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Increased investment does indeed incentivize the exploitation of less accessible reserves that would not otherwise be profitable. But those higher prices have t
by Manuel_D 4y ago
Increased investment does indeed incentivize the exploitation of less accessible reserves that would not otherwise be profitable. But those higher prices have to be sustained to keep those additional operations profitable. If prices goes down, those mines close and diminished supply pushes prices back up to equilibrium.
It's not unobtainable lithium I'm worried of. It's difficult supplying 50x as much lithium over the next couple decades with no significantly increase prices.
- moloch-hai 4y ago> But those higher prices have to be sustained to keep those additional operations profitable. That is not, in fact, the case. A higher price need persist only long enough to pay the capital cost of developing the resource. The millionth ton is routinely much cheaper to extract than the first ton. And, of course, we don't need 50x lithium production in any case. That is your private fantasy. No, thank you, not buying.