Wiz_of_Oz

Analysis request - AVZ Minerals

Long
ASX:AVZ   AVZ MINERALS LIMITED
AVZ Minerals Limited is an Australia-based mineral exploration company engaged in the business of mineral exploration in Namibia (Think "risks") . It explores for mineral reserves within Africa for base metals. TA for the daily chart shows bullishness ahead. Currently it needs to break & close above the $0.105 - $0.11c zone for a bullish continuation. The $.105 zone is historical resistance & needs to be broken before a bullish continuation. Do not discount a drop to the $0.07c zone before the continuation. As per my rules, I do not trade companies operating outside Australia as the risks are too many to control. This analysis was requested by a follower & I hope it helps.

Comments

There are a number of big catalysts due soon. Probably 2x more SC6 offtakes - possibly one with a CATL associated entity, Li Sulphate offtake - probably with a European partner, Tin offtake (at least one, could be multiple), Special Economic Zone, Wedge to be factored in to the DFS, hydro dam to be refurbished. Govt seems to be onboard, also CH and EU seem to wanna play ball too.

Downside, SOI is ~2.9b (close to the PLS though), DRC is a tricky place to operate, transport
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From a fundamentals point of view.
Transportation logistics need to be worked out still for AVZ.
Most lithium stocks are up due to the bottom being hit in the lithium carbonate prices at US$40,000/tonne. It's gone up to $50,000/tonne (from a high of well over $150,000/tonne back in 2018). If carbonate prices dip again, this run will come to a rapid end.
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bengriffo Fruityoverlord
@Fruityoverlord, I believe it's RMB not USD. But still, it's charging along -> 99% Li Carb spot is currently at 68k RMB and 99.5% Li Carb spot is at 72k RMB.
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I stand corrected . AVZ are in DRC (Democratic Republic of Congo) and NOT Namibia as mentioned above. My apologies.
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@Wiz_of_Oz, Thanks, really appreciate your help!
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