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The Bull Case for Energy Metals Going into 2019

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The Bull Case for Every Energy Metal Going into 2019

The Bull Case for Every Energy Metal Going into 2019

The rapid emergence of the world’s renewable energy sector is helping set the stage for a commodity boom.

While oil has traditionally been the most interesting commodity to investors in the past, the green energy sector is reliant on the unique electrical and physical properties of many different metals to work optimally.

To build more renewable capacity and to store that energy efficiently, we will need to increase the available supply for these specific raw materials, or face higher costs for each material.

Metal Bull Cases

Ahead of Cambridge House’s annual Vancouver Resource Investment Conference on January 20-21, 2019, we thought it would be prudent to highlight the “bull case” for relevant metals as we start the year.

It’s important to recognize that the commodity market is often cyclical and dependent on a multitude of factors, and that the above cases are not meant to be predictive in any sense.

In other words, the facts and arguments above sum up what we think investors may see as the most compelling stories for these metals – but what actually happens in the market, especially in the short-term, may be different.

Overarching Trends

While we highlight 12 minerals ranging from copper to lithium, most of the raw materials in the infographic fit into four overarching, big-picture stories that will drive the future of green energy:

StorySupporting Projection
Solar and WindThe world hit 1 TW of wind and solar generation capacity in 2018. The second TW will be up and running by 2023, and will cost 46% less than the first.
Electric VehiclesOwnership of electric vehicles will increase by 40x in the next 13 years, reaching 125 million vehicles in 2030.
Energy StorageThe global market for energy storage is rapidly growing, and will leap from $194 billion to $296 billion between 2017-2024.
Nuclear150 nuclear reactors with a total gross capacity of about 160,000 MW are on order or planned, and about 300 more are proposed – mostly in Asia.

Which of these stories has the most potential as a catalyst for driving the entire sector?

Based on these narratives, and the individual bull cases above, which metal has the most individual potential?

Let us know in the comments below, or visit Booth #1228 at #VRIC19.

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Energy

Visualized: A Decade of Clean Energy Investment

In this graphic, Visual Capitalist has partnered with EnergyX to explore the growth of global clean energy investment.

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Teaser image showing a bar graph that hints at global investment in energy by its source.

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The following content is sponsored by EnergyX

Visualized: A Decade of Clean Energy Investment

Global energy investment is growing every year. But recently, investments in clean energy have been significantly outpacing investments in fossil fuels.

For this graphic, we partnered with EnergyX to explore how global energy investment has changed and learn how investments in clean energy are starting to pay off for their investors.

The Rise of Sustainable Energy Investment

Propelled by various climate initiatives such as the Paris Agreement and the widespread adoption of EVs, global investment in sustainable energy surged to over $1.7 trillion in 2023, the highest ever, and the IEA projects that this growth could continue:

Energy Product20202021202220232030F
Clean Electrification$0.97T$1.05$1.21T$1.34T$1.65T
Low-Emission Fuels$0.01T$0.01$0.01T$0.02T$0.05T
Energy Efficiency$0.28T$0.35$0.39T$0.38T$0.49T
Clean Energy Total$1.26T$1.41T$1.61T$1.74T$2.19T
Natural Gas$0.26T$0.27T$0.31T$0.32T$0.35T
Oil$0.42T$0.48T$0.52T$0.55T$0.60T
Coal$0.16T$0.16T$0.18T$0.18T$0.11T
Fossil Fuel Total$0.84T$0.91T$1.01T$1.05T$1.06T
Total Energy Investment$2.10T$2.32T$2.62T$2.79T$3.25T
promotional graphic with a button and wheel that promotes the EnergyX investment site

Between 2020 and 2030, global investment in sustainable energy could increase by 74% to nearly $2.2 trillion, compared to just 26% additional investment in fossil fuels, with a forecast total of $1.06 trillion. This shows that sustainability is the future of energy investment. 

Sustainable Investor Success Stories

While the growing investments in clean energy show that the world embraces sustainability, energy investors will still look for decent returns. Now, in 2024, clean energy investments are beginning to bear fruit. Here are just a few examples:     

  • Between 2019 and 2023, Tesla had a cumulative return of 1,073% 
  • NextEra Energy’s quarterly dividend increased by over 10% as of February 2024
  • Investors in EnergyX have 10x’ed their investments since the company’s first offering in 2021

Lithium plays a critical role in powering electric vehicles (EVs) and facilitating the transition to sustainable energy. EnergyX has patented technology that enhances lithium extraction rates by up to 300%, contributing to meeting the growing demand for lithium and fueling the EVs of the future.

promotional graphic that promotes the EnergyX investment site

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