Good News & Bad News, page-16108

If PLS starts paying 30, 40, 50 cents a share in fully franked annual dividends, it will be hard to sell at any price.

When BHP and others started paying huge dividends (10 - 20% yields) their SP is usually quite stable.

If PLS enter that sort of space in due course with further growth opportunities and lithium prices continuing to be stable or rising, then I don't think I can easily pull the trigger to sell.

What I can see myself doing is selling a big portion of my juniors as they grow to get some cash out and enable me to hold most or all of my PLS.

This will reduce my risk greatly and create a more stable income-producing portfolio over time.

I have a similar plan to hold most or all of my other producers / near-term producers.

Another 5-7 years of the recent lithium price stability / rises would be nice - probably not out of the question if deficit remains for the next decade or so.

I am also hopeful that one of my producers / near term producers is taken out at a large premium at some stage which will take the decision out of my hands. This will be another way to partially "cash out" some funds from the market. The fact that no particularly massive transactions have occurred as yet leads me to believe we are nowhere near the peak of this cycle.