I missed all of the excitement this morning as myself and Mrs W2...

I missed all of the excitement this morning as myself and Mrs W2 were out having a long breakfast with some mates planning their next adventure to Southern Africa which is the typical activity of successful lithium investors these days. Work...... yeah I do remember that.......well that was something we used to do but is not necessary any longer.  

I have seen some big dummy spits but I take my hat off to the AVZ Crew as this mornings dummy spit is up there with the best of them. I cant imagine what it would have been like if in fact AVZ had presented BAD news. Before I go on I have to say:
"Was that really the AVZ crew throwing a big dummy spit this morning??

I have seen a huge variety of posts this morning from  names I have never seen posting on HC about AVZ before!! I read virtually all posts made in the last year and we have a fairly stable posting base. I cant prove anything but my instincts and experience suggest that a whole herd of shorters got onto our thread this morning to spread doom gloom and accusations of very poor management. In "short" (excuse the unintended pun) you poor souls who today have sold 40m shares on the ASX and Chi X are IMHO  being taken to the cleaners.

Why is it that some investors don't quite get it and allowed themselves to part with their shares so easily you may well ask??? Well having been involved with a whole bunch of explorers in the past 20 years I can tell you if you don't already know and that is that there is one thing that EVERY exploration company wishes it had more of.............(drum roll please)............... Yep its CASH!!!!.

Cash is the lifeblood of all companies but is even more so in exploration companies because they don't have a steady inflow of cash because they normally don't have any operations underway that throw off any profits and cash flow. This really is "Investing in Exploration Companies 1.01"

Lets now bring this back to AVZ's current situation. We  have had 7 holes from the preliminary round of drilling of which 3 were absolutely spectacular (I like calling them "Bonanza" holes because it was like winning the lottery) in terms of width and lithium content. We also recently were told of another spectacular 295m drill hole at Roche Dure but still await the assay results. Crikey that is nearly 3 Rugby grounds in width!  Can you imagine how cheap that would be to mine?? Far out!!!

Despite our well held beliefs on the value of AVZ there has just not been enough information for potential suitors to pay say A$900m to A$1Billion for a takeover offer. You see they not only want a JORC resource but they want to see a BIG chunk of it in the "Measured and Indicated" categories before they will part with there hard earned CASH. That cash word just keeps coming up doesn't it. it is not always hard to accumulate and wise companies treat it with the utmost respect and diligence.

Now please stay with me just a bit longer

Guess what?? We now have enough CASH to complete not just 20,000m of drilling ( equivelant to nearly 60 drill holes @ an average of 335m depth per hole) but another 20,000m of drilling to put the potential overall size of the deposit beyond any doubt PLUS make a lot of headway in completing a PFS. This is the information is required by any company wishing to partner with the mine development or takeover the entire company. This is what we as long term investors really need. Once we have that information in about six months time, the potential true value of AVZ will emerge in a credible format.

Would it have been nice if the cash came from Apple , Tesla, BMW , Mercedes, Donald Trump even??? Well in short it doesn't really matter. All that matters is that we have enough CASH to demonstrate to the world what we have at Manono

Enjoy your afternoon folks
Warmest regards W2

PS About 95% of all CRs are done at around 15% discount .......

"Investing in Exploration Companies 1.02" ​

please get over it.......move on for heavens sake...its all about getting some cash.