Ann: Prospect Completes Strongly Supported $6.5m Placement, page-27

I've been thinking about this fairly critically, and I don't think it impacts any other lithium stocks positively or negatively all that much.

I do think that the merger favours both companies and if i held either I would be Pro deal. Though it would appear many think otherwise.

Perhaps if it does signal anything is that the market is serious/hot about lithium as current. Makes sense, the spodumene prices in now over 600USD/t and has been rising steading over the last couple months like clockwork.

Still a few sooking about the past and allowing it cloud the current and the future.

For context to some of the conversation I had with Nick, they were really stoked to have canaccord on board. These are no slouch and are one of the biggest funds involved in lithium right now. PLL, LAC, NEO.

Interestingly on the merger "One of Australia’s leading lithium analysts, Canaccord Genuity’s Reg Spencer, told management on an investor call that the transaction appeared to be “very strategic and sensible”."

It was interesting as he had echoed my sentiments that PSC was still unknown and Nick confirmed this and said some of the new investors they had via canaccord etc hadn't heard of PSC and the lightbulb was where were these guys 12-18months ago. He seemed to think a lot were actually very favourable on the story and opportunity and was simply a tip and flip scenario. I think that the exposure through them and with the upcoming news along with overall lithium sector sentiment we hopefully start to see that runaway re-rate that many have waited for.

My sentiment towards what the raise would be used for along with the strategy seemed fairly in line with the companies strategy as well. That being when you're negotiating project finance, they know your cash balance and they exploit that to their advantage if it's low. Essentially they let you drain out. He now said, they can go back and basically say we're good for another 12 months so if you want to keep dragging your feet we'll find some else interested. It's not that easy to get 60M or 170M in funding but i do think we're quite close and have all the other necessary things down pat. With a little momentum and some gains this can flick to 100-150m and not be anywhere near lithium peers which are less developed. All of sudden that capital funding isn't so hard with a larger market cap to support it.

Mark tossed in 100k as part of the raise is also positive. The largest shareholder in PSC i'm informed maintained their stake and again speak paramounts to the major shareholders being happy with the direction and must also recognise that we're edging close to pay day.

I sympathise with those that are sitting on losses but only to a short extent. There's been around 5-8 circumstances in the last 2 years to make 50-100% returns if timing your entries and exits. If you bought in 2018/early 2019 you invested when lithium price was falling off a cliff - and that's just bad strategy.

If you bought in 2016/17 then you probably made decent coin but should have recognised the natural pathway of a miner. Hype upon exploration realisation then tapers of for 2-3years through the development cycle. Revisit when production is looking likely. IMO this is the best time there has even been to invest in PSC. Almost everything is done. An operational pilot plant and optimising feasibility studies are really just putting the finishing touches to hopefully get signatures for the capital. Once that's in place this is huge. triple your MC with ebitda for the next 15-20Y. Usually those types of convos are when your 3-5 years away from production. This could make tonnes in 2022 if we land project finance before EOCY i think we will.

It's a good 12 months ahead in PSC land and people are entitled to think otherwise, but i've been making good money here buying the lows distributing in the highs whilst i await for project finance.

Holding for 4 years at a loss entitles you to an opinion but it doesn't make it a very good one.

SF2TH