Banter and General Comments, page-3755

I agree but it also says something about the markets price expectations for Lithium Chemicals vs Spodumene.. Market still expecting Spod prices to be soft for the rest of this year(Chris Berry talking $US500t in 2019 on recent podcast with JL) whilst Hydroxide and Carbonate prices are expected to remain flat to up.. Its not really an oversupply problem but there is a bottle neck in terms of how long it takes to build out conversion capacity which will eventually match supply and then some. GXY valuation likely to be protected by what I think will be a great deal on JV of SDV. Corporates with an eye on long term paying up for high quality Lith assets and they don't come much better than this one. From memory an independent analysis put an NPV on SDV of $US1.6bn vs GXY current market cap of $A800mln and that's after the sale of the Northern Tenements for $US280mln.There is no getting away from the fact a say 30 percent sell down is going to create serious value and de risk the company significantly.. It would provide a huge buffer against any 12 month spod price weakness..