Lithium stocks, like Lithium Americas (LAC) are on fire.
Helping, JP Morgan just said there are “lot of catalysts ahead to support [Lithium Americas] stock in a choppy market,” as quoted by the Dow Jones.
In addition, the firm sees a positive outcome for the company by the end of the first quarter, with regards to Thacker Pass.
At Thacker Pass, results of a Feasibility Study on the first phase of Thacker Pass (for at least 30,000-35,000 tpa of lithium carbonate) are expected soon. Engineering is underway to consider a 20,000 tpa lithium hydroxide chemical conversion plant, to provide flexibility to meet potential customer and partner needs.
Even HSBC analyst Santhosh Seshadri recently initiated coverage of LAC with a Buy rating and $36 price target. According to the analyst, as quoted by TheFly.com, LAC is “a force to reckon with” given that its projects are large enough to exceed the capacity of incumbents like Livent.
Plus, remember, countries all over the world want a greener future, and millions of emission free electric vehicles on the roads. Even major automakers are adopting EV models, replacing fleets of gas guzzling autos. But for that to happen, we need lithium.
A lot of lithium. There’s just one tiny problem. We don’t have enough supply.
Even the International Energy Agency is warning that the, “The supply of critical minerals crucial for technologies such as wind turbines and electric vehicles will have to be ramped up over the next decades if the planet’s climate targets are to be met.”
