LRS General Discussion, page-16811

Obviously some large moves happening across the lithium space and the moves are not limited to Tier 1 projects either. Some projects which are completely uneconomic (even if SC6 prices rebound 20%) have had big gains this week.

Our neighbour (tenement adjacent to Colina immediately to the east), Lithium Ionic enjoyed an 18% move overnight.

Sigma continues to struggle - the market seems to have limited if any confidence in their management after the completely stuff up with a supposed “take-over” which is now into its 13 month with zero information from the company as to exactly what is going on.

As for LRS, the next 4 months will not be simple. The market will have its doubts about the structure of prepayment and debt funding (until proven otherwise). But this won’t happen quickly - don’t expect any prepayment news until May.

The company has played the ownership / offtake side of things extremely well. We are one of the only (I think the only?) developers with 100% ownership of its project - no strategic / blocking stake on the register and 100% of our offtake still uncommitted). This means all of the options and bargaining chips remain in our control. For example, LLL and A11 own less than half their projects and already have offtakes committed. ATLX committed ~80% of their offtake to the Chinese already, GL1 gave away 30% and never received a single pre-payment etc etc

The potential for a share price re-rate in the short term is most likely from a surprise drill / assay update for Planalto and/or Fogs East. The company has been dead quiet on fogs east (I assume assays are still outstanding)? While Planalto is being spoken about as a strong chance of hosting at least half of Colina.

I don’t need to tell investors that 100MT JORCs are the gold standard around the globe because there are so few of them (especially those with such low capex and opex). Planalto probably only needs to host 25MT for us to achieve a global MRE of 100MT. The next satellite image is due tmrw which will hopefully show if drilling has started at Planalto or not (cloud dependent).

Finally, it should not be underestimated what influence the Peter Oliver news will have. He ran Greenbushes, and this sort of marketing pitch will provide a very large amount of confidence to banks and offtake partners.


https://finance.yahoo.com/quote/LTH.V?.tsrc=fin-srch