Aussie lithium miners set to end 2023 in red on weak EV sales

Azure Minerals

27/12/2023 23:32

** Most ASX-listed lithium miners are on track to post
yearly losses as lithium prices slumped during the year due to
slower-than-expected electric-vehicle sales 
    ** IGO  IGO.AX , Sayona Mining  SYA.AX  and Mineral
Resources  MIN.AX  are set to lose 32%, 65.8% and 9.9% for the
year, respectively
    ** Even though prices of the battery metal tumbled, the year
was marked by a frenzy of deals involving lithium miners, given
strong prospects for long-term demand 
    ** Allkem  AKE.AX , which recently closed its $10.6 bln
buyout of U.S. giant Livent  LTHM.N , is set to lose 12.5% this
year 
    ** Local mining moguls like Gina Rinehart and Chris Ellison
also disrupted deals by increasing their stakes in takeover
targets, enough to avoid foreign competition
    ** Gina Rihenhart's Hancock Prospecting increased its stake
in Liontown Resources  LTR.AX  to 19.9%, enough to block the
$4.3-bln buyout deal with top lithium maker Albemarle  ALB.N 
    ** As of Wednesday's close, Liontown is up 21.97% this year
    ** Azure Minerals  AZS.AX  has risen over 16 times in value
after receiving a $1.14-bln bid from Chile's SQM  SQMA.SN  and
Hancock Prospecting earlier this month
    ** "We suggest investors look beyond 4Q23 weak season.
Restocking cycle should drive lithium price way above the
marginal cost curve into 2024" - Macquarie
       


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Australian Lithium Miners    https://tmsnrt.rs/47fKmGg
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 (Reporting by Sherin Sunny in Bengaluru)
 ((Sherin.Sunny@thomsonreuters.com))