RE:WSJ no pay wall. Short term pain long term gain I think the demand is there for electric vehicles and will come but people are holding out while they can, I know I am. Holding out for better tech, better reliability, I want to see 25+ year batteries going into cars and homes. ICE engines are very reliable these days and can stay on the road 15+ years easily.. the push for renewables is a double edged sword as the green policies drives up the cost of everything..
Chinese nickel miners are willing to dig in and take a loss on nickel so they can knock other players off the board and consolidate control over the battery market. They have little consideration for the health and safety of their workers and build these plants well below what it costs other global mining companies. The lives lost recently are a tell-all, and it's very sad.
I think the forecasts are true for a 2024 nickel oversupply situation.
Obviously I want Sherritt to do well but there's a sense management has a hard time pivoting the company. Why do they put money into researching upgrading oil? Very few companies want this and the ones that do are mega caps that have their own research teams.. they should of been investigating or getting into the battery recycling market or something along the lines of what they are already doing. So I do question..
Truth be told I should of sold when I was up, I thought I would see $1.00/share... I could not see nor fathom the immense Chinese build out of nickel mines in Indonesia. There was a big sign of things to come when Tsingshan shorted the market, they could see the coming glut (after all they played a massive roll in creating the glut), they were just too early.. and they had the massive short on battery grade..
The future is uncertain, perhaps Sherrits expansion will be perfectly timed. What I've learned is that metals markets are extremely volatile, and nickel is next level.. I would like to see Sherritt pivoting to the battery recycling market. Perhaps because they are hand-cuffed to Cuba and they are unable to explore that option.
Of course I had hoped 2023 would of been different. My hope now for 2024 is for Sherrit to hang on, run with minimal down time, get costs down, and ultimately survive.
Bring on the reliable 100 year NCM battery on wheels. I would pay good money for that. Could double as a household/grid battery.