LITHIUM Stocks fertile ground

[Scrunch]

Ok, so we sold a rental and have change left over...
what lithium stocks should I buy?
thinking of $10k x 10 in big cap producers and $10k in x5 mid cap.
i have read back quit a bit of the thread, but i am not a miner .
just interested in your views as experienced people, such great knowledge and any advice welcome .
so far have Black rock and Syrah, but only recently, so small profits so far.
also EQE but they are not lithium / nickel.

Well BKT is a graphite miner in Tanzania while Syrah has a huge graphite resource but is struggling to mine it profitably. Neither are lithium stocks.

Big producers lithium:
You can't get to 10 hard-rock Spod miners listed on the ASX because there aren't enough different companies. There's PLS, AKE & IGO that are in production. MIN is in production but you also get a lot of Iron ore exposure. WES is in production but with a heap of other exposures including retail (Bunnings).

Advanced development:
This set includes CXO (Oz), LTR (Oz), AVZ (Africa), FFX (Mali), LKE (South America - Brine), PLL (USA, Canada, Africa) and SYA (Canada). Within this set some are under construction, while others are still looking to finalise something before construction starts. Having invested in BKT/SYR you would appear to be comfortable with mining outside tier 1 locations.

Progressed to JORC compliant resource:
ESS put out an investor update that listed the 12 JORC compliant resources in Australia. This includes those listed above, Bald Hill (still in the hands of liquidators), ESS and GL1. GT1 has a small JORC resource that will be upgraded this quarter. RDT has noted an intention to announce a JORC resource later this year.

Then there's dozen's and dozens of mid-size and smaller explorers at various stages, and the Brine operators. One of JBmurc's smaller pick's is LRS (Brazil pre JORC with some good drill results).

[JBmurc]

Yes LRS very early stages with its Brazilian Lithium Discovery ... just how big is it ? will trade again today after a HUGE capital raise of some $30mill .....Canadian fund manager Waratah Capital Advisors would take up $15 million of the placement..

Thats some serious investment one would only come about if LRS mgmt. have proved to Waratah its going be a large Lithium Project... they are in @ 16c ... end of last month LRS was sub 10c !! start of March 4c !!

[nztx]

An interesting development with ASX: JRL during the week moving to become solely Lithium focused
with it's huge US McDermitt Lithium deposit - with Jinderlee's other Aussie interests being floated into
a NewCo.

(LAC's Thacker Pass deposit is on the other end of the same Caldera from McDermitt)

Both are just down the round from TSLA's Gigafactory

With a small issued Capital (roughly 60m shares) and such a large potential
deposit, it may be that the SP could rocket like the lid coming off a pressure
cooker, as McDermitt really gets cracking

JRL has risen from low $2's up to high $4's in recent months

LAC & other Listed US Lithium players are mostly circa US $30+ a shot

[SBQ]

An interesting development with ASX: JRL during the week moving to become solely Lithium focused
with it's huge US McDermitt Lithium deposit - with Jinderlee's other Aussie interests being floated into
a NewCo.

(LAC's Thacker Pass deposit is on the other end of the same Caldera from McDermitt)

Both are just down the round from TSLA's Gigafactory

With a small issued Capital (roughly 60m shares) and such a large potential
deposit, it may be that the SP could rocket like the lid coming off a pressure
cooker, as McDermitt really gets cracking

JRL has risen from low $2's up to high $4's in recent months

LAC & other Listed US Lithium players are mostly circa US $30+ a shot

US lithium production is pretty much non-existent and despite Joe Biden's "Defence Production Act" to put America back on producing lithium, such projects would take several years to develop.

https://mining.com/wp-content/upload...volkswagen.jpg

However if you're really talking large caps stock, look none other than in the US equity listings. Price per share, ALB is around $210, SQM $82, & FMC $136, having market caps of $25B, $23B, $17B, respectively. There are other smaller players in the US lithium like PLL, LAC, & LTHM but they're under $5B. The problem with these smaller players is they talk big, but are nothing but a money pit for soaking money in development stage. Investors need to understand that to get lithium, mining operations normally take 4 - 7 years before any lithium is delivered to market. So why are so many of these big lithium players list on the US NYSE/Nasdaq but have very little operations in the US? Well for the well established ones like ALB, they prefer to extract lithium abroad (Chile, Australia, with conversion plants in China). Environmental issues are too much of an issue in western nations like the US (with NIMBY) that nothing gets done.

