Ann: MinRes to develop lithium processing hub, page-68

Here is something new that you MINRES LTHs haven't heard about the "jewel in the crown" LJ Project.

Your CEO has labelled it a new Li HUB & which the market has now valued at $1,000M more in your MCap which you bought from POS for $15M cash and 1% royalties.

Date:17/02/21 Time:13:35:05
Post #:51077099

3 years ago I posted this analysis and thread as to the proposed sale of LJ for peanuts by then CEO Peter Harold. Seems MINRES has been after LJ from POS for 3 years in SECRET.

The prior POS CEO David Singleton in 2015 described the LJ project which POS acquired from Norilsk and which it acquired from LionOre for $900M as "the jewel in the crown".
He prepared it for mining restart with a DFS in 2015 and obtained $50M csh funding from the market for this restart of the LJ project until the NP dropped away and it was put on C&M again.

I posted this back in 2021 so you can now read this & realise the massive value and size of this LJ project that MINRES has acquired for a pathetic lowball $15M cash from your current $1,400M cash at bank:-


"Talk of selling LJ is NUTS...
LJ has 2 prior operating mines at higher grades than WSAs flying fox now of 2.9%, a new high grade discovery of Abi Rose in a known nickel area, a 1.5MTpa near new mill same size as at Nova that cost SIR/IGO $800M to build. Also if NH is right that this is a flying fox but better and better grades then WSA with a MCap of $700M ...as WSA would LOVE to get their hands on LJ dirt cheap plus a near new mill tripling the capacity and doubling their grades
Why cant POS do the same as WSA are doing at flying fox, we have a better mill and better deposit.
The path forward must mean to production as its a turnkey operation at LJ ready to go for some time,
remember DS spent $30M on it 2015 to start production there then the NP dived 8 to 4 and it got shuttered again.
With NP at 8.44 today (same as now), LJ can profitably restart even based on the prior DFS of 2014-2015
If it was able to restart in 2015 with NP at 6-7 it can today with NP at 8.44 way higher.
Its a $700M MC sitting and waiting on a plate.

LJ is worth way more than WSA is as it has nearly triple WSAs milling capacity of 0.6MTpa and way better grades at 5.1% rather than 2.9% and can even outproduce WSA current 14kTpa on its own with NO need for BHP tolling.
LJ is worth more than $700M to POS just the market doesnt value it that way as its a cash drain on C&M atm & NOT producing yet, bringing it to production will boom the MCap and boost EBITDA overall.
LJ is a highly profitable high grade large milling operation way better than Nova-Bollinger. On its purchase in 2014 the POS SP near doubled from 17c to 28c
LJ is the JEWELL in the Crown, a phrase coined well by exCEO, DS.."


I guess the POS BOD didnt know its value other than a pathetic $15M cash but the market under MINRES does hence the $1,000M increase in MINRES MCap since the LJ purchase. LJ is a Li Ni HUB with a massive near new MILL in "remarkably good condition" that would now cost MINRES $900M to build itself & the revenue stream can become  $500Mpa to $1,000Mpa imho.

MINRES got the bargain of the century with LJ imho.