Running discussion on SP, page-29850

First 29850 Last

Share
Profile

Follow
Royal_Viking

1,508 Posts.

791

20/06/20

20:28

Post #: 45346853
Share

Originally posted by Obe wan: ↑

Thanks for your thought / explanations Ericson and Viking

Viking your comment ~

” Example if I ran a private equity/debt type of fund and say I believe in the future lithium industry and say I have no interest in OT (as am not in that line of business), I might want to seek Royalties and/or future profit sharing etc etc ’

I think this is where the divide in opinion sits. Sure someone may believe in the future of the lithium industry....but do they really put $500m on black on it..on a project in the DRC?

Remember, this $500m gets used up in the mine and power plant....theres still Cash that needs will need to be spent in other areas in which AVZ has zero control in order for this to work like clockwork such as roads / road maintenance ; rail etc etc, so there's also that potential risk ; sure; the project is a very strategic project for the DRC and lMO sitting in Hotcopper spec land it's a no brainer...but if there were several parties interested in the project...surely The vast majority of these would have involvement in the battery metal process flow / product or as before, but with a large capital backer....a financial institution betting $500m without any interest in product makes little sense

Your conglomerate tied to the EV Industry example makes a whole lot more sense and that would be one of my guesses.

Again thanks for your explanation.

Posters strutting around in here blowing smoke and telling us how it's going to happen, but can't string two words of an explanation is rather annoying

Expand

for the global large private funds 500m is chum change. They can also syndicate it out as privately there is an arranger and silent or public participation’s behind.

it’s like insurance on huge office buildinga/skyscrapers. They are reinsured so that if one building goes down the insurer doesn’t cover full costs.

Last edited by Royal_Viking: 20/06/20

AVZ Price at posting: 5.5¢ Sentiment: Buy Disclosure: Held
17 Upvote

0 Great analysis

Reply

Top Stories

WR1

Winsome scoping study proposes low-cost operation for Adina lithium project

PTR

Petratherm adds $1.6 to the piggybank ahead of SA titanium drilling program

WMG

Western Mines identifies 2 high-grade zones at Mulga Tank in WA

SNG

Siren Gold boosts antimony resource by 66% to 14.5Kt at Auld Creek, NZ

ALR

Altair Minerals hits high-grade copper and gold at Wee MacGregor, QLD