definitely an interesting video, worth the watch.
said something,,,Hard to separate the nicol and lithium in the same area. (was drilling for nicol when they also targeted the lithium peg)
Good point i did pick up on, was course grain, suited to DMS, would limit capex to like 100m, but that is just for Lithium.....the ugly question is what do they do with the nicol... its the capex, and the dilution. He said they could do just lithium, or both...worry is the capex on the nicol.
Min 21 - Said that none of the many AUS 10-15mt resources are in production, and only hand full (9)of 100mt in the world, and 5 in WA.
And that SQM were unlikely to have rushed in, with a minor expectation. Rather expecting these guys to find another of the major deposits. (interesting re enthusiasm, as to how quickly SQM made an investment decision following their geos visit)
I still get an awkward anchor feeling of the Nicol. But it does present an enthusiastic look, and bet on SQMs outlook.
Would they develop the Nicol on its own ? 6mt wanting to expand to 10mt , then PEA. What capex ? ugly.
But the lithium, would be a game changer.
Hence it comes back to there is an anchor here called nicol, until they show a few validation drills into larger pegs. Its a thing, where they need to present capacity to leap frog the embedded 100m mc attached to the nicol, that could be lame. And show the market that they can identify a major deposit.
I like it. And i'm on the fence. I need to see validation of drills that can leapfrog into 30-50mt surpassing the embedded price of the nicol elephant. (10mt lithium equivalent).
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