Love this, it's quite plausible with how Albo's throwing cash...

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Giovanni33

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18/04/24

06:46

Post #: 73397698
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Originally posted by Gutshot99: ↑

My theory on the announcement delay
ARL is waiting on conditional approval from Export Finance Australia for an amount circa $600m (roughly 20% of total) from the critical minerals fund. Once this is received the following will occur
- ARL is able to bring to the JV, great asset and conditional loan of $600m dependent on DFS
- JC can then go to stakeholders and get funding for DFS as they can advise the above and will receive 15-25% equity and preferential off take agreements to fund the DFS and providing mining knowledge and experience in laterite mining.
- Agreement signed
- DFS will occur with the already approved suppliers of the now JV.
- DFS comes back as expected
- Export Finance Australia approves $600m based on DFS
- JV can go to market and easily obtain senior debt funding for the build as it has, great asset, DFS, mining knowledge, off take agreements, mezzanine debt funding of $600m and experienced JV
- ARL JV now has Mezzanine and Senior debt funding at cheap rates to build and start mining.

this is my speculation and not compiled with any facts.
DYOR and GLTAH

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Love this, it's quite plausible with how Albo's throwing cash around right now.

As a side note, if government funding (even conditional) was to be announced at this stage, you would see the MC absolutely fly (thereby limiting our dilution).

Last edited by Giovanni33: 18/04/24

ARL Price at posting: 73.0¢ Sentiment: None Disclosure: Held
1 Upvote

0 Great analysis

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