Like for Like, page-12

Yes, we have all of the above, but we also have sovereign risk from a populist government - a risk that at this stage can not be accurately quantified and one that based on the long-term share price decline of EMH appears to override many positives for EMH at the moment.


Also, if I wonted to play devil's advocate, I note the following:

We have 7 to 10 million tonnes of Li under ground ??

There are millions of tonnes of Li elsewhere - people ship coal and steel around the world but not Li?

We have mining rights til 2025 ???

And a populist government that is at the very least thinking about to what extent it may be able to negate the rights that come with them.

We have European auto manufacturers who will require Lithium all around us ??
We have battery manufacturers building plants all around us in Europe ??

Worth diddly-squat - they will not touch us with a barge pole unless there is clarity on CR government position.

The world will struggle to cope with Lithium supply from now and into the future ????

I doubt it - what I do believe is that we might experience short-term bottle necks for a few years, before massive capacity is brought on-line (KDR increased its Early Grey resource only two days ago by a whopping 54%).

We have a Gov that wants taxes and create jobs and added value chains ??????

So does every other government around the world - with vastly different levels of success. Many governments around the world are behaving far less rational today than they have in the past - just look at Britain or the USA - we are witnessing the rise of populist and nationalist governments around the world, with all the political and economic uncertainty and instability that that entails.

We are negotiating with partners as we speak . ???

While others have long moved on and signed future customers. No deal is done until all parties have signed above the dotted line.

We have a low cost of production to produce Li Carbonate ???

Good on us - but we can not get it out of the ground until we sort out our shit with the government and get to the next point ...

We have a DFS to complete by the end of the year 2018

Meanwhile others (ORE, PLS, AJM, etc) have started production and are busy expanding their operations to stage 2, stage 3, etc


Yes, I am happy to ride with the punches. Though right now - as far as EMH is concerned - I feel a bit battered an bruised. That is fine. I am fairly patient. I might even want to buy more when the time is right - i.e. some of the risk has dissipated.

However, to compare an EMH to a KDR? - like marble to watermelon (IMHO)!

DYOT