Partnership Process, page-23

Lithium is a speciality chemical it's not a commodity like iron ore or copper. Accordingly you can't compare them to each other. We are in the early stages of the Lithium boom. The price collapse of 2018 in Lithium prices in China had nothing to do with lithium. The lithium prices in China were inflated to the extent of 40% due to "perceived shortages" and were only deflated back to ex-China prices. That chapter is over and markets are now slowly restocking inventory again. We will most likely see a spike again in later half of 2019 or early 2020 in the battery grade lithium prices.

Back to valuation. Control is normally at a 20% to 30% premium and we are not contemplating a takeover here. There is no reason for PLS to sell at a discount to Wodgina deal as it is the last resource of it's size available to any major player. For this reason I expect the price to be at a premium and not at a discount. My base price therefore; comes to US$3 billion or A$2.3 per share. A 30% interest would therefore require the buyer to inject US$1.2 billion into PLS.