I think its your mob that are going to be needing luck, Stirer. The Tanz Govt are clearly wanting to derive the benefit to their economy of having downstream processing in their country rather than having ore being dug up and shipped out to other countrries... only to see the "value-add" going elsewhere.
Luckily, EGR has been prudent and savvy in developing a number of downstream technologies. Not only that, by locating the micronising and spheronising stages of the SPG process, EGR will be saving on shipping and labour costs by locating such a facility in Tanzania. The purification phase of the process is very much a separate part of the overall process. The latter is still proceeding in Kwinana with a 25ktpa purification plant and a products testing facility. It makes total sense to locate purification-only plants within close proximity to OEMs, gigafactories and hubs like so-called "Lithium Valley" in Kwinana.
I guess the prospect of having no downstream tech in context of the GoT's more comprehensive mining regulations is why your company is in all sorts of trouble with its finances. 16% free-carry to Tanz... no drama for EGR... its likely that the benefit of increasing the economy of scale via the greater output being considered will offset that factor. At least our business model is attractive to both the Tanz Govt and EGR's German financiers... and possibly, more attractive than ever for offtakers such as POSCO who clearly want stakes in vertically-intergrated supply chains. Maybe what was perceived as an unwelcome pivot in the EGR story (with Kwinana) was a necessary one that will ensure a more secure and lucrative position in the broader picture.
Anyway, Stirer, all the best and don't let the Spids of this game get you down!
