Could Orocobre Really Fail?

John Robertson

PortfolioDirect

Orocobre may fail in its efforts to produce battery-grade lithium carbonate. That’s the view of Pilbara Minerals CEO Neil Biddle. Biddle was speaking in Melbourne on Tuesday about why his potential lithium mine in Western Australia was more likely to succeed than Orocobre’s new brine processing plant in Argentina. No one has produced battery-grade material from brine as yet, according to Biddle. “I wish them luck”, he said dismissively referring to the $395 million lithium producer presently ramping up production. Orocobre’s mooted failure would be financially disastrous and the biggest news to hit the mining sector this year or it might simply be a nasty case of project envy. In October 2012, Pilbara Minerals announced it would reposition itself as an explorer “in one of the most prospective and under-explored geological regions of the PNG Highlands”. Nothing ever came of that expensive dead end. In July 2014, Biddle said he would commence mining tantalum at Tabba Tabba in the third quarter of 2014. We’re still waiting. Sometimes, forcing people to make a judgement is not a good idea.


MORE ON



3 topics

John Robertson is Chief Investment Strategist for PortfolioDirect a provider of resource sector investment stock ratings and portfolio strategies for mining and oil and gas investors. He has worked as a policy economist, corporate business...

Expertise

No areas of expertise

I would like to

Only to be used for sending genuine email enquiries to the Contributor. Livewire Markets Pty Ltd reserves its right to take any legal or other appropriate action in relation to misuse of this service.

Personal Information Collection Statement
Your personal information will be passed to the Contributor and/or its authorised service provider to assist the Contributor to contact you about your investment enquiry. They are required not to use your information for any other purpose. Our privacy policy explains how we store personal information and how you may access, correct or complain about the handling of personal information.