Investing in Lithium on CNBC now.
CNBC is making its push into battery and lithium space now: story is getting out with Electric Cars ready to roll.
"Airtime: Fri. Aug. 27 2010
10 15 00 ET
CNBC Video Global X Funds recently launched three commodity stock related ETFs, with Bruno del Ama CEO Global X Funds, and CNBC's Bob Pisani."
If you would like to study more focused Lithium plays:
We have our own juniors players in this space as well.
Airtime: Wed. Aug. 25 2010
Will batteries lead the way in the energy industry? Boone Pickens thinks so. Christopher Helman, of Forbes, and Michael Lew, of Needham, share their views."
CNBC:
Frbiz Analyzes Investment Opportunities in China's Lithium Battery Material Industry
Published: Friday, 27 Aug 2010
10:00 AM ET Text Size
BEIJING, Aug 27, 2010 /PRNewswire via COMTEX/ -- Frbiz.com, one of China's leading B2B search platforms, analyzes investment opportunities in the lithium battery material industry.
Traditional non-renewable resource use in China is being restricted and energy saving techniques is being promoted across the globe. The three core technologies for new energy vehicles are motor, electric systems and battery operated systems.
Relative to lead-acid batteries, nickel cadmium battery and ni-mh secondary batteries, lithium batteries have a higher energy density with a smaller self-discharge and a longer life cycles. These advantages place the development of lithium ion batteries at the forefront of new energy vehicle development.
The lithium battery industry chain composes lithium mineral resources, lithium raw materials (including anode materials, cathode materials, the diaphragm, and battery electrolyte) and battery manufacturing and encapsulation parts. One of the anode materials accounts for a disproportionately large part of lithium battery cost - almost 30-40%. From the technical content analysis, diaphragm and electrolyte require the highest technological expertise.
From the current lithium battery industry's gross margin analysis, diaphragm and lithium hexafluorophosphate electrolyte materials have a gross margin of 70%, electrolyte has a gross margin around 40%, and anode materials and cathode materials have a gross margin of 20%.
At present, China's domestic automobile lithium battery design process is improving and the industry chain is also gradually realizing greater profits.
With the support of national policy, there will be greater investment in the lithium battery industry."
We couldn't agree more. In point of fact, and as evidence of these developments, is the recent acquisition of Salares Lithium by Talison Lithium of Australia, the largest supplier of Lithium into the Chinese Market and the largest producer of lithium currently in the world. (Mostly Spodemen as SQM of Chile and Portugal is the largest supplier of lithium from Brines)
ReplyDeleteToday, I am reading the details of the arrangement between Salares and Talison. Talison is essentially swallowing §alares (for its massive brine properties in Chile) so that Talison can expand from Spodemen into the production of lithium from Brine.
In the mean time, Talison is ramping up its production from its Greenbushes lithium plants in Australia (by as much as 100%) as more and more Chinese companies come knocking on the door for this material.
Your investors should also be aware that Talison has over 300 worldwide customers in a dozen countries, 25 years of production under its belt and it is going public on the TSX in September (mark the 17th on your calendar)
This merger was announced shortly after we made Salares our conviction stock pick and those of you who followed (and bought §alares shares) will profit approx 98.2% as the new Talison goes public.
Talison will be a hot commodity stock when it finally goes public, as the largest, pure lithium producer in the world is picked up by ETFs in the space, and savvy investors looking to profit from this second leg of the lithium boom.
We will not be selling our Talison shares any time soon. Look for it to double, then double again.
Retirefund,
ReplyDeleteThank you, we agree that your call with Salares Lithium was a spectacular one!
We are looking for opportunities to position ourselves early in other Lithium plays which could be on M&A radar screens now.
We like TNR Gold with International Lithium and Rodinia Lithium in this space.
In general, we think, that lithium bull will be on the run again sooner rather than later.
http://sufiy.blogspot.com/2010/08/lithium-bull-rest-before-charge-tnrv.html