ASX not the only avenue to access investing in the minerals sector: PrimaryMarkets
PrimaryMarkets, a capital raising platform for unlisted companies and part of the ASX listed Complii Fintech Solutions Group, says the latest development in the battle for Australian lithium might ignite fear in investors for missing the critical minerals boat.
“Investors may not realise that the ASX is not the only route to investing in this sector,” said Jamie Green, executive chairman PrimaryMarkets.
The electric vehicle revolution, which is a focal point of the energy transition movement, has resulted in a sharp focus on one critical mineral, namely lithium, a key component in EV batteries. However, the critical minerals basket is plentiful and diverse.
Green said, “Several critical minerals focused companies are currently accessible via PrimaryMarkets. The main criterion is to have a sophisticated investor qualification, which is net assets of $2.5million or income of $250,000 for the two previous years.”
“PrimaryMarkets currently has two such Australian companies on its platform.
“The first one is Lava Blue Ltd which is currently focused on high purity Alumina. It has multiple use cases including LEDs, ceramic separators in lithium and other batteries and as a substrate for high performance semiconductors and computer chips. The second company is High Purity Quartz Limited offering exposure to high-purity quartz whose end product applications include memory chips and semiconductors, fibre optics and solar PV cells.”
“One of the most pressing concerns about critical minerals is the vulnerability of their supply chains. Often, the global supply of these minerals is geographically concentrated. For example, China dominates the supply of rare earth elements (REEs), which are pivotal in various modern technologies.
“Any disruption in these supply chains—be it due to political tensions, trade restrictions, or environmental constraints—can lead to severe repercussions for industries that depend on them. The COVID-19 pandemic further highlighted the fragility of global supply chains, underlining the need for diverse and resilient sources.
“The supply chain vulnerabilities, coupled with the importance of these minerals, make them a focal point for resource strategies and government funding in many nations, including Australia,” said Green.
“Understanding the importance of critical minerals prompts the need for diversified supply chains, increased recycling efforts and innovative extraction methods. Collaboration between governments, industries and researchers will pave the way for a future where critical minerals support technological advancement without compromising the environment or human rights.
“As we transition into a more technologically advanced and eco-conscious era, critical minerals will be at the forefront of this change. Balancing their demand with responsible sourcing will be one of the paramount challenges of the coming decades.
“By providing a trading and capital raising platform for unlisted companies PrimaryMarkets effectively breaks down traditional barriers, providing liquidity solutions and promoting transparency.
“My suggestion is don’t be afraid to look beyond the ASX and beyond lithium,” Green added.
