I'm afraid your comments on LTR's pricing mechanism are not correct. Let me refer you to LTR's DFS ASX release dated 11/11/21. Page 14. "..the price of SC6 will be determined with reference to the Lithium Hydroxide price, the objective of which is to achieve an outcome that is at least as favourable as the spot spodumene price..."
In the DFS, LTR uses the SC6 spot price without any adjustment for either a discount against Roskill's forecast SC6 price or a premium. Hence they are assuming that their LiOH pricing mechanism will deliver the spot SC6 price.
Hence using the SC6 spot price in any FCF calculations is perfectly consistent with the methodology employed by LTR in its DFS.
News: LTR UPDATE 2-Albemarle to cut staff, pause expansions amid falling lithium prices, page-25
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Last
74.0¢ |
Change
-0.030(3.90%) |
Mkt cap ! $1.812B | |||
| Open | High | Low | Value | Volume |
| 77.0¢ | 77.0¢ | 73.5¢ | $11.04M | 14.75M |
Buyers (Bids)
| No. | Vol. | Price($) |
|---|---|---|
| 1 | 39374 | 79.0¢ |
Sellers (Offers)
| Price($) | Vol. | No. |
|---|---|---|
| 67.0¢ | 6516 | 1 |
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| Last trade - 15.59pm 04/10/2024 (20 minute delay) ? |
| LTR (ASX) Chart |