Sunday, November 27, 2016

Galaxy Resources presentation at Swiss Mining Institute Conference

Galaxy Resources:

Pretty interesting presentation. What especially got my interest was the slides about Chinese demand and how the Chinese are electrifying their transportation system.

China driving lithium demand

There is not a shortage of lithium reserves. However their is a shortage of producing properties. If the price stays high sufficient capital will come into the market and we will see supply catch up to demand. However that is not going to happen overnight and I expect it will take a few years to get new projects permitted, financed, built, and commissioned. That is the opportunity with Galaxy as the company is just now bringing a mine into production when prices are high and supply is constrained.

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