Gonski mate, there are pro's and cons. They are a less liquid...

Gonski mate, there are pro's and cons. They are a less liquid asset, hence the trading gap between actual shares and the options. Though this is not such a problem if you intend to exercise the options (15 cents).

Please take this as only rough guidance and you have to make your own mind up and do your own research, buyer beware.

Like normal shares, if the price drops you have a paper loss, though only an issue at the time when you convert to cash. In my humble view KDR is a very good stock in the Lithium (New Mineral) market. An increased mineral reserve is 95% likely and the SQM/KDR part of the project is currently only a small part of the overall reserve. It is a highly probable that KDR/SQM will be a long term supplier into the Lithium market.

At some point the lithium market will be oversupplied and hence a the supply price will drop and the profits of some companies will be tested. In this regard I see the KDR mine as being well placed to deal with this (given the volumes of their reserve) . The unit rate of production could be driven quite low. Just look at the transformation in Iron ore, it went from a supply rush to an efficiency one.

The probability of a material drop in the KDR price between know and April is pretty low. There is ongoing and obvious manipulation to drive prices down for the joy of the short sellers. Long term holders can only tell you how frustrating this has been, but its getting harder, as people realize the medium to long term potential here. There is more up than down.

I see the current price now as the lowest possible in April (baring the unfathomable) with the likely price range between $2 and $2.70

I'm betting $2.50. This is not a stairway to heaven and I think it will then level out until more production certainty.

As mentioned this is purely my own opinion and opinions are like #$@$holes.