Ann: Outstanding Lithium Grades at Andover, page-132

"Straight to the cleaners” .. "They have taken a long time to decide already".

Yes the share price would more than likely react negatively, but Azure has a multicommodity opportunity. It seems the words “lithium” and “SQM” brought you over to AZS with no previous knowledge on this stock. Two months is a long time to decide?

Moving on, below are my observations to date and would love to read further informative posts.

On the 12^th October 2022, lithium bearing pegmatites were discovered within the Andover project. A week later, Azure further announced high grade assay results, which caused a 60% surge in the share price. Since then, the SP retraced and consolidated back to the low 20s. Now if anyone monitors the buy/sell units, we know to take these with a grain of salt. However, just before the request for trading halt was announced (09.01.2023), there were 3 million sell units in comparison to 1.8-2 million buy units. I’ve seen this before in another mining stock which was acquired by Wesfarmers/SQM and was referred to in the announcement (11.01.2023). It seems corporate investors manipulate the share price by creating an illustration to keep the offer low. Shareholders over at Essential Minerals could vouch for this, being offered 50c/a share.

In my opinion, people are too focused on creating a negative perspective on the German’s selling. Are we ignoring the fact every seller has a buyer... Who’s accumulating? The last 30 minutes of Friday’s trading displayed big money silently operating behind the scenes, accumulating your discarded shares.

Back to the Azure story, before finding lithium, Tony’s focus was on advancing seaview, skyline and the other nickel deposits. This is clear as he previously mentioned only a quarter of the budget is allocated to lithium.

However, this focus was set aside when SQM displayed their interest by investing $4.2M in Azure and are discussing entering into an offtake agreement with a company that supposedly identified pegmatites in October and has not commenced diamond drilling? Now, I find that interesting.

For those that aren’t aware, SQM’ biggest shareholder Tianqi has entered into a SIA with Essential Metals (Ticker: ESS). Who have a defined JORC of 11.2Mt @1.16% Li20. On the other hand, the directors of Dart Mining (Ticker: DTM) announced the entry into an earn-in agreement with SQM, granting the company to sole fund (no obligation) exploration expenditure totalling A$12mil over the next 6 years.

If read between the lines, DTM and SQM entered into an ‘earn-in agreement’, which means SQM are given the right to purchase shares of stock in the event certain objectives have been achieved. This isn’t the case with Azure as the Global lithium producer has entered into a two tranche transaction. What has SQM seen over at Andover which has caught their attention?

On a last note, there’s a saying “follow the money”. Are we seeing SQM following the Australian mining entrepreneur, Mark Creasy? This question isn’t to bait anyone, just my intuition.

Anyways, above is just my observations and time will tell.

GLTA