Ann: Lithium Drilling Planned For East Kirup , page-34

Why are people still bothering with hard-rock lithium wannabes? Even Talison with the best such deposit in the world is struggling to survive and couldn't manage to get their float off in the midst of lithium fever.

Even the best hard rock lithium deposit has at least twice the costs of a typical South American brine deposit. Its the difference between hematite and magnetite, or nickel sulphide and laterite. While there are high grade, low cost deposits still unexploited, why would you bother going the more expensive route? Sooner or later investors will become more discerning, then its all over for those who have jumped on the bandwagon with no consideration for the fundamentals on the supply side. I predict a very short life for GXY's Mt Catlinn (low grade by anyone's standards) and even Greenbushes is threatened. Its only their non-chemical lithium and tantalum by-products that give them a decent chance of survival, though under low-growth conditions. RVR will have to improve upon Greenbushes to be worth anything. Its not currently a big enough market for a consolation prize.