Hi Ppaton,What value would you give Lindi?the same valuation as...

Hi Ppaton,

What value would you give Lindi?

the same valuation as the Annual report plus the additional works completed?
This will only be around US$20mil.
if WKT management thought they could achieve a higher valuation of more than US$20mil, they wouldn't have needed to ask for concessions from the Tanzania bank to reduce the SBLC amount.

Graphite is not like a gold project or any other commodity, You only need to look at all of the other graphite project that has failed or failed to achieve their forecast production targets, Will WKT be the next failure? There is more risk in commissioning a graphite mine than there is with most other commodities.
I honestly think if WKT completed a bulk sample and proved its recoveries through a commercial production facility and obtained binding offtakes, they would achieve a higher valuation than an unproven lab-scale development.

IMO, WKT is likely to obtain an SBLC, and they will need to continue the development in stages. By the sounds of the SBLC will be ~US$10mil, (it seems pretty odd everyone knows the figure already) and I suspect WKT will need to raise additional funds from shareholders to pay for all of the additional costs associated with obtaining the new SBLC.

WKT probably shouldn't have blown ~$1.2mil on drilling Black Criag.