Very informative Annual Report and everything is on track,...

Very informative Annual Report and everything is on track, excellent.

"LIS does not currently generate any significant revenue and intends to derive revenue from the following activities:
1. Supplying BNNT and Li-Nanomesh materials and know-how in relation to the application of BNNTs and LiNanomesh in the construction of a battery cells to battery cell manufacturers in order to enable them to produce
Li-S batteries, Li-Nanomesh and know-how for other forms of battery that can make use of this material;
2. Engaging product OEMs in collaborative projects to retrofit and test Li-S batteries in their products; and
3. Licensing LIS’s intellectual property to battery manufacturers so they can produce LIS batteries for product
OEMs."

"As we approach completion of our Phase 3 facility we are also turning our attention to the longer term. We have
developed plans for a 200MWh facility in the coming years, that will be able to produce commercial quantities of batteries
for the first time and generate significant revenue. This is a significant standalone project that is not tied to the location
of our Phase 3 facilities in Geelong and we anticipate leveraging support from Governments and partners as we progress
our plans further. Into the long-term we continue to anticipate lithium sulfur gigafactories on the horizon. However, it is
increasingly evident that capacity increase is best served by technology licensing since we believe that re-tooling of
existing facilities is more viable than a greenfield new build.
We are a proud Australian business with our facilities in regional Victoria, but we are also conscious that we are operating
in a dynamic global industry that will present opportunities to build our international capabilities and capacity alongside
our core Australian R&D and know-how."

"PRODUCT DEVELOPMENT STRATEGY
During this financial year the Company has continued to execute its product development program in accordance with
the strategy outlined in its Prospectus. The Company remains focused on four key areas:
1. Continued optimisation of Li-S technology.
2. Production of Li-S batteries in various formats for a range of different applications.
3. Build the production capacity to manufacture batteries in the necessary quantities to supply partners with
enough batteries to undertake testing.
4. Develop and secure the intellectual property to facilitate the conversion of lithium-ion battery manufacturing
plants so they can produce lithium-sulfur batteries."

"INTELLECTUAL PROPERTY
During the reporting period, LIS has stepped up its focus on intellectual property management with the establishment of
an IP Management Committee to review current and future IP and develop strategies for IP protection from patent filings
to trade secrets.
Data retention and security is also important and we have been able to leverage the cybersecurity expertise of both
Deakin University and PPK Group to protect our important data that exemplifies our novel and innovative IP.
Of our existing portfolio our flexible lithium sulfur patent has moved into national phase examination in key jurisdictions
and other IP has moved into the PCT phase of protection. We have received positive International Preliminary
Patentability Opinions on our anode and cathode protection inventions so will look to accelerate full examination of this
valuable IP. We continue to review all new IP created and look to protect it where appropriate via the patenting process
or as a trade secret."

"NEDs sacrificed total Director fees of $80,000 for 160,000 Service Rights and the Chairman sacrifices total Director fees
of $120,000 for 240,000 Service Rights for each 12 month period. There is no amount payable other than the sacrificed
fees for the Service Rights. The Directors believe that accepting Share Rights in lieu of cash remuneration aligns their
risk/reward with that of the Shareholders."

BOD's are accepting shares in lieu of cash - at 0.50c per share (V current share price of 0.28c). Got to like that!!!

Future is all about Licensing, Licensing, Licensing!!! Which will be $$$, $$$, $$$!!!

IMO DYOR