North America's First Lithium Brine Producer Is Now a Buy

Source: Michael Ballanger 01/23/2024

Michael Ballanger of GGM Advisory Inc. shares why he has changed Volt Lithium’s rating to a Buy.

Here is a clip from a research report from Wood Mackenzie reposted in the Wall Street Journal: Volt Lithium Corp. (VLT:TSV;VLTLF:US)

“Battery Metals Face Ongoing Glut Amid Chinese Cell Oversupply — Market Talk 0505 GMT — Wood Mackenzie is forecasting a glut of lithium, cobalt, nickel, and graphite to continue for several years. The commodities consultancy says automakers are likely sitting on large stockpiles of battery cells for EV sales that failed to materialize. Citing the China Automotive Battery Innovation Alliance, they say only 387 GWh of the 747GWh of power batteries produced in China in 2023 were installed into products. “With storing batteries being an expensive business, automakers may have a more cautious appetite for purchasing cells in 2024,” Wood Mackenzie says.”

The lithium names that were market darlings a year ago, such as E3 Lithium Ltd. (ETL:TSXV;EEMMF:US) and Patriot Battery Metals Inc. (PMET:CA), are now in full “crash” mode, but you will note that Albemarle Corp. (ALB:NYSE), the biggest lithium producer in the U.S., rallied 4.88% yesterday.

I am changing my rating for Volt Lithium Corp. (VLT:TSV;VLTLF:US) back to Buy from Hold.

Buy VLT/VLTLF at CA$0.10 / US$0.074 good through month-end.

One thing is noticeable about the Wood Mackenzie piece: no mention is made of any glut regarding copper, and that is because copper is not just an electrification metal; it is used in every industry on the planet, and it is running out. Copper is where you want to be in 2024.

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Important Disclosures:

1. [Volt Lithium Corp.] has a consulting relationship with an affiliate of Streetwise Reports, and pays a monthly consulting fee between US$8,000 and US$20,000.
2. As of the date of this article, officers and/or employees of Streetwise Reports LLC (including members of their household) own securities of [Volt Lithium Corp.].
3. [Michael Ballanger]: I, or members of my immediate household or family, own securities of: [Volt Lithium Corp.].
4. Statements and opinions expressed are the opinions of the author and not of Streetwise Reports, Street Smart, or their officers. The author is wholly responsible for the accuracy of the statements. Streetwise Reports was not paid by the author to publish or syndicate this article. Streetwise Reports requires contributing authors to disclose any shareholdings in, or economic relationships with, companies that they write about. Any disclosures from the author can be found below. Streetwise Reports relies upon the authors to accurately provide this information and Streetwise Reports has no means of verifying its accuracy.
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Michael Ballanger Disclosures

This letter makes no guarantee or warranty on the accuracy or completeness of the data provided. Nothing contained herein is intended or shall be deemed to be investment advice, implied or otherwise. This letter represents my views and replicates trades that I am making but nothing more than that. Always consult your registered advisor to assist you with your investments. I accept no liability for any loss arising from the use of the data contained on this letter. Options and junior mining stocks contain a high level of risk that may result in the loss of part or all invested capital and therefore are suitable for experienced and professional investors and traders only. One should be familiar with the risks involved in junior mining and options trading and we recommend consulting a financial adviser if you feel you do not understand the risks involved.

( Companies Mentioned: VLT:TSV;VLTLF:US, )