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bombersmadd

4,089 Posts.

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22/01/22

14:00

Post #: 59060553
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Originally posted by Mallyrock: ↑

No small cap an afford to be caught up in the politics of the day. Especially, like some of our African resource counterparts have found out. On the other hand, large organisations like Rio Tinto, Lynas can afford to wear it because they are large enough to be able to absorb losses. Nonetheless, the objective for any company is to avoid the politics wherever possible because as soon as you get caught between a pollie and votes, you can almost be certain that votes will win every time. That remains true for any democratic system throughout the world.

On the flip side, RNU seems to be a vote winner. We have one of the largest resources in the world and are acknowledged as a tier1 jurisdiction with high ESG credentials. This makes us the only graphite project ideally suited to benefit from federal government assistance in the short to medium term. Either, through our in-principal letter of support from the Clean Energy Financial Corporation (CECF) or Export Finance Australia (EFA), as we are the only project in the sector with an advanced in-country resource.

Our leaders recognise that RNU will be paying royalties. So any money they spend on our behalf will return back to state coffers. Also, they can see that life-long Australian jobs will be created, complementary industries will be enticed to set up here and entire communities will grow as a consequence that will in-turn create further jobs, ie, the spin-off benefits are enormous for the entire local economy and as a whole.

All this is happening with the thematic backdrop of the need to secure global supply-chains, incentivise the EV revolution and find better solutions to meet sustainable and clean energy practices. Politician will often make decisions based on the public interest of the day. We are topical and it’s no accident that we are mentioned in the federal government’s Critical Minerals Road Map.

The combination of topical media discussions, our pending regulatory approvals and the need to secur e supply chains and their need to win ‘votes’ couldn’t come together at a more perfect time.

Based on all of my points made above, I wouldn’t be surprised to hear news before too long.

Exciting times!

All IMO, DYOR, GLTAH

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Safe, Secure, Stable Tier 1 Mining Jurisdictions provide certainty for investors, businesses and financiers. There is no substitute for being located in a Tier 1 Jurisdiction.

The alure of some projects in Tier 2 or Tier 3 locations is always the resource. It might be World Class, the Grade could be World Class...... Yet time and Time again we see "World Class" resources in non-stable countries either: A) Never Get off the Ground or B) The Project stops at a point in time, the new government moves the goal posts, the government is over run etc.

Plenty of noise in the wider markets particularly in the USA the past week, but nothing has changed for Renascor, a very exciting and company making 6 month period for the business. The uncertainty on a wider level will no doubt provide a perfect top up or entry opportunity for those that time their run well !

Near Term Drivers in the Next ~30 days:
- December Quarterly Activity Update
- Program for Environment Protection and Rehabilitation (PEPR) Approval
- Asian Metals to Release their 1st Graphite Pricing Update for 2022 (The Engine Will Gain Steam at Some Point in 2022)
- Binding Offtake and Strategic Co-operation Agreement with POSCO (Confirmatory Due Diligence was underway in November 2021)

Last edited by bombersmadd: 22/01/22

RNU Price at posting: 23.5¢ Sentiment: Buy Disclosure: Held
26 Upvote

0 Great analysis

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