"Every once in a while, the market does something so stupid it takes your breath away." - Jim Cramer
There are no sure bets in the world of investing; there is risk in everything. Be prepared for the ups and downs.
Fantastic drilling results (Most Recent to date)
This is a world grade top tier resource. It will be taken out of the ground no matter what. Investors need to calm themselves and focus on the big picture. There is reason why there are so many big Chinese companies circling us.
Let's not forget CATL site visit to Manono:
BNBT site visit:
Also we have MOU signed with Tinci back in March 2018:
Peer comparison, dwafrs the competition:
Lithium Grade:
Seam Depth:
Road Infrastructure & Power taken care off by AVZ's partner/substantial shareholder Chinese & Dathomir:
Capex for 2Mt plant approx $125~$130 million, funded via 50/50 equity/debit
$40 million~$50 million strategic investment + offtake
The full 360kt/pa would easily be absorbed by potential offtake suitors (already in discussion)
Potential partners:
- BNBT
- CATL
- Tinci
Also don't forget AVZ can break its production into THREE revenue streams
#LITHIUM #TIN #TANTALUM
Very likely upgrade to 4Mt/5Mt further down the track and another upgrade after that to 8Mt/10Mt when possible (these 2 upgrades can be self funded in the future)
- Very likely Huayou Cobalt to build mine for AVZ as they are already substantial holders and they want to see AVZ in production ASAP
NPV exercise by @8horse (Personally I prefer peer comparison)
Last but not least, please refer to @8horse's post (Peer valuation comparison) <--- My preferred methodology for current stage:
Post #:28569531
Both valuation methodology shows that AVZ is still very undervalued. Plenty of blue skies ahead. Buckle up and sit tight.
To conclude with one of my favourite quotes:
"In investing, what is comfortable is rarely profitable." - Robert Arnott
At times, you will have to step out of your comfort zone to realize significant gains. Know the boundaries of your comfort zone and practice stepping out of it in small doses. As much as you need to know the market, you need to know yourself too. Can you handle staying in when everyone else is jumping ship? Or getting out during the biggest rally of the century? There's no room for pride in this kind of self-analysis. The best investment strategy can turn into the worst if you don't have the stomach to see it through.
GOD bless us all.
