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- ⛏ $2B Flowing Into Mining Sector
Greetings Contrarian,
Source: Trading Economics, Numerco.
This is The Next Big Rush, your daily drop of mining and energy investing news. Where we come together and get smart.
Here are the highlights:
🥳 June On Fire For Battery Metals
🤩 $2B Flowing Into Mining Sector
👏 Lotus Creates One Of The Largest Uranium Plays In Africa
🥳 June On Fire For Battery Metals
June witnessed the first price increase for all types of battery cathode materials this year, stimulated by heightened demand and rising raw material costs.
The Benchmark Cathode Price Index, representing all active cathode chemistries, rose by 14.6%.
This rise was primarily fueled by the recovery of lithium and cobalt prices in China, even though the index remains down by 45.4% year-to-date.
With cathodes constituting over 40% of lithium-ion battery cells' cost, this surge may signal higher manufacturing costs down the line.
Despite this upturn, overall market recovery remains uncertain as producers await clear signs of recovery amidst China’s economic slowdown.
Lithium prices notably rebounded by 32.1%.
Heck. Yeah.
🤩 $2B Flowing Into Mining Sector
In an uplifting move for the mining sector, Appian Capital Advisory plans to inject a substantial $2 billion.
CEO Michael Scherb shines a spotlight on the sector's latent potential amid inefficiencies and lack of long-term capital.
Breaking from the trend of short-term 'beta-chasing capital', Appian intends to be a committed, active investor.
They've already made commendable strides with two zinc acquisitions this year and a C$85m credit finance agreement.
Is this the beginning of the end of our suffering?
👏 Lotus Creates One Of The Largest Uranium Plays In Africa
Lotus Resources: (ASX: LOT) (OTCQX: LTSRF) and A-Cap (ASX: ACB) (ACap) have agreed to merge, creating a leading African-focused uranium player.
Under a Scheme of Arrangement, Lotus will acquire 100% of A-Cap's shares.
A-Cap shareholders will receive one new Lotus share for every 3.54 A-Cap shares held, a 20.7% premium to the closing price on July 11, 2023.
Post-merger, Lotus shareholders will hold roughly 79% of the merged group, and A-Cap shareholders will hold 21%.
A-Cap's board supports the scheme, and A-Cap's largest shareholder, Singapore Shenke International Investment, with a 37.95% stake, also intends to vote in favour, pending a superior proposal or Independent Expert advice.
Well done, boys.
📰 In Other News:
🐦 Tweet Of The Day
Well I’ll be dammed.
Looks like tech darling Cathie Woods have just bought Cameco today for her ARKQ fund.
Cathie Woods have the last couple of years recived massive financial publicity for focus on the tech sector.
No stopping the uranium train 🚂💨💥
— Casper J. Nuclear advocate 🇩🇰 (@casperj33081634)
1:12 AM • Jul 13, 2023
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Happy Speculating!
The Editor
DISCLAIMER: None of this is financial advice. This newsletter is strictly educational and is not investment advice or a solicitation to buy or sell any assets or to make any financial decisions. Please be careful and do your own research.
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