 Good day, fellow investors. Over the biggest part of August, I have been looking at Lithium stocks. We have done Albemarle, SQM here on the videos, Lithium Americas, but I have also looked on many others. I didn't do videos. I've written research reports for my stock market research platform. But in this video, I want to give you the conclusion that I came to after analyzing the sector, analyzing about seven, eight companies in the sector, even more looked at, few more that I looked at, didn't analyze in that. And then again, looked at the sector, found the really important pieces of information when looking at listening conference calls from the companies, looking at annual reports, looking at those technical reports of the mines. And this will summarize my view on Lithium. The key focus is the Lithium prices. Most Lithium producers and also the bullish thesis when it comes to investing in Lithium stocks is that Lithium stocks will spike because of huge demand. I've looked at all those projects. I looked at how much Lithium there is in the Earth's crust. And then there is, I think Morgan Stanley came out with a report that Lithium prices will likely be around 7,000 per ton Lithium carbonate equivalent prices. Not 15,000 as many expected. There is thus a big discrepancy between what was the expectations in the Lithium bullish market that we have seen in 2017 and what are the expectations now. So there might be more room to fall, but some investments are already priced fairly long term, even with 7,000, 8,000 Lithium. But there is always more room to fall, so it is a sector to watch. Let me explain how I got to this conclusion. Let's start. So Lithium, it's all about supply and demand. At demand, let's say, Albert Marley constantly increases its demand forecast for Lithium over the next years, growth, growth, growth, and it's actually correct. But I don't think it will be so linear. And when everybody is expecting more demand, they're all rushing to create supply for it. When you go to Bloomberg, all estimates have been constantly raised over the last few years due to very positive environment. Very positive environment doesn't necessarily mean higher prices. If you look at Lithium prices from last year, the summer of last year, those have really declined during 2018-19 especially and they are continuing to decline now, which doesn't make it a great environment for Lithium. This is because supply is growing faster than demand. And then there is a system of oversupply and Morgan Stanley forecasts a huge oversupply ahead with Lithium prices converging to a price between 7,000 and 8,100 per ton. So they forecast oversupply for the next six years. That would be very, very detrimental for Lithium investors, especially those who invested with the expectations that Lithium prices will be 10,000, 12,000, 15,000 and even 20,000. That might happen, but it is more likely that over the long term, let's say the stable Lithium price will be 7,000, it might go down to 5,000, 4,000, but it might also go up to 10,000, 12,000. So Lithium will be a sector to play on the volatility by value and sell in exuberance. Further, there is a lot of production depending on the price environment. It's easy for Arben Marle to continue with the Virginia plant they invested or to simply stop it if the prices are not enough. But when you come to investing, they took a loan of 1.3 billion for 60% of that plant and now they say that they might shut it down. So very risky situation for investors. Further, Riyatinta owns the Yadar project in Serbia that could hold 10% of the world's Lithium resources. It can be ramped up by 2024, 2025 and put further pressure on Lithium prices. On a funny note, Yadarit, the ore in Serbia, the Lithium ore, has a similar chemical composition to the fictional Kryptonite of Superman fame. So this might Yadar, might be the Kryptonite for all other Lithium miners and investors. At the end, with every metal that there is enough of it, it will be about mining costs. There is Lithium even in Canada. The galaxy is mining Lithium, James Bay and the estimated operating costs are around 5000 per Lithium ton. With low capex intensity, this means that projects like this could be commissioned if Lithium prices remain at lower levels. So more and more demand, more and more supply will be coming. Demand too, definitely not linear, but will be coming. So it will be a really special situation depending on the cost of production on the cost curve. Will it really be such a cost curve where only a few producers have low cost or there will be enough producers with higher costs? If we look at Ionir in the US, lowest cost Lithium producer in the world, 17-1800 per ton of Lithium carbonate cost. So that's extremely low cost, pushing pressure on supply. And if there is one project like this, there will be more and more projects like this. And when you look at their expectations at what will be Lithium prices in the future, they see them at 12,000 and 16,000 from year 7 onwards. Unfortunately, it's very unlikely that it will be like that. If you look at the use of Lithium in electric cars, there are much more minerals that fit that electric cars, copper, nickel, cobalt, and then just a small part is Lithium. So you never know what will they use, what will be the demand, how it will change, solid state batteries, how much Lithium, etc. So always on Lithium battery technology prices are lower, but if Lithium prices go up, these prices increase and then it's again uneconomical to build such cars. So to conclude, when investing in Lithium, I really think the upside is there if you do it smartly. You have demand and supply to watch and then focus on mining costs, debt of the company, the access to financing that the company has, if there is a lot of dilution, then again you are not well. And then look at the current business. What they are already doing, if they have low mining costs, if they are profitable, if they are printing cash, the cash is what you are buying. If you see, okay, these guys are going to pay dividends or invest, reinvest, growth, even if Lithium hits 6,000, then you can, okay, let's say I buy at the lows and then when Lithium hits 10,000, because it will be volatile, that's normal with commodities, you sell at 10,000. One of the companies, SQM, we said that be careful because their licenses could end up in 2040 or be more taxed. Albermarla is a company that is big, it's really a Lithium bet, but they have done a lot of acquisitions, costly debt acquisitions that might not be that good into an environment. Lithium Americas, there will be dilution, then you have some good companies that I looked. Even for example, Orocobra looks also stable and good, but I will follow them, update my research due time and write my reports on that because now I'm still looking just started, the Lithium boom also keep that in mind, electric vehicles are, if they are here to stay, are here to stay for the next 50 years. If that happens, then you have the next 50 years the time to invest. You just have to wait, look at all those sectors as many as you can and just wait for those investments to hit your sweet spot to really, really make money on them. Even if that is one time in a decade, knowledge like this that I have summarized in this video really helps you in hitting that sweet spot investing. Thank you for watching, looking forward to comments and I'll see you in the next video.