"Exceptional quality of the product" Not sure how anyone could...

"Exceptional quality of the product"
Not sure how anyone could make that claim with a straight face. It is all hypothetical and likely to remain that way for some time.

"Exceptional" products usually command a premium and are in high demand. An offtake would be validation of acceptable quality yet it continues to lack here. The lack of export permitting is also a barrier although some inroads have been made at the expense of higher royalty and commitment to downstream.

There are a number of issues here, they are selling into a limited market be it china or domestically and very small quantities at that, at least for phase 1 until proof of concept is demonstrated.

The lengthy delay in Glencore dd has introduced a lot of scepticism as to the viability of the product, intentional or otherwise, unfortunately it has destroyed value. Coupled with a rapid deterioration in the sector, it has left the management with some difficult choices. Do you lose a limb or two to stay on course?

Beyond the capex ticket which seems almost insurmountable currently, they will require working capital funding, ramp up is cash intensive and never goes to plan especially in brine world.

Margins should not be compared until they are realised, yet to see a lithium producer come close to their feasibility study in terms of both ramp up and cost, especially in brine.

The small production profile exacerbates the opex sensitivity, the fixed costs however small are spread over lower volumes and any misses become magnified, be it lower recoveries, slower rampup etc etc

Lots of hurdles to overcome, the lack of interest in this name is concerning be it unsolicited or otherwise. For a project with these grades and implied quality ... what is the real issue?

Lots of unknowns and very little clarity provided to put one at ease. Remains high risk

Aimo