From what i have read and my discussion with RNU CEO the intel is that China does not have sufficient supply for their own needs let alone selling to the West.
Hence it makes sense that China will be doing deals like this, particularly at a time when any other form of funding is almost impossible to secure now in tier 2 and 3 mining jurisdictions.
The Chinese really are so forward thinking you have to give them credit. They started working in this field 20 years ago whilst the West was content to just buy their required critical minerals from them.
That forward thinking extends to all of the financial and other support they have/are providing all over Africa...building valuable infrastructure projects and working with governments as well as providing low interest/no interest loans and subsidies. This is the main reason I will never invest in any African nation as investors on the ASX simply have no legal protection when things go bad.
I think the challenge for ASX firms doing funding deals with the devil are doing so because they have no other options to get major capital works funded...but will then be trapped into selling that product to the Chinese as the West will not allow any Anode/Cathode/Vehicle manufacturers with ANY Chinese involvement to sell cars there.
What a tricky situation this is now unfortunately.
Also I see SYR shorts are being opened again so not sure the shorters have finished here.
10x
SYR Price at posting:
33.3¢ Sentiment: None Disclosure: Not Held
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