Ann: Beyondie SOP Project - Activities Update, page-279

RrefreshNow

"* From their update 'commissioning issues identified in the SOP purification plant due to initial variability in harvested potassium salt feed grades'. Of all the statements in the update this is the most worrying because if the input grade isn't as expected then what does that do to the guarantee of the consultants for the plant to work that lots of people are relying on as somehow overcoming all obstacles. Will this mean less SOP being produced, more effort and therefore cost to produce it, more changes to the plant being required to process the variable graded or I don't even want to say the last possibility that everyone is dreading"

Your concerns do not seem to be echoed by the company statements:

"Kalium Lakes considers that many of these variability issues, although initially impacting the commissioning
and ramp-up programme, are readily and regularly managed under commercial operations."

So, it would appear that despite an initial impact on the programme, the issues are "readily and regularly" manageable. No mention of your ad absurdum "possiblity".

Furthermore, the so-called (by you) "big problems" for shareholders appear to be being dealt with despite the impacts of Covid and the usual teething problems:

"The Kalium Lakes and EBTEC teams are jointly working through the SOP purification plant commissioning
and ramp-up issues in a systematic manner. These issues are expected to be fully resolved in accordance
with the performance guarantees provided by EBTEC."

We can always speculate that disaster is on the horizon, especially when there are some delays, but the company doesn't seem to share your concerns. They have been upfront with their assessments of the current situation and realistic about the future success of the project. Perhaps I'm just a glass half-full type of person but the issues that have been mentioned by the company seem to me to be normal teething problems encountered by a wholly new process and will be resolved in a safe and satisfactory manner, leading to a profitable and successful company of the future.

The share price currently reflects the worst-case scenario and in my opinion is ridiculously cheap. Time will tell. Of course, there are no guarantees (except from EBTEC) but I remain positive. GLTAH.