@ozpolarbear always a pleasure reading your posts you always post with views well balanced and non biassed, you will be sadly missed as TON shareholder....I almost sold mine this morning then didn't as i intend to ride one last TON wave until the end of January especially with finance on the way and binding offtakes. I hope you didn't sell at a loss but i think a good entry point might be 8c -8.5c again unless PC does do something today having read the emails that have been sent in. I personally have aired my views in an email but i did have one final thought about the lithium and took it in more deeply and possibly missed something off my last post which i will actually turn into a positive and if i am right based what PC might be seeing in terms of the numbers.
There are 2 royalties here
1)
A royalty of $2 per tonne of ore mined and 1.5% of sales revenue from lithium (and associated minerals) from a portion of Location 53, part of the northern orebody of the Mt Marion Lithium Project owned by Mineral Resources Limited, Gangfeng Lithium and Neometals Limited. The Mt Marion Lithium Project is a globally significant lithium mine
In July 2016, MRL released a revised Mineral Resource Estimate, a 160% increase to 60.5 million tonnes
http://www.mineralresources.com.au/mrl-mining/lithium.html
Over the life of the mine
So if 80% gets mined thats $81,000,000 based on 40 million tonnes
then we get 1.5%
Start with the most basic of questions. What is the price of lithium?
More than $20,000 a ton on the Chinese spot market for battery grade material, according to research house CRU.
http://fortune.com/2016/06/06/lithium-price-tesla-metal-future/
So 40 million tonnes sold at $20,000 per tonne = $800000000000 with 1.5% sale revenue thats $12000000000 to triton
On that alone not a bad investment is it over the period of the mine...I can see where peter is coming from on these figures so for a third of our company not bad for doing nothing is it
Initially 400000 tonnes to be mined Per year so 400,000 * $2 = $800,000 plus 1.5%
400000*$20000 = $8000000000 - 1.5% = $120000000 to triton for doing nothing Per year does this pay for Nicanda Hill to go to production...i think so
Lets say worse case scenario lithium only got sold at $5000 per tonne
400000 * $5000 = 2000000000 - 1.5% = $30000000 to TON
Not only that
Shipping and storage arrangements for spodumene concentrate are advanced with Fremantle Port Authority, to provide an export pathway at KBT2 co-located with MRL’s Yilgarn iron ore stockpiles and export facilities.
2)
If Lion town get into production
A royalty of $2 per tonne of ore mined and 1.5% of sales revenue from lithium (and associated minerals) from the Buldania Lithium Project owned by Liontown Resources, located in the southern part of the Eastern Goldfield region, which hosts the Mt Marion and Bald Hill Lithium Projects.
ill let you do the figures they only have 10-20 million tonnes cant be bothered to do the maths based on that and theres nothing to say how many tonnes could be produced per yr.
On top of this
The right to explore and mine lithium (and associated minerals) from the remainder of Location 53, located immediately north of the Mt Marion Lithium Project. A number of immediate exploration targets have been identified by Westgold.
And we get instos of theirs to support us all of a sudden not a bad deal for TON for 30% of our company
Tell me if i am wrong or someone can point something out to me but having read alot more with open eyes and not just reading an announcement i might have to retract my email to Triton and OZ you might want to buy your shares back
