What does the weak pricing environment mean for project funding?
It’s been a difficult eighteen months for companies in the battery materials sector. After a couple of strong years, lithium prices have collapsed and then continued to weaken. Cobalt, nickel, manganese and graphite prices have been weak, and cathode and anode materials prices have followed them down. This has impacted profitability for producers and led to share price declines for both producers and explorer/developers, hurting their ability to raise development capital from the equity market. Throw in the current macroeconomic uncertainty regarding the US Trade strategy, the withdrawal of IRA tax credits, the weakness in the European consumer and macroeconomic...
Topics
Battery Materials
Cash flows
Debt
Equity
Funding Gap
Fundraising
Government
Grants
Graphite
Lithium
Manganese
Nickel
Weak prices
