjoyonline.com/voting-for-mahama-on-dec-7-will-redeem-ghana-omane-boamah/
Business not put off going the established way by all the noise
https://bnnbreaking.com/world/ghana/caa-mining-to-list-on-londons-junior-aim-market-amid-2023-listing-drought/
They say the cure for low prices is.... low prices.
Core suspend mining at Finnis. Will more follow?
https://www.spglobal.com/commodityinsights/en/market-insights/latest-news/metals/010524-australias-core-lithium-suspends-mining-operations-at-grants-open-pit
https://www.abc.net.au/news/2024-01-05/core-lithium-mine-darwin-nt-operations-suspended-job-cuts/103287454
All in costs are around 900/t of concentrate.
Perish the thought that any insider would have any knowledge of when that vote would be happening. No. Just a bit of savy buying on the dips. Who wouldn't? ;-)
The intense public lobbying from a few 'representatives of civil society ' that has appeared over the last two weeks suggested the vote, though not stated by guv as to when, was imminent.
This one just yesterday looks to make that perhaps more urgent for them. Vote soon then?
https://gna.org.gh/2023/12/parliament-must-slow-down-on-lithium-deal-ratification-former-chief-justice/
Https://www.adomonline.com/sefa-kayi-confronts-miracles-aboagye-over-lithium-deal/
Now if there were significant numbers of parliamentarians, in particular any from the ruling lot voicing anything on the deal......... but (unlike any typical day in UK politics) afaict silence.
All getting a bit toy and pram.
Eq 3.6m quid @ 23 1/2p.
Seems obs now that some knew!
Https://www.marketindex.com.au/news/lithium-price-stages-massive-reversal-on-cop28-chart-suggests-low-may-be-in
CoP was net positive for lithium.
More like it Mike.
A 1mt/y market is definitely worth pursuing.
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All non producing lithium is getting splattered of late. Spod price panning by half a month. Stockhead scrabbling for reasons to be cheerful
https://stockhead.com.au/resources/high-voltage-reasons-to-stay-plugged-into-lithium-and-other-battery-metals-in-2024/
Though Ewoyaa will be able to throw off some 2mt/y of feldspar the domestic demand looks to be circa 50-100kt judging by the import value
https://oec.world/en/profile/bilateral-product/feldspar/reporter/gha
Creat an export market? No quick cash.
There is a large price range but for Ewoyaa's material 80/t looks probable. If say 2mt/y gets sold at the mine gate and then with concentrate at 1500 this would add some 30% to revenue.
Also fmu feldspar would have the general mineral royalty of 5%.
Pretty significant...... and nice tableware. Tea party......?