Welcome back to a brand new video everyone, a recent Goldman report sent shockwaves through
the battery metals markets, which created lots of deep red and buying opportunities.
They said, lithium price is predicted to lose more than half its value
as the analysts expect current lithium prices of just under US$54,000/t plunging to US$16,000/t in
2023, massive drop here. And as far as cobalt is concerned, the price will go
down from around US$78,500/t now to an average US$59,500/t next year. What a bearish outlook.
And on the back of this report, there hasn’t been a shortage of analyst coming out to say
Goldman got it so wrong. I personally think they got it wrong but what do you think?.
And I say so various reasons having done lots of research covering many lithium plays,
as when you see the outlook of the number gigafactories planned in North America,
the regulatory changes coming through and ability to sustainably deliver over 1200GWh of Lithium ion
battery demand as early as 2025, it is hard not to see why there would be a gap. And this is because,
a majority of lithium producers may not have a commercial product until 2026.
So for me, it goes back the basic principles of supply and demand but please let me know in the
comments section below as I want hear from as many of you as possible on this Goldman report.
So if you are bullish about the lithium sector, then you want to make sure you
watch right through to the end as I have a new gem which we have never covered on the channel
which is giving us plenty of deep value. We have covered Lake Resources, Sayona Mining,
Core Lithium, Sigma and lots more top gems but there just isn’t any shortage of these gems,
as this new one has secured offtake agreements making up over 60% of their capacity
and they eying an uplisting on the Nasdaq in the second half of this year.
I’ve also now stepped up my stock picks for the channel to identify top stocks like this one,
using some of the best insights from Seeking Alpha and Simply Wall Street. And so if you
want to improve your stock selection, to ensure you’re onto the winners and high quality gems, you
want to check out Simply Wall Street or Seeking Alpha who are offering some great deals right now.
I mean, a 30% discount with a 14days extended free trial from Simply Wall Street and $40 off Seeking
Alpha premium plan, for a very limited time period only, so clearly some decent cashbacks
opportunities right there for you, so we all win together in these tough times.. So
if you really want to bank some the best buy the dip opportunities out there right now,
then you want to make sure you grab your limited time discounts from the links below.
And as I always aim to add value for my viewers outside my videos, I’ve partnered
with the Wealth Research Group to bring you some of the best insights through this FREE newsletter.
I have deep respect for their reports, as I get some of my best insights from there
and I trust and value the level of deep research that goes into their work,
as I go there to get unbiased perspectives on hypergrowth stocks,
the future of electric vehicles and lots more which we cover on the channel. So please check
out this FREE exclusive report, which you can download from the link in the top pinned comment.
That said please drop a quick like on the video and hit the bell,
so we can get on with it with our first stop, which is Ioneer Ltd (OTC: GSCCF, ASX:
INR) which is currently sitting at 35cents per share with a market cap of $731mn. Ioneer is the
amongst the next cycle of lithium producers which haven’t faired too well in the markets lately
and the Goldman report has made things worse for this play putting it in deep value territory.
You may even be wondering if this play has hope or if you would be trying to catch a falling knife
here as it is down 27% on the months and 25% over 6m and basically sitting close to 6m lows here..
So mostly in red territory but with plenty of deals and catalysts in the tank which for me makes
this play certainly one to have on your watchlist. Ioneer is dual listed on the OTC and the ASX,
so one of those stocks which you wouldn’t be able to get from Robinhood or Webull
and so if you like their story and need a decent platform where you can trade them,
you want to check out Interactive Brokers, which is a low cost & award winning platform which
allows you to trade over 135 markets. And what I REALLY like about the IBKR platform, which you can
see here from my portfolio is that, you can access some of the top lithium plays bought directly from
the Australian or Canadian markets with limit orders. So if you need a platform with low fees,
enabling you to trade globally in challenging times like this, then you certainly want to
check them out from my link below. Thank you and here’s what’s new with Ioneer.
ioneer Ltd is the 100% owner of the Rhyolite Ridge Lithium-Boron Project
located in Nevada, USA, the only known lithium-boron deposit in North America
and one of only two known such deposits in the world. Their Definitive Feasibility
Study (DFS) 1 completed in 2020 confirmed Rhyolite Ridge as a world-class lithium and boron project
that is expected to become a globally significant, long-life, low-cost source of lithium and boron,
vital to a sustainable future, and is expected to come onstream in 2024. And this is what I
feel gives them an edge, where they are a producer of boron which we can see major
oems like Ford and Volvo are increasingly using Boron for their security and safety features.
