Main thing is the current hostile lithium market condition, no good demand for spodumene at this moment. Looking for alternative customers will be hard, including the ceramics producer in Europe.
JV term sheet is signed as expected. Will not have a realistic impact till 2020/2021.
Shipment is delayed, stockpile is building. There’s a chance Jiangte may not take the August shipment too.
Production cash cost still remains high, fines circuit construction temporary stopped. Cost will still remain high for a period of time.
Drilling is also affected, all efforts to conserve cash.
Nothing unexpected, the survival of this project is linked to the lithium market condition. Sales is the key issue.
A40 Price at posting:
12.5¢ Sentiment: Hold Disclosure: Held