As for the junior lithium stocks - I would RUN!!! because when you have a market that demands lithium (or any other rare mineral) in such high need, the winners will be those that "already have shovels in the ground". Take the lithium in Argentina's Triangle flats, the evaporation of brine takes over a year before lithium is harvested. Take the mining operations in Australia from spodumene hard rock - from planning to passing environmental, to digging deep enough to get the hard rock can take 4 years to reach viable lithium concentrates.

There's been talk of extracting lithium from brine that is pumped out of the ground in geo-thermal operations. To my mind the Salton Sea in California which is touted to being able to meet 40% of the world supply of lithium (again, silly scientists making bold claims). Tesla back in 2015 made a bold offer to buy out Simbol Materials for lithium extraction via geo-thermal... only to go bankrupt in the following year. In fact, this method of lithium extraction is unproven in a large commercial scale - despite what the scientists say.

[Charlie]

Well BKT is a graphite miner in Tanzania while Syrah has a huge graphite resource but is struggling to mine it profitably. Neither are lithium stocks.

Big producers lithium:
You can't get to 10 hard-rock Spod miners listed on the ASX because there aren't enough different companies. There's PLS, AKE & IGO that are in production. MIN is in production but you also get a lot of Iron ore exposure. WES is in production but with a heap of other exposures including retail (Bunnings).

Advanced development:
This set includes CXO (Oz), LTR (Oz), AVZ (Africa), FFX (Mali), LKE (South America - Brine), PLL (USA, Canada, Africa) and SYA (Canada). Within this set some are under construction, while others are still looking to finalise something before construction starts. Having invested in BKT/SYR you would appear to be comfortable with mining outside tier 1 locations.

Progressed to JORC compliant resource:
ESS put out an investor update that listed the 12 JORC compliant resources in Australia. This includes those listed above, Bald Hill (still in the hands of liquidators), ESS and GL1. GT1 has a small JORC resource that will be upgraded this quarter. RDT has noted an intention to announce a JORC resource later this year.

Then there's dozen's and dozens of mid-size and smaller explorers at various stages, and the Brine operators. One of JBmurc's smaller pick's is LRS (Brazil pre JORC with some good drill results).

Thanks for your great posts.
great insights and I hope you all do well.
you stand a much better chance than me ;-)
I will study up before investing . There seems to be some gains to be made in the right ones , and will need to understand the market a bit more.
Have a great Easter W/E

[Scrunch]

An interesting update today for ESS. They are in a trading halt following the "receipt of a non-binding indicative offer in relation to a potential control transaction."

No further details yet. This could be the start of takeover games.

[GOAT]

Yes MQR a company I briefly looked into and liked what i seen .. but just never followed it up .. I try to keep my portfolio to 10 or less holding purely as the time I like to keep up to date on each at times daily soaks up so much time..... I always seem to have 2-3 companies I really like the look of but think I could enter cheaper etc... then forget about them and add another etc

See what WCN comes up with in the near term could be about to be kicked to the kerb ... MQR might fit the bill ..

MQR is starting to pick up pace.. up 20% in 5 days.

Hopefully some positive announcements soon.

[clearasmud]

Alchemy Resources (ALY) is the latest lithium hopeful, up 46% today to $25mln market cap.
Interesting.
Proactive interview on YouTube today.
https://www.youtube.com/watch?v=0BDwc9pQY-0
Announcement:
https://www.directbroking.co.nz/DirectTrade/dynamic/announcement.aspx?id=6002977

[nztx]

Alchemy Resources (ALY) is the latest lithium hopeful, up 46% today to $25mln market cap.
Interesting.
Proactive interview on YouTube today.
https://www.youtube.com/watch?v=0BDwc9pQY-0
Announcement:
https://www.directbroking.co.nz/Dire...spx?id=6002977

Yes interesting indeed

Looking further at the ALY Board - I see a very experienced Geologist as Chair who is
also on the Jinderlee Board (JRL) - Lindsay Dudfield

An interesting past SP history with ALY if you look back to 2011-13

[nztx]

ALY is now in a trading pause .. something coming up by looks .. maybe another upgrade on the back
of the recent on the Koronie Lithium anomalies ?