ARL chart, page-3525

New EU legislation passed on the 28th of July support recycling initiatives but there are longer time frames for this part of legislation I guess inline with Spekul8’s comments on reaching capacity.

Article is on the nickel institute webpage https://nickelinstitute.org/en/blog/2023/august/the-eu-battery-regulation-what-does-it-mean-for-nickel-producers/


It’s really interesting to note there is very little acknowledgement of global policies that are only just starting on future nickel/cobalt demand and pricing.

Regardless of policy consumers will demand ESG fund managers will require it, nickel suppliers like Indonesia will have to spend big to get it.

These policies all provide a transition timeline even the US IRA whilst in place only recently will escalate over the next few years from 50% to 80% content indeed we will see massive growth in demand just as these policies take full effect.

Our Japanese partners, large commodity traders understand this and when the JV announcement is released with strategic off take agreements soon to follow if not simultaneously the market will perhaps start to recognise what’s coming.

The largest nickel cobalt miner in Australia hitting the market at a critical global supply demand deficit stage.

Of course ARL will have to issue new shares as part of our joint venture, it could be in this process there are significant funds left in Ardea to further develop our other assets without further need to cap raise. I have mentioned before I am extremely fascinated to see the make up of this deal, I am not concerned with diluting, our low volume of shares on offer could quadruple and still be regarded as low given the size of the project.

A JV won’t fully de-risk the project of course but the quality and commitment of our partners along with strategic off take agreements will certainly set us on the path.

Good health and good investment luck everyone.

Rewop