Ann: Offtake Update, page-225

Started reading this thread, but then skipped a few pages as very repetitive. Not sure if this has been said by anyone else (hopefully a new contribution).

This really did not surprise me because are we not a little ahead of where Tesla is in the game? We will be producing next year and where does Tesla have a conversion plant to process our spod? I know they are talking about lithium production, I think they are looking at Texas, but how long does it take to build and commission one? At least 2 years absolute minimum. I guess they could have thought about an agreement for conversion through China, but with the IR act that is not attractive. Time lines completely out of whack, if anything this would be reevaluated into the future.

Apart from that I have heard that Tesla require a 10% discount for being associated with them. As others have said, based on the commentary out of PLS, no need to sell anything at a 10% discount - demand is huge. I am sure that there will be a founding offtake formula for the other two, the formula providing some index based discount, so this going straight to spot should be seen as a huge positive on average selling price. Selling spot into 2023 will be a beautiful thing.

Today is only a bad day for nervous Nellie's!