TSXV:WMG.H - Post by User
Comment by
AucontraireIIon Aug 11, 2022 1:45pm
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Post# 34888919
RE:Bottom in place?
RE:Bottom in place?
I am starting to think / fear that maybe the need for magnesium is overrated. What if our premise that if they could produce much more magnesium it would be in high demand, is wrong? Maybe China only produces their supposedly 1 million metric tons per year because that's all there really is much demand for. I mean this is China after all, they could produce 10 or 100 million metric tons just as easily, couldn't they? I don't know. And the whole 'clean' thing may be overrated as well. Magnesium itself doesn't care if it was produced clean or dirty. Only the purity matters. So if they have a bunch of cheap labor producing dirty magnesium and coming out with a pure product, to a far away end user, what does it matter? Clean only means it can legally be produced in north america. But so what? Now all kinds of things are produced only in china, and nobody seems to care, so why is magnesium special? Just thinking out loud, but somewhere along the line we have a premise that is wrong I am afraid, and that justifies the price dropping to where we see it today.