Elementos (ELT) - Tin's Role As A Future Focused Commodity

TL;DR

Elements (ASX:ELT) is focused on two tin projects in Spain and Tasmania, with a major focus on the flagship Orapaiser project in Spain. Tin is a critical metal for decarbonization and new technologies, and the tin market is forecasted to have a supply deficit in the coming years.

Transcript

hey guys and welcome back to the asx investor channel and welcome to another ceo interview today we'll be diving into the tin sector and i'm packing the story of elementos asx elt is developing a couple of really fascinating tim projects we know about the sector the prices have been soaring to record highs but along with that as well it's going to ... Read More

Key Insights

• 💚 Tin is a critical metal for electrical solders, which are essential for green technologies and semiconductors.
• 😆 The tin market is facing a supply deficit, and demand is expected to increase due to the transition to decarbonization and new technologies.
• 📽️ Elements' flagship Orapaiser project in Spain has the potential to be a significant tin producer, aiming to fill the projected supply deficit.
• 😑 The optimization study for the Orapaiser project shows promising economics and a pre-tax NPV of $292 million.
• 💪 Elements has been included in Andalusia's project accelerator group, demonstrating strong government support and alignment.
• 😆 The Cleveland tin project in Tasmania is also showing promising results, with ongoing drilling and potential resource expansion.
• 😆 The tin market presents an attractive investment opportunity, especially with the forecasted supply deficit and the increasing demand for tin in various industries.

Questions & Answers

Q: What are the primary uses of tin in the industry?

Tin is primarily used in electrical solders, which are essential for semiconductors, printed circuit boards, and other electronic components. It acts as the "electrical glue" that holds the circuit together.

Q: How is Elements positioned in the tin market?

Elements is focused on its flagship Orapaiser project in Spain, which has recently undergone an optimization study and has the potential to be a significant tin producer. Elements aims to fill the projected supply deficit in the market.

Q: What is the current state of the tin market?

The tin market is facing a supply deficit, and demand is expected to increase due to the transition to green technologies. The market is relatively small compared to other commodities, making it more sensitive to changes in demand.

Q: What are the key numbers and economics of the Orapaiser project?

The Orapaiser project has been scaled up by 66% and is expected to produce approximately 3,350 tons of tin metal per year. With current tin prices, the project has a pre-tax NPV of $292 million, and potential higher tin prices could increase the NPV to half a billion to a billion dollars.

Summary & Key Takeaways

• Elements is a tin development company with two major projects: the Orapaiser project in Spain and the Cleveland tin project in Tasmania.

• The tin market is growing due to its primary use in electrical solders, which are crucial for green technologies and semiconductors.

• The tin market is facing a supply deficit, making it an attractive sector for investment.