General Discussion Topics, page-127165

“We will need to be creative in regards to financing, because the current lithium price obviously won't assist us in the short term towards capex for either project.”

Indirectly it may assist.

SYA can show that it is making enough from NAL to sustain the company during this difficult period of low lithium prices and ramping of the plant.

A potential partner wants to know that SYA can hold up it’s end while the carbonate plant is being developed.

That would be reassuring for a chemical company to come on board.

While a partner like POSCO or LGES would reduce the profit that SYQ could make by going it alone, other benefits more than make up for what is lost.

For a start, the worst aspects of the OTA with PLL would cease immediately the carbonate plant became operational.

A Tier 1 partner would remove almost all risk, (which is what JB said SYA wanted in his email).

Without these burdens, SYA would be free to proceed with Moblan and other projects in Canada (and possibly one in Australia).

I have said it before, NAL will be to SYA , what Mt Cattlin was to Galaxy Resources.

The Mt Cattlin Mine did not have much going for it but it did keep generating cashflow for Galaxy during the “lithium winter.”

It was the lifeline that kept Galaxy alive.

The rest is now history, Galaxy is a part of Arcadium, the third largest lithium miner and refiner on the planet.

That is the type of trajectory that SYA could duplicate.

This all swings on NAL surviving and downstream processing starting.

This is all very achievable as SYA is backed up by $200 million in the bank and an equal amount available from a debt facility.

How soon can this happen?

A clear pathway forward should be visible by mid-year IMO.