Ann: Lepidico Update, page-80

This is a typical LPD blurring of the facts, The March Quarterly clearly states "DFC and commercial lender due diligence can resume once the chemical plant ownership structure is agreed" In the latest quarterly they conveniently shove the need for this strategic partnership within the discussion of the mine finance, LPD only need a minor partner for Karibib, I don't know why we would even need one ? if we got around $50 miilion US from DFC .

The situation is as follows: LPD say they have a binding offtake for concentrated ore (on the threshold of being signed) with a Chinese company. The reason for this is that the Chinese are currently the major manufacturers of lithium chemical from lepidolite. Notwithstanding it has been pointed out by certain news outlets that they are finding it uneconomical to produce lithium from lepidolite because of environmental constraints imposed on them by the Chinese government. this info is a little opaque so I don't know how truthful that comment is.
Further to that is the fact that DFC won't lend to us if we get a partner for the P1 plant that is a foreign entity of Concern which includes the Chinese.
So, as I have pointed out several times before, The question that needs to be answered (1) when will we get a strategic partner for Abu Dhabi that is not a FEOC
(2) We can't sell any ore until it is beneficiated because we need the 50mill to get the concentrator going , how long will that take after point (1)
and
(3) Does anyone think that the DFC will lend us money to sell ore concentrate to the Chinese who are a foreign entity of concern?
I don't think they will, I think they will give us the money if we sign up for plant finance with an acceptable entity,and for us to supply ore to that P1 plant

Side stepping to commenting that Karibib finance should be resolved first is somewhat of a smoke screen to cause confusion and initiate a belief in shareholders that we are on the threshold of gaining finance and product sales. The statement we are expecting binding contracts through October is just adding to the expectations of shareholders