Ann: Drilling of high priority targets commences at Tabba Tabba, page-66

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ChrisRod82

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24/05/24

10:05

Post #: 73988569
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Originally posted by Norbeto: ↑

Yeah it's a good point.. I guess both companies need and want to keep their heads above water.. Piedmont does this by way of their offtake agreement and Sayona...well they don't really have a way at the moment as there's nothing to distribute from the Jv to either partner... the overarching goal is to have the JV self sustainable but at these costs/prices it's just not achievable yet..

So comes the questions... what's the solution? damned if you do and damned if you don't ie. keep piedmonts offtake agreement and the JV suffers.. take it away and Piedmont don't have funds to tip into the JV (keep in kind sayona don't either) so the JV fails either way...

That's why I've been discussing the possibility of a merger. I think it's on the table, how likely? who knows but there has to be some kind of change otherwise both companies and the JV will continue to be in a precarious position.

All of the above discounts the fact that cost reductive measure can kick in in q4 and prices could increase or contracts are agreed upon which in that case, things will be fine...

I guess this highlights further why we are being punished by shorts. So if anyone is continually surprised or annoyed that Sayona is being shorted then you aren't really thinking about the whole picture.

Keep in mind Piedmonts short percentage on the Nasdaq is higher than Sayonas on the ASX so they aren't exactly cruising along, feeding information, and operating in the dark corners of the finance world, they too are being hammered

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The talk of merger is nonsense in my opinion. We are already in a joint venture and if both companies are going to die due to the current setup then change the joint venture.

A 50%/50% NAL JV renegotiation is all that is required. Maybe have the Tesla and LG spod get priority shipments, but if both companies get the same out as they both put in it will be far more successful a JV. Then if the Carbonate plant gets going the JV can be 35/35/30 to a new partner.

Theres no need to overcomplicate things. Just my thoughts.

SYA Price at posting: 4.3¢ Sentiment: None Disclosure: Held
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