Ann: Agreement with Rio Tinto to explore Trek's Jimblebar Project, page-16

This is an interesting move by Rio Tinto Exploration (RTX). Rio has been saying that it's interested in lithium, but doesn't want to buy in while the market is overheated. Here's the link to the article. By the way, I don't think lithium miner's share prices are overvalued at all, I think they're still way undervalued. However, I believe that no established lithium miner in their right mind would at present sell out for anything less than at least 5 times the current typical share price listing of the main players in WA.

Also, Rio's Jadar lithium project in Serbia is currently suspended. So we have a major miner which wants lithium, but isn't prepared to pay true market value.

It'll be interesting to see how this relationship develops. Rio would very likely have its eyes on the potential lithium resource at Tambourah, going on their past activities in the lithium space. Also, it's in their neighbourhood, which also happens to be in a low sovereign risk country with well established, mature, and world class mining capabilities.

As other posters have noted, this could bring TKM onto the radar, but it could also have an interesting spin off for other Australian lithium miners. Many people want to play it safe and stick with BHP, RIO, etc. Lithium miners are seen as some sort of new fangled thing by this type of investor. Once a brand name like RIO starts getting tied up with lithium projects in the Pilbara, lithium in Australia will tend to enter the main stream (conservative investors), in my opinion. There might be more 'mainstream' investors willing to take a punt on lithium junior explorers like TKM. It'll be interesting to se if RIO tries to make an offer for Tambourah later on, and how much money they're prepared to part with.

If Tambourah turns out to be looking like some of the other major spodumene deposits in the area, RIO would be very short sighted not make offers in excess of $1.00 per share later on down the track if the resource shapes up to be substantial, in my opinion. Take PLS for example - 1 cent in 2014, nearly $5.00 today, current PE ratio of about 7, $2B in the kitty and growing. Is an actual current true value of PLS in excess of $15 too much of stretch based on their current PE ratio?? That'd make a $1 per share investment from RIO for TKM seem good value indeed.

It'll be interesting to see where this goes. Will the board tell RIO "no" politely regarding lithium at Tambourah and continue with a winner takes it all approach? Or will it become a case of the price is right sometime down the track? Or have I missed something here, and RIO wouldn't be at all interested in Tambourah??

Either way, this new arrangement will almost certainly help keep a floor under TKM's share price in the near term.

Looking forward to seeing the drilling results from Tambourah.

All just my opinions only.

GLTAH.