Having read through the "Proposed subscription byCEZ a.s. for a...

Having read through the "Proposed subscription byCEZ a.s. for a 51% interest in Geomet s.r.o and Notice of General Meeting" document, there are two statements, which make my head ache. Each statement read in isolation appears to make perfect sense.

However, when considered together, something simply does not compute:

1.) page 10, Section 2, first bullet point:

The previously unclassified resource has been developed into a JORC-compliant resource containing a combined 7.22 million tonnes Lithium Carbonate Equivalent and 278,000 tonnes of tin. This makes Cinovec the largest lithium deposit in Europe and a globally significant tin resource.


2.) page 14, Section 11:

If Shareholders do not approve the Proposed Subscription at the Annual General Meeting, the Board considers that the Company’s ability to progress the Cinovec project may be adversely affected and that it may not be possible to secure alternative funding to progress the project on acceptable terms within an acceptable timeframe, in which case the value of the Company’s holding in Geomet mat be substantially impaired.

I find it really difficult to reconcile the two statements. Unless we are not being told the whole story. If statement 1.) holds, then statement 2.) simply tells me that we need a different, more capable Board... Unless we are not being told the whole story.