@Names little Firstly we have no proof of this but in very...

@Names little

Firstly we have no proof of this but in very rumour is a bit of true.
They could be selling below agreed price but with $AUD going south, they maybe able to still achieve small profit or at least selling at cost.

We could get indication of it once quarterly report will come up with a average selling price.

If we can get cost price for one or two shipments, it is better in our current situation than having stockpile advertised for "fire sale" as that could attract even lower price as beggars can't be ...... .

My only "beef" with them is promoting "finalising" of agreement.
It may sound as nothing but with plans for drilling and fines supposed to be commissioning within weeks, it gave me and I think many others impression that additional sales will bring funds to meet what was planned.

The proper and no misleading wording should be " negotiation are on going" so that could bring question mark on whether or not fines will be ready before end of 2019.

It was very clear that without sales of 100% production, there will be struggle to meet all predictions.

I am puzzled what went wrong with those "strong demands for quality spodumene" when a simple understanding each other could close the deal and IMO it is again "info for mushrooms" what we were told or no told at all.

Most closing contracts are now based on price movement of carbonate. It is a normal in other industries where both parties agree to respect factors beyond their control.

Should carbonate prices crash we should have option of stopping delivery below our costs and go into C&M and I am sure our client will understand our position and shop with others.

On the other hand we can't demand agreed price when costs of spod and conversion is below selling prices as that will get our offtake partner going broke too.

Should carbonate goes up, so should our product.

First rule of negotiating is to hear each parties concerns and work on solutions.

Finalising means solutions were fund and only not so important bits are left.

And I fully agree with you on having reduction/offset in our loan as a part of difference between agreed and selling price if we deliver below agreed price.

I wish Mark could answer question what was the barrier to sign additional offtake and maybe today he regret not going ahead as with all this media publicity, IMO he lost more bargaining power.

Whether he was getting wrong advise or not, the buck stops with him.
$600K a year is for making decisions (and right decision) not listen to others.

Those guys have decades of experience in mining, know very well that every commodity goes up and down and should be ready for changes in lithium demand instead of believing in "blue skies".

Try to call them and ask about offtake agreement. Is in progress or in "finalising" stage?
You will get one answer - this is market sensitive info we can't comment.

MC can no longer use BS "finalising".
In September we will know because without additional sale of spod in very, very, very near future that only sale could be assets of BH.

Hopefully one day we will find out how far were negotiations progressing and be able to attach right wording for it.