General Discussion Topics, page-136772

I've been thinking more about the closed chain regional pricing environment. If Sayona and Piedmont within SYQ were to agree to supply either Lg chem or Tesla or both with 100% of NAL output (226kt) at an agreed floor price of 1500 per ton and split the earnings 50/50 in the JV, then both companies (parent Sayona & Piedmont lithium) each receive 169.5M from the sales.

The current pricing environment doesn't allow Piedmont to achieve $1,500 per ton and the offtake arrangement doesn't allow sayona to reach a high enough tonnage or have access to qualified product by LG and Tesla.

To me this seems a fair compromise to clean up the JV financially and operationally.

If we then assume the JV is 50/50 split and we move onto carbonate sales of 23,000 tonnes per year at 20,000 per tonne then that offers both companies revenues of 230Million each per year.