Ann: RK Lithium Project - IRPC-YX Project Visit, page-2

This shouldn't be a secret right ... YongXing has been referenced a few times in PAM preso's in the past.

The key (for me) is obviously the cost curve



So roughly CNY55,000 (~US$7,560) as Cash Cost for Yongxing processing 0.39% Li2O Lepidolite in its "home base" of China. So that appears to be the lowest cost of the Chinese lepidolite miners that report separately (per Soochow Securities).

There is significant variance there between the miners ... so I interpret that grade matters and in all likelihood so will the flowsheet and any IP related to processing. This clearly why PL wants the partner - the Chinese partner - to be to party that completes the Feasibility Study for RKLP. In some respects I guess this is similar to Iggy Tan "dream team" strategy of replicating the same lithium carbonate processing facility that "he built" for Jiangsu Lithium to process Mt Catlin spodumene into Carbonate but this time doing it in Quebec.

I'd be watching really closely what the cash cost is there for producing lithium carbonate from spodumene in Quebec ... comparatively speaking. Even in this down market, there remains significant margin in the production of carbonate. And that carbonate needs a "local home" ...as I understand it PTT & Gotion have a JV (NV Gotion) to produce LiBs (2Gwh capacity and has reached first production in DEC'23) and also PTT (subsidiary Arun Plus) with CATL. That's the PTT connection ... on the Lithium side its via IRPC and then on the Battery side its with its JVs with Gotion and CATL. There is also a JV that PTT (60%) has with Foxconn (40%) to produce EVs (50,000 target in 2024).

What I want is something I know I can't get ... that is a JV agreement fully fleshed out by the end of this Qtr (so % per partner, capital contributions etc) with a completed feasibility study and FEED ready to start in the Dec Qtr ... so I'm guessing by end Sep we'll get some notification of selected partner(s) intent to proceed and subject to completion of feasibility study (by partner) ... and if not that, then I'd be concerned.

For me the share will move with news on JV progress. I would have thought that the partners are all long term participants in "New Energy Ventures" ... so would be able to manage through troughs in the price cycle ... and so PAM shouldn't really be that connected to the beaten down price of Lithium Carbonate at present.

As usual my view and my opinion and it wont change on the adhoc comments of posters with an axe to grind.