Ann: Quarterly Activities Report - December 2023, page-172

This aspect of the quarterly report hasn't received much attention yet, likely due to the confrontational nature of some individuals here fiercely defending their safe space:



It'll be intriguing to see how the dynamics and pricing in the lithium market impact the strategic partner process. IMO, the fact that it's mentioned in the quarterly report suggests there's some noteworthy influence. It appears that this inclusion might be a preemptive move by JZ to manage expectations and mitigate potential criticism if the strategic funding deal doesn't turn out as favourable as initially hoped.

The implications could range widely - from intense negotiations and the departure of the original partner to a more dilutive contribution on AGY's part or a shift away from attracting Tier 1 parties. Whatever the effect is, it seems obvious that the effect isn't positive, given the challenging conditions in the lithium market.

Prospective partners obviously hold a strong negotiating position given the current market conditions. They're likely aware of AGY's somewhat vulnerable position and may be playing hardball, knowing they have alternative options for securing offtake agreements with other producers.

It will be interesting to see how it all plays out.