LPI opportunity, page-252

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Kensington001

830 Posts.

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18/07/21

21:18

Post #: 54588713
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Originally posted by bingbing: ↑

"LPI is the next PLS" ....It could well be.

I am sure you are all familiar with Rodney Hooper and many should recall this report.
https://60909e46-79bd-4fe7-9a09-bec8eb48ffa9.filesusr.com/ugd/affbaa_d537f0ccc6bf4aa5883e38841cceb287.pdf

Along with Howard Klein they do great analysis. You may be familiar with their youtube channel.

This is my take on why LPI has been left behind and why that is all about to change (IMO). Data from the above link.

The MSB/LPI project is a high project setup cost compared to peers (though not quite apples to apples).
Therefore while there has been a situation where demand is not exceeding supply there have been plenty of other lower cost prospects.
High cost due to location.

However, even given these high costs the NPV of the project is very attractive, especially at higher Li prices... if it can get funded.

But remember this report is from 2019 and some things have changed slightly.

So now we are in a position where Li supply will not keep up with demand and the higher capital intensive projects are now getting a look in as the demand rises and so does the Li price.

I believe the updated story based on recent drill results will improve the picture.

So could LPI be the next PLS? i.e. could it 5x in a year?
I think it could be that's why I am still here.

The question is which year? I don't know but I'm not leaving.
And given the gigantic increase in the demand for Li I believe it could be sooner rather than later...

Care to add anything?

Expand

jeepers - thats good pickup @bingbing The capex for this is huge in comparison .....any long termers here seen updated costs ?

LPI Price at posting: 23.5¢ Sentiment: Buy Disclosure: Held
1 Upvote

0 Great analysis

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