Good time to revisit notes taken from the recent Cowan AGM...

Good time to revisit notes taken from the recent Cowan AGM concerning GXY recent involvement.

https://hotcopper.com.au/threads/cowan-lithium-agm.4746853/page-88?post_id=38889298#.XVPVtOMzaUk

Q: Can you provide a bit of colour around the Galaxy placement and your relationship with Galaxy

A: Mark Calderwood - Yes, we have got on with the Galaxy guys well for some time, we have picked their brains a few times on things, their plant is very similar to our plant as well. We needed to do a fundraising, the beauty of someone like Galaxy is that they are strategic, at the same time though we brought JT up to 9-10%, Galaxy will be at 11.8%. So both almost have a blocking stake, it's more for the potential of developing business down the track. In this market where the Chinese try and divide and conquer us in terms of negotiating prices and the extra knowledge base is probably handy, the ozzy’s need to work a little bit more together than we have in the past perhaps. They have a wealth of experience both JT and Galaxy and as decent shareholders we can discuss issues of benefit more going forward.

Q: How would Galaxy with their mine life diminishing and not much future for it at this stage, they are saying that Alliance and Cowan’s land is prospective and it could be this and it could be that - how on earth would they benefit from that. My first thought is that they would truck the earth down to their place and crush it. How would they benefit from Alliances land in other words.

A: Mark Calderwood - I think from their point of view its a bit of a long shot other than the fact they are are talking downstream, i think it was mentioned yesterday in their meeting that they are looking at downstream and it gives them maybe potential to access more product beyond their mine life because people may say - well your mine life is short what are you going to do in ten years time, obviously they have their other projects of course but it gives them another way in Australia, not in their name but they can come to us and say - can you supply us 50,000 tonnes of product, at least we will listen to what they have to say on the downstream and they may even invite us into that downstream JV at some point down the track, or we might do something else together in WA, there is lots of different things, believe it or not i actually haven’t spoken to them for a few weeks now and haven’t talked of those things for quite a while. $A40 was just very cheap for them, it stops someone else coming in over the top, we both ship from the same port, maybe they will sell us their plant later on when its run out of Ore, who knows, there's all sorts of things you could talk about. If they wanted to take us over they would have to do it in a friendly way, because of the dual listing - the Singapore listing and the Australian listing it is quite difficult anyway, there are restrictions in relation to those two listings and the fact that we have a number of shareholders that could block it quite comfortably, whatever happens has to be fairly friendly.

Q: It would just be such a shame in my opinion to come up in a couple of months and say we will give you 45 cents a share.

A: Mark Calderwood - Well it's up to shareholders to say no at the end of the day, there is plenty of big shareholders that put money in at 40 cents so they won’t be to impressed with a bid like that.