What's new, Spike, Who is closer.Good Morning Everyone,
I hope that each of you had a great weekend. It was a rainy weekend with Netflex and reading for me.
Okay, What did we learn from the latest video?
We learned that comgress has put a limit to DOD supply chain. No REE or magnets from China after 1JAN2027.
We learned that Ucore has MOU with three suppiers not two.
We learned that auto OEMs are going to be the first offtake agreement, most likely.
Anybody else got anything we learned?
With a end date on DOD supply chain. Peter statement that there is more DOD grant money in the background then before. Which goes to my statement. All Ucore has to do to get full funding is prove it can do heavy REE separation.
Spike: Funding is the going to be the cause for the first Ucore stock spike. I have watch the market for over 40 years. Anytime in the past that DOD dumped a lot money into a company, that company's stock spike. It could be very short. One to two days or a week. With the price coming down as it finds the support for the new price. Pip, has said many time that funding will get stock price of two to three dollars. I think it will be higher, but it will be after the spike. So the big question is how big will the spike be? 5, 10 , 20 maybe as high as 25 before it falls to a normal trading range. Just for the record I think that the range after the spike will be 5 to 10. The second spike will be after Ucore says that they have enough funding to complete the first phase of the commercial plant/SMC1. The spike will be higher if they can get complete funding without going to the share holders for money.
Who is closer?
Will the OEM funding Ucore before DOD to get a larger share of REE oxides or will they wait to see how much DOD funding Ucore will get, before they come to an agreement on funding? That is something only time will tell. Pip, what do you think? Will DOD or OEM be first to fund Ucore?
Dragon