Great analysis @chuk on your numbers. The technology partner MOU...

Great analysis @chuk on your numbers.

The technology partner MOU with Stamicarbon might be my favourite announcement I have seen by MNB since I have been invested in them. That might sound weird to a few people but I believe it has so many understated positive impacts. Here are my key points below that make me feel even more confident in my investment.

• One of my key risks against MNB investment is their ability to deliver projects. Lindsay is a passionate guy with a great vision and all over the technical aspects. In my experience, I have not seen many people like this with the ability to pivot and led the project delivery in an effective way. They can deliver a project but they will stumble along the way. As opposed to an effective project manager who can deliver to time, to budget and deliver the business benefits.
• Enter Stamicarbon. This is a big big tick for Lindsay. Good leaders surround themselves with good people. And from what I can see Stamicarbon look like the real deal.
• If you havent already, have a look at the Stamicarbon website. This is a good page to start at - https://www.stamicarbon.com/who-we-are/history
• They have a 75 year history in the industry. They started off in coal and have pivoted all the way to green ammonia. They can pivot with the times and have a history of delivering big projects. They also provide continuous support for the Urea plants after delivery, so hopefully something that will extend to green ammonia as well.
• First licencing of ammonia technologies date back all the way to 1953. They have been doing this for a long time.
• Download the presentation on this site - https://www.ammoniaenergy.org/paper/stami-green-ammonia-to-play-a-key-role-in-decarbonizing-the-fertilizer-industry/ It provides a really good snapshot of the green ammonia technology they finished developing in 2021 and are now working on two projects. One in Kenya and one in the US. Their plants are designed to be modular, reduces erection time and site works (page 4). This point really stood out to me!! My first thought when I saw that MNB was saying first stage of green ammonia in 2023/2024 was bulls***. There is no way you can get it up and running by then. But with Stamicarbons experience, hydro already in place, modular designs, plus the further experience gained by Stamicarbon delivering two current projects, this might actually be possible
• In addition to that timeline, MNB made the below statement. MNB had already been working with Stamicarbon without our knowledge. And if they had been working with them on the 200MW proposal, then I think it is safe to assume that they would have had input into the high level timeline provided. "MOU and Scoping Study represents a natural progression of the working partnership, with Stamicarbon having provided technical input for the Minbos proposal to secure up to 200MW of Green Power."

What do I want to see going forward now? Well obviously deliver on the scoping study. Then quickly progress to the DFS (my guess is they skip the PFS). Also, is there any chance that this MOU extends to an equity investment? Stamicarbon comes under Maire Tecnimont group (see page 3 of the above presentation) and are very big. Maybe they will see the very attractive business case and want to be even deeper involved.