General comments/chat, page-14593

Answer me this someone.

The Great White JV is 75:25 whereas the ownership of Natural Nanotech Pty Ltd is 50:50.

I'd love to ask James Marsh some questions. We are wanting to find out where the revenue uplift occurs. The JV can sell the material to GICAN/NNPL for perhaps $2-4000t (cost of prodn <$400t to produce and ship to Newcastle, NSW from SA). But James has said the final poduct will sell for several million dollars a tonne. It takes 2 tonnes of kaolin/halloysite (or is it pure halloysite?) to make 1 tonne of the fullerene product. How much can be sold ATM is uncertain but the Indian Navy is taking product for its submarines to remove carbon dioxide. The much, much bigger mkt is carbon capture at coal-fired power stations. We know there is a major coal miner which has helped fund the research. We don't know who it is but have guessed Glencore. It would be a major statement of "green credentials" by a major mining house. The same "green" virtue signalling is also there for the cement industry with the use of halloysite in concrete as recently certified by Standards Australia. That means it can be used in Europe. Holcim anyone?

That's why I think halloysite is such a big story but also why MEP is better placed than some people think.

JM knows this and that is why a merger now rather than later is my GUESS!

Imagine MEP via 50% of NNPL getting half of the really huge value uplift for selling fullerenes to the carbon capture, hydrogen storage and water remediation/purification industries.

I hope as a ADN shareholder you have considered this. I know there are CGT implications but there is a possibility of a valuation surprise when the merger documents are released; a bad surprise for ADN & a good one for MEP s/holders.

Still, 3:2 ADN for MEP share swap should work in a merger where a Scheme of Arrangement requires 75% approval and that will only happen if both boards support it.

All my guesswork but that's how I have joined the dots.

This interview is worth revisiting.