Ann: Pilbara Minerals to acquire Latin Resources, page-228

When PLS sold off its interests in another investment earlier this year - which they were questioned about in the last quarterly call - did you worry about us losing that investment asset and increasing our cash on hand? If not, why worry now about picking up a quality asset that diversifies our resource base in geopolitical terms?

Using the simple analysis you’ve used one might say all shareholder’s increased their share value when that other investment was sold offsetting what you see as a reduction in share value picking up LRS.

Please note, I don’t agree with the sentiment of a decreased share value caused by picking up LRS for script … I see it as a greater number of shares on offer but the intrinsic value of PLS post-LRS-acquisition will be greater than before and so the value per share has not decreased. The extent to which it has or will increase is then contingent upon what we do with the LRS assets and perhaps more importantly, when.

It may be we generate increased value per share by simply NOT progressing development of LRS assets until a more opportune point in time in the future, such as once Calix tech for midstream products is confirmed via our pilot plant and after IRS compliance is achieved for Brazil with the US, and in the meantime one more tier 1 large quantity mine is held back from production in competition with our existing operations.

Disclosure, I picked up LRS shares prior to it undertaking much of its exploration work and am happy now for the money I put in there to be converted to more PLS shares as it gives control of the development of that exploration work and operation of the eventual mine development to the PLS board and all of their stella know-how, capability and contacts…