I think it's wrong to think of them as free shares, as a...

I think it's wrong to think of them as free shares, as a shareholder you own both Morila & Goolamina. They are just allocating you your share in the spinoff, you've already paid for them.

Lithium Co is going to need some capital. Morila's capital is tied up until we start producing from the main pit. Even when we go to 80k oz/pa with the satellites, those profits will fund the main pit development. As a separate listed ASX company FFX cannot finance Lithium Co unless it takes some equity in it, which defeats the whole purpose of the spinoff. Lithium Co will need a capital injection, I think most likely from a partner - possibly from someone presently in the data room. The alternative is some sort of placement. Debt could be used for some of it, I'd suggest only up to around 30%. I'm sure the Doc has something in mind.

If we do bring in a partner, considering Goolamina has a NPV of US$1.2billion, I'd like to think they base it on a % of the NPV not Lithium Co's current market cap.