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clock Created with Sketch. 12/12/23
13:34
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Originally posted by toly
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I was able to make it up to Cairns last week and sailed out to Osprey reef for a bit of Scuba before heading back to Colorado. Australia is fortunate to have such a beautiful natural wonder and the trip allowed me to enjoy the reef and ponder my investment in Lynas. What I came up with is my 3 biggest reasons to own Lynas as an investment…Market Quite simply, Lynas cannot meet the demand for their RE products. Amanda has recently mentioned this and is acting accordingly. The recent shutdown is emblematic of Amanda’s aggressive expansion program making the LAMP more efficient while increasing capacity. Supply lines have been secured for critical customers and Amanda held back RE products to continue to have the ability to supply them. The RE market is rapidly growing and environmental opportunities should only escalate that market…Assets The total value of assets is also somewhat subjective but it will suffice to say that they are substantial and for the most part are company owned. This includes one of Amanda’s favorite topics, Mt Weld, the well developed and sustainable mine that provides the unprocessed ore to Kalgoorlie. The Kalgoorlie facility is coming on line just now and will be doing the cracking and leaching (C/L) the ore where is is preprocessed for shipping to the company owned LAMP (separation processing plant) in Malaysia…Australia The last reason is subjective, but with uncertain outside economic forces, Australia appears to be a solid place to keep assets. Most readers know that those of us in America face a turbulent political year and I question the USD’s strength through this process. There are a few currencies that might be a safer alternative to the USD, however in my opinion Australia is on stronger financial footing backed by tremendous amounts of critical materials which are impacting the global markets in many ways…
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Great analysis toly, and I enjoyed dinner with you in Sydney and chatting together with Board members after the AGM.
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