ASX Today, page-42247

I think from my perspective, being objective, there were some negatives but there were also a lot of positives.

First positive is that there is strong demand for our output which as stated by others, indicates the "oversupply" narrative is not quite what the doomsayers hope for.

The second is about the demand side, which also confirms a lot of what has been mentioned on these threads regarding EV adoption etc... It's effectively a time for patience as an investor. However, I am mindful of the messages out of the 4 Corners show last night that China may continue to exercise a degree of control of the markets in pursuit of its own ends. For LTR, we are positioing ourselves as a reliable and mid range cost producer with western orientated partners.

The negatives are the time to reach about 70% (not 78%) recoveries which they are saying might take until late 1st quarter 2025, I thought was said. And also that the targeted concentrate grade will remain at 6% for now but that again, it will take some time to achieve through the plant, and that it will be subject to refinement if the economics of a lower target make more sense. The impact of those two factors are 1) that our tonnes of mined ore per tonne of concentrate will be higher which means higher cost per tonne of spod concentrate; and 2) that the income from our concentrate will be less per tonne than we would achieve if it was 6% or better.

We do not know as yet how this will pan out, and nor do we know where pricing will be, but the forecasts were not a surprises to the upside. Despite these comments we remain well placed now we ARE in production, and HAVE the necessary finance, to weather whatever storms are ahead. Long term, our spod is in demand and when the EV adoption in western markets does gain traction, then we are exceptionally well placed to profit from it.

Regards
DF