ASX Today, page-30250

Fellow Sharholders.

Many are called.....

6 months ago, Tony Ottavino of LTR reported that costs had skyrocketed across all avenues but that LTR were blessed with a contingency plan: i.e., their Direct-To-Market sale of ore not part of the proposed mine total ,some estimated 800,000 tons worth and already spoken for. This windfall will cushion LTR’s immediate expenditures and smooth the way towards production. At the time it was mentioned that all lithium hopefuls are facing the same cost increases but how many would have such a card up their sleeve? We are now seeing “illogical” cap raises in the industry because of this Sayona Minerals being one of them.
Such interruptions are unavoidable in the sector as a whole and to pre-production companies especially but because we – as in LTR shareholders – are fortunate enough to be part of a company that has “prepared for war in peace time” and has tolerances against future hardship such as a low iron contamination of the orebody, a low production price, a power supply cost drastically reduced, green credentials etc… it will only mean that on a yearly basis stipulated total tonnage of product coming to market from struggling producers will be less that the world had hoped and the deficit difference curve will only grow steeper. The ever-increasing demand for lithium doesn’t mean that getting it out of the ground has become easier – quite the opposite. The hardship ahead will only serve to thin the field and make Liontown so much more attractive.