Rodney Hooper - Long Term Lithium Structural DeficitThat is, Battery grade Lithium to remain in structural deficit for the next several years.
Good to see the Canadian "Lithium" developments are finally beginning to receive the major construction Go-Ahead permits.
For instance, CRE (Critical Elements) received Quebec Government "greenlight" in recent weeks and CRE anticipates "front-end" engineering to be ready near term and assuming construction financing is finalized shortly, CRE expects to be sod turning as early as the "Spring" 2023.
The $500-million ($Canadian) Capex (allowing for contingency costs) is what I would expect given the scope of the CRE Lithium production development.
That's precisely the Capex figure ($500-million) I had in mind for Frontier Lithium's production development project for its "high grade" 50-year Lithium operation. A relatively nominal cost, considering the anticipated profitability over the next 10 years.
Probably 2 year payback or even less depending how swiftly Frontier can move into production and take benefit from the battery grade Lithium structural deficit and historic high Lithium pricing.