Australia's largest stock trading and investment forum Australia's #1 stock forum

LPI

0.00%

56.5¢ lithium power international limited

Some fresh air is good for your health !

First 17 Last

Share
Profile

Follow
inside2020

1,113 Posts.

64

29/04/23

04:24

Post #: 67519601
Share

Originally posted by FreeflyerNZ: ↑

I sold all of what i had in March 2022. After going through all the announcements and worleys technical report i decided it is not for me.

Since then I haven't bought a single share, nor do I intend too. I follow the lithium space closely and so Chile and this project, and having been a shareholder in the past intrigues me.

I'd recommend investors to do their own due dilligence and look at the finer details around what the company has said in past announcements and technical reports.

Apart from the big picture, ask yourself what is missing from what has been previously said. Also consider other people's opinions, negative or positive, and question them with more research.

Classic example is when holders tell me the EPCM has been completed but provide no source. It's funny because I know that it is not in any ASX releases, how? Because I've read them all.

Yet every other company announces who is in charge of the project and the completion of the final proposal. LPI said it would be completed mid last year. It's crucial. It is needed for construction.

Go through all the quarterlies and see if they intended to do anything that is now not mentioned. Carbon footprint metrics etc.

Is the salt removal plant really increasing efficiency as LPI says? Maybe. Or was this deemed as a must have plant for the project to be even be viable in the first place. (technical report from Worley 2019).

Some may see a win on the horizon if a takeover occurs but how long that'll take and how low will LPI's shareprice get will be anyone's guess.

In my experience I feel companies will always say finance activities are progressing and discussions are ongoing with multiple parties interested. What often is the case is companies will say this for a long period of time with nothing to show.

When they say someone is willing to fund 70% of the capex it is to be taken with a grain of salt, as quite often the terms can be so shocking that there's no way LPI could accept the deal.

This could be at an extremely high interest rate, most probably requires a binding off take which could take months in itself. How long has Mitsui had to decide. It could also state that LPI must have 20% of the capex in cash and equivalents. Who knows. We will never know.

A lot of things have to add up and they will tell retail as much as they can that all is progressing well. Until they are forced to say, categorically, that it isn't.

I don't trust management, they haven't given me reason to. I don't trust Cannacord leading the financing activities.

I don't care if people sell, I don't care if people buy. None of it effects me.

I also know that non holders are met with defensiveness, most of the time rightly so. Investors should decide themselves if any of my points are valid through their own research.

I'd also argue that following a shareholder with a very large holding could have just as much of an agenda as someone who doesn't hold.

Expand

Some fresh air is good for your health !

LPI Price at posting: 32.0¢ Sentiment: Hold Disclosure: Held
Upvote

0 Great analysis

Reply

Top Stories

With financials holding the fort, materials must step up with some heavy lifting to stimulate stocks

AML

Cultural heritage agreement puts Walford Creek exploration back on the map

RDN

If you thought lithium was dead, think again. The Pilbara will be central to the next upswing

STX

Strike Energy secures $153 million for Perth Basin gas projects

SBW

Shekel Brainweigh CEO Nir Leshem weighs in on AI adoption ahead of FY25