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Your intentions are too transparent. Can you try a little harder?
risktaker ( Date: 24-Jan-2018 13:55) Posted:
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Carlos Ghosen, Chairman & CEO of Renault - Nissan speaks at Davos about the car revolution: Source Bloomberg.
To paraphrase, Carlos suggests that the speed of change with regard to EVs and autonomous EV cars will happen way faster than most expect. He's talking a mere 6 years for a major car revolution driven by the necessity to reduce emissions. And every car manufacturer is gearing up for the change NOW. Including his (Renault- Nissan).
From my humble point of view EVs are fairly simple technology compared to smart phones and computers. So the EV/battery revolution will sweep the world in the relative blink of an eye. The demand for lithium, I suggest, will be far, far greater than anyone expects.
To paraphrase, Carlos suggests that the speed of change with regard to EVs and autonomous EV cars will happen way faster than most expect. He's talking a mere 6 years for a major car revolution driven by the necessity to reduce emissions. And every car manufacturer is gearing up for the change NOW. Including his (Renault- Nissan).
From my humble point of view EVs are fairly simple technology compared to smart phones and computers. So the EV/battery revolution will sweep the world in the relative blink of an eye. The demand for lithium, I suggest, will be far, far greater than anyone expects.
I believe this applies more towards junior explorer. There is first mover advantage for those that started production.
Investors should take care when investing in ASX-listed lithium stocks as supply catches up with demand, says resources expert Robert Swarbrick.
Lithium&rsquo s popularity has spiked on expected demand for electric car batteries. Do you see demand remaining high?
We&rsquo re seeing supply ramp up as more and more companies try and cash in on the electric vehicle hype but with so many in the market, at the end of the day there is going to be more supply than demand and the price will fall.
Projections of global lithium supply predict we will have more supply than demand by 2018 to 2020 and that will drive the price down.
Lithium companies are booming with deposits in the Congo, Australia and South America and there has been a real scramble to ramp up production. There is no rationale on a defined resource or cost of production &mdash just that the share price is going up and in the eyes of the company that just means they can sell their stock at higher levels.
There are a lot of juniors exploring for lithium, do you think there is still room for new discoveries?
What we&rsquo re seeing at the moment is mines moving from exploration to production and as each comes online, the estimated demand for the product fills up. It will drive down the price and become too expensive to mine.
Production capacity will exceed demand and it has largely been driven by speculation and over-excitement. People have seen this as the next big thing but there is a distinct difference between finding a deposit and getting the deposit into product.
On the speculative end, people are pouring money into lithium projects to try and make a buck but they can often be projects without full backing or mining finance. These are the ones that will be the first to go as soon as the price declines &mdash those that have higher costs of production won&rsquo t be feasible if the lithium price drops below a certain level.
What stocks are well poised to make the most of the lithium boom?
We have seen larger outfits like Pilbara Minerals (ASX:PLS) exceed of late and they have really got the timing right. They are more advanced, have done the feasibility studies and are almost financed with clear paths to production.
When you stack them up against international projects such as AVZ Minerals (ASX:AVZ) or Taruga Gold (ASX: TAR) in the Congo, it&rsquo s easy to see why they are doing so well. When you start looking abroad it is harder to get mining finance, to prove your resource and there isn&rsquo t always a clear path to sales &ndash sovereign risk is a big player.
A lot of the time it is just speculation, it is amazing that the valuations can be so overstretched.
At the end of the day you can promote your company to all ends but until you prove you can get it out of the ground the stock isn&rsquo t worth anything.
How much further will lithium run? What can we learn from the cycles of other resources?
I think there is still further for the market to run on speculation, but when you look at the fundamentals it&rsquo s had its day.
There are so many lithium producers that there is becoming a clear oversupply. It is similar to what we saw in the iron/ore boom of 2003 to 2005. Everyone said iron-ore would last forever and ever but all that did was end up in an oversupply. Large amounts of money went into countries such as Africa&rsquo s Congo, Mongolia and Indonesia during the coal boom but most investors ended up losing all of their capital.
