What I see is the, team actually trying to get us to commercialisation.
It is no easy path or for the faint hearted.
The toughest period is after the initial euphoria, after the hype.
I have seen it with many of my other stocks that have crashed down with the reality of a depressed market and a controlled supply chain....both narratives driven by China.
This orphan period we are in is the toughest period for any junior, faced with the harsh realities of raising capital to get to the next stage.
Many investors have run out of time and out of patience, with the continued rhetoric of advanced talks and high level dialogues....I get it.
However, we recently have had a few things fall our way which will help to accelerate the process, and get us over the line.
Make no mistake, the Chinese nationalisation of the entire Chinese rare earth industry, processing, IP, refining, and output is big.
I must sound like a broken record, but this is an extreme radical shift, and in my view will force the wests hand.
We have not seen such extreme measures with any other commodity
For the west, Stop sooking and start paying...start developing...or risk losing control of your defence and EV and wind turbine, and medical, and tech supply chains.
The reality of what is happening-
February Fighter jets such as the F-35, a Lockheed Martin aircraft, rely heavily on rare earths for critical components such as electrical power systems and magnets. A Congressional Research Service report said each F-35 required 417 kilograms of rare earth materials. and Raytheon is our biggest missile manufacturere.
And
Beijing has announced sanctions on two American defense contractors while its top diplomat accused the United States of using Taiwan to suppress mainland China.
China’s Foreign Ministry said Monday it would impose sanctions on Lockheed Martin Corp, the maker of F-35 fighter jets, and Raytheon Technologies Corp, the world’s largest producer of guided missiles.
How desperate has Lockheed Martin become?
July
Last month, Chinese mediasaidsome sanctioned foreign defense contractors had smuggled a large amount of rare earths out of the country by bribing executives of Chinese suppliers. They also said some Western spies had tried to steal China’s rare earth processing technologies.
They said the Ministry of State Security briefed them about the situation without naming any company but they believed it was referring to US firms such as Lockheed Martin.
They are smuggling material and IP out China!!! Using Spies......Bloody insane!!! Industrial espionage with possible CIA involvement.
Getting the picture?
And This is just the beginning...
As tensions rise, more US and EU companies will have bans imposed.
We also have the new Labour Government in the UK, who is supportive of green initiatives like ours and would support our recycling Belfast operation, as well as the ban on exporting rare earth scrap or end of life material. Once it is in the EU, its there to stay, and cannot be sold to Chinese recyclers.
It just ticks so many boxes. ESG green tick Recycling, reduces landfill and repurposes existing products Minimises new mine development Local supply chain with the UK now having rare earth oxide sovereign capability Decouples from China Assists local EV supply chain Assists local defence industries Boosts the Northern Ireland economy. Is modular, easy and cheap to build(as compared to a mine) and can be replicated through UK and EU...and eventually US/Canada.
No wonder, the Boys are in the UK, to continue championing our cause.
And now we have Mr.Lynch..
Do not underestimate his prowess, his connections and his ability to crunch a deal. He won the bid for North American Lithium from his basement during Covid, including beating out a couple of late charging, connected locals. He still is the only CEO to start a lithium mine and processing plant on time an on budget in North America that's currently in operation. He has deep ties to Quebec, and is on good terms with Fitzgerald, Champagne and Trudeau.
So with these tailwinds, tailwinds we previously never had, and lobbying by Tim and now Brett, we may just be setting up the perfect storm to be the beneficiaries of further funding and support.
IXR Price at posting:
1.0¢ Sentiment: Buy Disclosure: Held
(20min delay)