Ann: Study Delivers 2MTPA Expansion Option - Highly Accretive, page-67

You have wonder what management wanted to achieve out this announcement, while we would expect them to be planning this in the background if prices tick up, to release it into a market at this time was always going to have the effect on all Li company share prices. Maybe that is what they wanted to do, to shake out the wannabes and send them broke.

Personally, to proceed with this in the current environment makes no sense, the number don't stack up even at $1500 a ton. The market would price this extra supply coming into the market and keep Li prices low, we would be depleting the resource faster and making only a small margin on each ton sold, would it not make more sense to have a higher price and make the same overall dollar margin with P1000 as P2000?

If the plan wasn't purposeful to send other companies to the wall, then I think sentiment is still too positive in the Li industry, there are still too many companies expanding through the cycle, if this continues there won't be a recovery in Li prices. The cure for low prices is low prices, except if everyone expands through the cycle.