Lithium stocks that will make it?

Originally posted by Kevyx ↑

My view is Tawana Resources have timed their entry into the Lithium market very advantageously; at a time when shortages have pushed the prices up to record highs. This shows with the off take signed with Burwill for US$880/t for 6% product with a large prepayment. This is impressive given Tawana is a relatively small company with low credibility relative to the bigger capped companies and hence have less bargaining power. Management has also worked quickly to move the company into production at Bald Hill and I expect to see some upward SP movements once closer to commissioning and shipping. These are definitely big positives in terms of generating shareholder value in the short term.

However, the Maiden Resource released today, in my opinion is fairly average in terms of both grade and resource. I would like to see more drilling results soon if they can expand their resource to cover adjacent tenements and establish a resource more in line with the 30mt exploration target while maintaining current Li20 percentages.

I would also like to see management provide a plan to reduce the production costs from high A$400s to low A$400 in the future (based on estimates in the Canaccord research report). I see this as important since the contract with Burwill extends till 2022/23 so reducing costs can protect profit from any future downturns in the lithium market. I see this as important as it is often easy to overlook future risks when things are going well in the present.

A minor thing to keep an eye out on is the financial health of Burwill. I understand it does not have the strongest balance sheet according to it's financial disclosures to the HKSE and the prepayment to TAW was almost fully funded with an issue of 7% debt. Nothing serious at this stage but the financial credibility of many Asian off take parties was an issue discussed at the recent Lithium conference so I'd thought i'd bring that up.

I'm sure there are many more positives/negatives I have not covered here but these are just a few I've pulled off the top of my head.

Expand

Tawana is well ahead of Estrella but not too far away for "nearology".
Nothing is likely to happen with ESR until after the 30th June sell off.
I think there is a lot of life in ESR for those who wish to get in on the ground level.
They partly destroyed their credibility early on, but I have faith that they will pull a few rabbits out of the hat so to speak in the new fin. yr all to do with battery technology and some impressive Corporate deals they have been alluding to.
Keep an eye on this for a cheap entry into a potential multi bagger.

Dale Gillham's weekly wrap: Bold moves in NZ, caution in Australia

History-making uranium sample grades and an imminent drill run. Infini Resources is poised to transform in 2025

ADD

Parkes Au-Cu project to 'transform' Adavale Resources with key targets

WC8

Pan Asia rebranding to 'clear confusion' after bagging $35M for Chile projects

HotCopper Highlights: Your most watched stocks for Week 48, 2024

Ice-cold winner: Cryopreserver Vitrafy escapes November's IPO struggles to end debut week higher

ACW

This biotech stock raised $11M in a risk-off environment. Its Alzheimer's drug could change the game

Week 48 Wrap: ASX flirts with 8,500pts; APRA declines mortgage loan easing; Trump's Bessent tied to Dem donor

MIN

MinRes's Ellison knows he screwed up – for that reason, hunt for new Chair to be sped up

RSG

Tawana is well ahead of Estrella but not too far away for...

Dale Gillham's weekly wrap: Bold moves in NZ, caution in Australia

History-making uranium sample grades and an imminent drill run. Infini Resources is poised to transform in 2025

Parkes Au-Cu project to 'transform' Adavale Resources with key targets

Pan Asia rebranding to 'clear confusion' after bagging $35M for Chile projects

HotCopper Highlights: Your most watched stocks for Week 48, 2024

Ice-cold winner: Cryopreserver Vitrafy escapes November's IPO struggles to end debut week higher

This biotech stock raised $11M in a risk-off environment. Its Alzheimer's drug could change the game

Week 48 Wrap: ASX flirts with 8,500pts; APRA declines mortgage loan easing; Trump's Bessent tied to Dem donor

MinRes's Ellison knows he screwed up – for that reason, hunt for new Chair to be sped up

Resolute shares bounce back as second payment made to Mali government to secure workers' release

Tawana is well ahead of Estrella but not too far away for...

Top Stories

Dale Gillham's weekly wrap: Bold moves in NZ, caution in Australia

History-making uranium sample grades and an imminent drill run. Infini Resources is poised to transform in 2025

Parkes Au-Cu project to 'transform' Adavale Resources with key targets

Pan Asia rebranding to 'clear confusion' after bagging $35M for Chile projects

HotCopper Highlights: Your most watched stocks for Week 48, 2024

Ice-cold winner: Cryopreserver Vitrafy escapes November's IPO struggles to end debut week higher

This biotech stock raised $11M in a risk-off environment. Its Alzheimer's drug could change the game

Week 48 Wrap: ASX flirts with 8,500pts; APRA declines mortgage loan easing; Trump's Bessent tied to Dem donor

MinRes's Ellison knows he screwed up – for that reason, hunt for new Chair to be sped up

Resolute shares bounce back as second payment made to Mali government to secure workers' release