Hi FFX shareholders, I’ve been absent on this board for a while now as there was just too much low quality posting… that and my work load has doubled..
Meanwhile I’ve been holding strong and adding to my position – that SPP top up is tucked away deep in the coffers.
It looks like some serious players were waiting to see that Ganfeng money in the bank before taking a position in FFX, and now they want IN.
Huge volume being done last week at almost our previous ATH. Fantastic to see.
The DFS outcomes are phenomenal.
This really puts to bed all the doubters about the quality of Goulamina – as if Ganfeng coming onboard didn’t already do that, but I digress..
These final metrics clearly position Goulamina as a superior resource above our peers, and no doubt why the economics supersede that of any other lithium project globally.
This thing is an absolute cash cow and will ultimately be able to pump out SC6 for several decades.
I did not expect $4.1 NPV NET.
LLL should easily command a market capitalisation of $2B (~$2/share) in quick time now, especially given many of our peers are trading above their project NPV’s.
The next stage for the company to consider which will put the valuation in the $8B range will be the addition of secondary processing to lithium hydroxide.
I’ve knocked up yet another comparison table, this time just between two other fully funded developers:
See graphs below which visually demonstrate how undervalued FFX is relative to these peers:
If FFX was valued in line with CXO, it would be trading >$6.40, if in line with LTR, FFX would be valued >$2.90.
I’m excited to see where the market values FFX as we approach the demerger.
I think we will see a valuation of $2b (~$2/share) pre-demerger as people rush in to get an entitlement in LLL.
After the de-merger, I think we will see a combined valuation of FFX & LLL approach $3b (around $3/share).
And those are still conservative valuations relative to our peers.
For those asking to see the numbers when a higher spod price is used, here’s how they stack up at $1,200/t (current contract pricing):
Valuations basically double!
Well done to the longs here, our patience while FFX languished & other lithium stocks were flying is finally paying off. Strap in for the ride!
