Ann: Lithium Chemicals Co-operation Update, page-27

Been on the sidelines here watching, generally don't post unless I hold, but I have been buying NMT recently as it seems to have been caught up in the wider Lithium collapse and I think the fall has been well overdone here, mainly, because its not really like the other Lithium plays.

Case in point is this announcement. Looking at the intraday, they dropped this announcement and the SP collapsed. When a pretty low buy order I had triggered an alert, I thought there must have been a rate rise or something given the rough timing of it.

So its marked as not being market sensitive because when you read it, it isn't market sensitive although the market reaction tended to suggest it was - but that isn't the test. It was a rough day for an already spooked market.

The announcement could be worded better, but when you cut through the corp-speak, the company has provided an update that the parties (ie. them and us) agreed to let the agreement lapse because there's an intent to update the previous agreement, something that is a continuing process, as are the funding arrangements. To speculate the deal if off seems pretty extreme and its not how I read it at all, in fact, there is potentially some upside that the company are seeking more favourable terms. We'll know soon enough, when they update, but if it continues down here I will keep buying it.

If you are a holder you probably had your calendar marked for an announcement on or before 30th September to ratify the agreement, so when it didn't come, the company was obligated to update the market, which they have done.

I am happy to play on here and pushing some further cash across for some buy orders if further panic sets in on this. It's a good company dealing with some pretty solid partners to commercialise their product in a relatively unique niche.