Plus, Capricorn poised to be Australia’s next 100,000ozpa gold producer
Elon Musk reckons ‘boring bonehead’ questions on Tesla’s massive cash burn rate are not cool.
He was equally sensitive on Tesla’s recent first-quarter investor call on the subject of cobalt, a key ingredient in lithium-ion batteries, which is today’s interest.
The cobalt price has increased almost four-fold in the past two years as the world frets about being reliant on the less-than-stable Democratic Republic of the Congo for as much as two-thirds of its needs to power the electric vehicle and renewable energy storage revolution.
If oil stocks are not part of your investment portfolio then you really ought to start thinking about adding a few because last week saw an acceleration of a re-awakening process that has lifted small oils into the ranks of top performers on the ASX
Resources stocks in Australia trended up over the past week, at least that’s how I saw the market from afar with this edition of Prospector’s Diary being filed from New York where interest in commodities is growing rapidly.
Potential mineral sands developer Strandline Resources has signed further binding offtake agreements for production from its planned Fungoni development in Tanzania, and is now awaiting the green light from Tanzanian authorities to finalise financing and begin construction (reports MiningNews).
Commodities have soared in recent weeks – think aluminium – and in recent months – think oil – amid signs of global synchronised growth and strategists say there's still time to profit, even though some prices have overshot near term (reports the Australian Financial Review).
Nickel with a 7 in front of its price and oil moving closer to a price with an 8 in front were two highlights in a week dominated by geopolitical events, but there was perhaps a subtler shift underway with mid-tier resources stocks possibly being acquired as yield plays.
Mineral sands miner Strandline Resources has been buoyed by recent conversations with the Tanzanian government regarding the development of its Fungoni project, reports Stockhead’s Resources Editor, Angela East.
The company (ASX: STA) is waiting to receive its mining licence.
Investors were equally as hopeful, driving shares up 26 per cent to 14.5c by 12pm AEST Wednesday.
Several regulatory moves by the Tanzanian government in the past couple of years has created uncertainty for ASX-listed miners active in the east African country.
Cobalt stocks led the way up in a short week on the ASX but the more interesting issue which is yet to be picked up by investors is the potential for a sea-change in iron ore, where the sell-off in low-grade producers could be coming to an end.