Media Thread, page-3

From the * article: A stand-out for me was Lindian Resources (ASX:LIN) which is developing the Kangandkunde REE project in Malawi. One thing I have learnt about rare earths over the last couple of years is that rare earths are not rare and have complexities at every level.The company has one of the largest REE resources as far as contained NdPr is concerned with JORC Resources of 253Mt @ 2.23% TREO including a higher-grade core of 23Mt @ 3.23% TREO.

As figure 8 demonstrates (and unlike my featured company from last week which I won’t mention, Chalice), this is a high-grade resource with scale.Figure 8: Contained NdPr, TREO grade bubble chart (Source: Euroz-Harleys, Research, 4 August 2023).The project, which has a projected 27-year mine life, has a number of favourable attributes including low stripping ratios, high-grades (Nd/PR) and very low “water based” processing. Capital costs are likely to start at a modest US$20 million or thereabouts.For those who want to know more, go on to the LIN website and read the Euroz-Hartley’s report whose sum of parts valuation puts them around 85 cents based on a risked sum-of-parts valuation.Figure 9: Sum of parts valuation for LIN (Source: Euroz-Harleys, Research, 4 August 2023).While REE prices have been under pressure over the last two years, Meteoric Resources (ASX: MEI) and LIN are shaping up as the standouts of the near-term developers.

LIN shares are sitting around 25 cents off from 37 cents when the Euroz-Hartley’s report was published, however I think the conclusions in this report are reasonable.I am not expecting an immediate rebound, but I think as REE prices stabilise and start to trend back up, LIN should see a strong recovery in its share price.