Ann: Trading Halt, page-65

I don't have a lot to add to what I posted in this post a month back - Post #:74143016 The process to this announcement is in the embedded post - it is not a left field announcement here. Given they are now talking of funding, as per the previous term sheet I suspect first production has also occurred.

I suspect, based on the financial metrics, that LTR will demonstrate that it will be able to meet short term debt funding commitments - i.e. interest payments - in the current market conditions. So suspect funding will be two fold.

1. A higher interest rate for a short term loan of say two years.
2. The loan has optionality for renegotiation after two years to a lower interest rate as market conditions improve.
3. Left field will be an alternate funding arrangement involving downstream converters/Gina.

LTR will able able to demonstrate IMO that under point 1 above that operating profit > interest payments under point 1 above.

The irony here for all doomsayers is that LTR will survive - furthermore current low prices mean there will be no new supply coming onboard for some time which then means when things turn around (because ultimately China cannot keep producing concentrate from lepidolite unless of course those same doomsayers invested in other lithium stocks think the EV market and demand forecasts will collapse). That is EV demand will continue and prices will take off - although not to the levels of the last rise - that helped PLS a lot meaning LTR will roll in cash after just as did PLS after prices turned. My views on pricing and lepidolite continue to remain as per - Post #:71667622

Those in the industry still there in a year or so will roll in cash, and I remain of the view LTR will remain one of those companies. It is not AJM.

All IMO