Chart, page-13192

I believe while once LPD was a strategic investment for GXY to potentially process Mt Cattlin tailings, that's no longer the case. LPD has moved on to other sources for feedstock. I don't see the synergies that were there initially. I view the holding now as a pure speculative stake. GXY sees a bright future and will look to make a decent return on its investment as it has done with other companies throughout its past.
I'm not up to speed with LPDs recent brine extraction developments but it would appear it's been put on the back burner and it's focus is elsewhere. I wouldn't be surprised to see GXY sell its stake in LPD and use the proceeds to invest further in A40. Yes GXY has cash on hand, but that needs to be earmarked for SDV.

As for the A40 investment. There are a lot of synergies between the mines and GXY has a wealth of experience in reducing costs of production from many years of operation. GXY is clearly interested in a significant stake (perhaps ~40%) but wants to see the exploration results to increase the Bald Hill LOM. I have been calling another cash injection to A40 of around AUD20-30m in October.
A40 has an excellent product - perhaps the highest quality in Australia - however it's strip rate has added to costs. A40 is within a whisper of seeing an operating profit. If GXY can provide additional funding to help A40 optimize production it will be a great result for A40.
I genuinely want A40 to succeed and prosper and they are on the right path. I think a 40% stake in A40 would allow A40's management to continue to run the show which in my mind is a good thing. I also don't want to see a full takeover because it would be a drain on cash needed for SDV and a script offer would be unfair to GXY as its interests in James Bay and SDV are valued at $0 currently.

As far as blending of the two companies product, this IMHO would be counter productive for both companies.
There is nothing wrong with GXYs product as reflected in higher sales prices received than most of its peers with grades at or above SC6. It's a myth that converters cannot produce from grades under SC6. SC6 is a benchmark reference point taken from Greenbushes output.
Consistency and levels of impurity are greater factors than grade.
GXY receives high prices historically because it's product is consistent and it often takes years for converters to fine tune their processes to match their spodumene source. Blending spodumene between two mines with different characteristics is counter productive to the requirements of converters.
There is too much 'my spod is better than yours' between HC posters, and too many claims that GXYs product is so shite no one will accept it. If that was the case, why does GXY receive higher sales pricing than A40?

We all know the potential for Sal de Vida and it is the jewel in the GXY crown. What many fail to recognize is the value of James Bay (Although often compared to the disaster faced by Nemaska's severely underestimated start up costs, but don't let that persuade you that JB is unviable. Nemaska's DFS issues likely won't apply to GXY as GXY will have the Nemaska costs as a guide). James Bay is a high quality asset strategically important to the North American market and let's not forget the plans for a 39999tpa Hydroxide attached converter. James Bay will be a cash cow.

AIMHO
DYOR