Everyone loves to dream about the future and gets excited at the prospect of lithium but when you put it up against solid revenue streams of traditional resources like gold or coal you see just how risky they can be.
There are predictions that we will have an oversupply as early as 2019 &ndash with mines coming online but a lag in the mega-factories that build the batteries. Alliance Bernstein analyst Paul Gait said late last year in a report called &ldquo Lithium: the Big Short&rdquo that, though demand for lithium could double, &ldquo the lithium frenzy should all end in tears&rdquo .
What are your tips for retail investors looking to invest in lithium?
Don&rsquo t get caught up in the bubble and make sure you know what you are investing in. The biggest thing to do is to de-risk &ndash look at how the companies are financed and how easy the resource is to turn it into a product.
At the speculative end, take the profits while you have them. If you are willing to make a 100 per cent profit and sell two days later, then it has a justifiable risk. Remember should the price start to drop, sell quickly, but if you want to hold long term you have to look at the fundamentals.
Robert Swarbrick has 15 years experience in capital and commodity markets in Australia and South East Asia. He has been involved in stockbroking and corporate advisory in Australia and previously was Managing Director of a resource-based ASX listed company with operations in South East Asia.
Tawana - I think just someone wanted to buy 200k+ of shares.... not really a sign of bullish.... seems like 50c have become a resistance level..
cichlidnuts ( Date: 24-Jan-2018 13:36) Posted:
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Tawana closed 50 cents. Looks good.
Becareful...pump and dump happening @ tawana... buy on weakness... Feb is here for those hoping for big resource update... now Tawana 49 - 49.5 ... highest @ 51.5 drop 2c from peak... doesnt loook good..
high of 0.51 for tawana this morning... lets go.
kerier ( Date: 22-Jan-2018 08:28) Posted:
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510 at taw now. I would expect the gap between the two to be around 50 as Amal?s saga has ended
Bullish hammer yesterday with high volume
Starting alr
think2profit ( Date: 23-Jan-2018 13:58) Posted:
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buy in dip for strong rally ahead
Naaa..tawana 49 cut still 45 today.. lol...
Alvin2042 ( Date: 22-Jan-2018 14:59) Posted:
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This is not your year. Likely u cut will go up.
risktaker ( Date: 22-Jan-2018 12:49) Posted:
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Fool... SYA drop so much.... no support? Tmr drop think must cut liao
weak opening for tawana this morning, time to collect more?
Tawana continue dropping 
I would say this covers everything we were saying in the past. It is comprehensive and detailed. Good job for sharing this beautiful article. Much appreciated. Those who are worrying oversupplied issues should really take a look at this article, the lithium story is just starting. Capitalists like us will have only one thing to do, gobble the fat profits. Many thanks again!!!!
Foo2019 ( Date: 21-Jan-2018 08:17) Posted:
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January 18, 2018, 11:11 PM GMT+8
Ex-CQS manager runs $250 million Westbeck Electric Metals Fund
London fund targets 200 companies, hires former lithium CEO
Will Smith, a former partner at Michael Hintze?s investment firm CQS U.K., is starting a hedge fund that will bet on companies whose products and services will benefit from a boom in electric cars.
The Westbeck Electric Metals Fund is expected to begin trading next month and aims to raise a maximum of $250 million, according to a document seen by Bloomberg News. Smith, who was the head of natural resources at CQS before starting London-based Westbeck Capital Management in 2016, declined to comment.
Companies like Toyota Group?s trading arm are scrambling to secure supplies of resources for electric car batteries, making miners of commodities such as copper, nickel, lithium and cobalt a fertile hunting ground for hedge funds. The end users are companies like Elon Musk?s Tesla Inc., which is jointly developing the world?s biggest lithium-ion battery project.
Westbeck?s fund will target opportunities among more than 200 companies with a combined market capitalization of about $650 billion. The firm has also tapped a former chief executive of a lithium company as an adviser for the fund, according to the document, which did not name the person
"Fund setup to invest in lithium... hopefully...they will see alliance as a candidate"
https://www.angelnexus.com/o/web/148495
botakzaiisme ( Date: 21-Jan-2018 01:04) Posted:
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