BURNING CASH, page-68

You’re asking the wrong question. Instead of “Where would the SP head without an upward shift in the lithium price”, ask yourself what would actually trigger a share price increase at this point?

I think this was spelled out pretty clearly yesterday, it will be a sale of a minority stake in SDV. Here’s the thing, you can’t have your cake and eat it too. You and the other downrampers have continually written off SDV as a either a liability or a marginal asset that is going nowhere. Macquarie Bank valued the asset at $20 million. Currently the market attributes almost no value to SDV, it’s all about Mt Cattlin. So if our management pull off a decent sale of a minority stake, analysts will be forced to acknowledge the value of the asset. Macquarie can’t continue to say the asset is worth 20 mill if we sell a minority stake for 100-200 mill.

IMO there will most likely be several catalysts over the next 6-9 months that will force shorts to cover:

1. Acquisition of A40/Bald Hill.
2. Sale of minority stake in SDV.
3. Contracts/MoU’s for SDV offtakes.

IMO, an uptick in Li prices is not essential to SDV’s success, as the economics of brine are superior at this time. But hey, you know all this already...