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The Resource Angle

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Lake getting destroyed the last 2 days, managing director left and seems to have sold all his shares. Not sure what's going on within the company but it seems messy.
Yeah, it is a real head scratcher from the outside. Lake had some really good offtake agreements signed. Speculation on Hotcopper included mismanagement and false claims by Lake that the Kachi resource could be profitable via DLE, bullish speculation that there would be a takeover bid coming from one of the big offtake partners and the departed management was not on board, general discussions that it would take different leadership to move into production from development, and finally that institutional investors were requiring a more seasoned management team before they would fund expansion plans.

All that spilled ink to say I don't think we have any idea what is going on and you are right, it seems messy and not at all healthy.
 
Lake has been recovering, interestingly consistent pattern the last 5 days:

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around $1M in volume (dollars not shares). Negative Net Income for the past 5 years, no revenues whatsoever.

I am wondering if it is time to dump it. I rode it up to like $1.50 the first time then it tanked all the way back down to $0.50. I still like the stock long term but this feels like a pre-bill (EV tax credit) pump and dump.

Negative net income is expected as Lake is a pre-revenue lithium extracting company. The big dump was related to an active short-seller report claiming that Lake's direct lithium extraction (DLE) techniques would A: not work with the brine they have access too B: destroyed the ceramic beads at a quicker rate than Lake stated C: just lost the CEO who immediately sold all his shares and D: were way behind schedule getting the modular plant set up on site.

Lake responded moderately well IMHO to the report, you can read it here: https://hotcopper.com.au/threads/ann-lake-responds-to-online-report.6842278/

There are some serious unanswered questions surrounding Lake and future valuation, most importantly in my estimation are: Actual cost of production and ability to scale. This stock seems to me to be like TSLA pre-model 3 ramp. It's a binary outcome either they will have great margins which will power massive operational leverage and the stock will explode upwards OR not and the stock will languish.

I personally don't love trading this type of play because of the opportunity cost if I miss the big legs up, but YMMV.
 
Magnis Energy MNSEF finally announced beginning of battery production in NY. Up 27% at the moment.


 
I am wondering if it is time to dump it. I rode it up to like $1.50 the first time then it tanked all the way back down to $0.50. I still like the stock long term but this feels like a pre-bill (EV tax credit) pump and dump.
Of course it dropped 13% today. I guess I can't complain I took my break even profit a long time ago and all of my shares were bought at $0.25 or less.
 
Looks like we could get a free trade agreement with Taiwan, which has two lithium refining plants owned by Albemarle. Seeing as Albemarle is already a Tesla supplier, that means Tesla could source lithium from Taiwan to help its vehicles qualify for the EV tax credit.

Despite the fact that such an agreement could set off some problems with US-China relations, it would be bullish for Tesla.

I guess Tesla investors need to pay closer attention to free trade agreements from here on out.

US and Taiwan agree to start talks on a trade and investment pact
 
Lithium DLE extraction, scaling Lithium extraction.

I saw this yesterday and ventured over here to see what the smart kids thought about it. My preliminary deep dive (actually 1st couple Google results searching "direct lithium extraction") indicated that there are a lot of horses in this race. The EnergyX plan sounds good to my ears, but I am unsure how their technology and business plan differentiates them from the other DLE (Direct Lithium Extraction) startups. Looking through the corporate deck on the EnergyX website, I did notice that a member of the advisory board was Ari Emmanuel, who is buddies with Elon. Not sure if that means diddly.

EnergyX isn't publicly traded yet but the CEO said there are plans for an IPO and there will be an upcoming private funding round in 3Q according to the website. Not sure what the minimum investment is but figured I would get some opinions over here. Thanks!
 
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Bought some NOPMF Neo Performance Materials. Canadian based with N. American and world wide facilities for rare earth and related technologies:
Neo manufactures advanced industrial materials that serve as the building blocks of many modern technologies that deliver enhanced efficiency and sustainability. The Company’s products – magnetic powders and magnets, specialty chemicals, metals, and alloys – are critical to the performance of many everyday products as well as emerging technologies. Neo’s products help to deliver the technologies of tomorrow to consumers today.

Neo’s advanced industrial materials are also key to some of the world’s sought-after and environmentally friendly and sustainable technologies, such as hybrid and electric vehicles, pollution control systems, high-efficiency appliances and pumps, energy-efficient lighting, water purification, and many more.
 
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