Ioneer recently announced the completion of a Memorandum of Understanding (MOU)
with NexTech Batteries (NexTech), the global leader in proprietary lithium-sulphur battery
technology based in Nevada. Under the terms of the MOU, the two companies expressed
mutual interest in the acquisition of lithium carbonate and/or lithium hydroxide supply
from ioneer’s Rhyolite Ridge Lithium-Boron Project for NexTech’s
production facility. This will be used to manufacture next generation solid-state batteries
for the automotive industry, renewable energy, portable electronics, drones/eVTOL aircraft and
more. ioneer aims to produce upwards of 22,000 tonnes of lithium materials per year and they
intend to discuss the potential for long-term supply to NexTech once production has commenced.
ioneer Managing Director, Bernard Rowe, said: ”The US and Nevada have prioritized
the need for a domestic battery supply chain, and with little current supply,
development of Rhyolite Ridge will be crucial to meeting this important goal. So as ioneer focuses
on producing the materials needed for sustainable and clean technologies, it’s important for
companies like NexTech to develop and produce those technologies domestically, and sustainably.
EcoPro Group, a major cathode supplier for global battery manufacturers,
has agreed to increase its offtake volume with ioneer to 7,000 tpa, the maximum amount under the
June 2021 binding agreement. The increase is in response to EcoPro Group’s plans to significantly
increase cathode material production. And the total contracted volume represents 34%
of ioneer’s annual lithium carbonate output for the first three years of production.
And to sum things up for Ioneer, they have one of the Most Advanced Lithium Project in the US,
they are on track to be construction ready by Q4,2022,
they have binding offtake agreements for boron production and lithium carbonate
with more expected in the coming months and it gets even better here where
they are planning a Nasdaq uplisting in the coming months. So assuming no reverse stock split,
we can expect some decent value creation opportunities here. So clearly one to watch.
And onto our next stop, which is Livent Corp (NYSE: LTHM) which we first called at $16
per share and it has been responding well to the market lithium pricing changes
and recently reached all time highs of over $34 per share before giving up some of those gains on
the back of the Goldman report. It is now sitting at over $28 per share with a market cap of $4.7bn
and sitting flat on the month. We can see it trending downwards in after market trading
but despite the market rout and volatility, Livent has been busy securing partnerships.
So here’s what’s new with Livent.
Lilium and Livent Announced a Collaboration to Advance Research and Development for
High-Performance Lithium Batteries. Lilium N.V. (NASDAQ: LILM) (“Lilium”), which is a developer
of the first all-electric vertical take-off and landing (“eVTOL”) jet,
and Livent Corporation, announced a research and development collaboration agreement. They agreed
to collaborate on the advancement of lithium metal technology for use in high-performance
battery cells. Collaborating with Livent, is an important step towards securing Lilium’s
future access to the high-performance battery cell technology that will power Lilium’s jets.
Yves Yemsi, Chief Operating Officer at Lilium said, “This collaboration is a milestone in
Lilium’s commitment to revolutionize regional air travel. Innovation is at the heart of their
mission, and to keep innovating they need to collaborate with the best in the industry
and Livent’s unique expertise in lithium production, as well as
their commitment to sustainably responsible practices, makes them an ideal partner.”
So some very very interesting and mindblowing prospects ahead for these lithium stocks
but only consider getting in if the price is right for you and if you fully understand the risks.
This video is not financial advice, a buy or a sell recommendation, but is meant to bring some
new and exciting penny stocks to your attention for you to do your own research.. As always
I would love to hear from you, so please let me know your thoughts on these top penny stocks in
the comments section below and what other penny stocks are catching your eyes lately.
And If you are new to my channel, please ensure to subscribe and hit the bell so you are notified
when I upload new videos. If you would like to see more videos like this, please check out this
video right here or this playlist right here to watch equally insightful content from the channel.
Thank you so much for being here and I look forward to have you in my next video. Thank you