i was also reminded that Ore is not alone when i read this article about tesla’s production struggles in the Times (uk paper) today.
https://www.thetimes.co.uk/article/car-biz-is-hell-for-tesla-boss-elon-musk-7qzx5t922
basically they announced a 20% downgrade in q1 production volumes 2,000 vs forecast of 2,500/wk this week and they are way short of the 5,000/wk they meed to be profitable.
despite this, shares rallied over 20% this week because musk said they wiuld need to raise equity / capital this year. he has said this before and then raised capital soon after.
my point is that:
1) ore is not alone in missing production targets in the lithium industry
2) sp doesnt necessarily fall as a result
3) investors and analysts should tend to have a degree of healthy skepticism around the eternally optimistic numbers and timelines provided by many lithium
ceo’s
4) its not an easy business and its easy to criticise from the sidelines but if one considers ore’s issues were more related to unpredictable external factors than internal failings, then we cant be too harsh, especially given the proactive strategy going forward which seems like a sound response
5) ore is profitable and cashflow positive which is more than can be said for tesla; they should have no further need to raise capital in the next year or two as far as we can predict.
hope you all have a great week
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