I attended a couple of LMB presentations in Auckland on...

I attended a couple of LMB presentations in Auckland on Wednesday. I would make the following points, most of which have been discussed here before, but I will repeat them because I believe they are critical to understanding the potential of this stock.

- LMB's two deposits are almost unique in the purity levels of graphite that they offer.....globally. Graphite from the Geumam has now been independently verified as being suitable for Li-ion batteries. Other companies allude or infer that their graphite is suitable or 'intended' for technology markets - but only LMB has actually provided independent verification that their graphite offers the physicochemical properties that make it suitable for anode material i.e. it offers comparable, perhaps even better levels of stability and efficiency when compared to synthetic graphite (which, by the way, sells for US$20,000/t - $160,000/t).

- one of the key demands of battery manufacturers is the consistency of the anode material i.e. it cannot be a mix of amorphous and flake. There seems to be an agenda here by some to raise doubts about the type of flake that LMB will produce. For the record, McIntosh produces 'large to coarse' flake whilst Geumam produces 'Coarse to jumbo' without amorphous/fine grained graphite in the final product. And they will do this cheaply. Talk of a complicated, multiphase and therefore expensive treatment process for LMB is simply wrong. Think sub-$400/t.

- the company, for the sake of the soon to be released scoping study, is planning on a plant in each country producing 20,000 of concentrate a year. There is no reason they can't produce multiples of this. They have the ground and I believe they have the markets.

- this company is very well connected. They have an MOU with China Hengda, one of the world's largest pure high quality flake graphite businesses. Further, they are I believe, the only soon-to-be-producing member on the prestigious Carbon Council in South Korea. The company has established a commercial arm they call the 'Advanced Particle Group' which in conjunction with some very impressive household names, intends to exploit new technology applications for flake graphite like graphene, nuclear pebble bed technology as well as Li-ion batteries. I believe in the not too distant future, LMB could have a blended resource/technology PE applied to it.

- If you measure the potential of a company by the CEO then LMB is in good hands. Strategically, the last 4 years have been faultless IMO. There is a fast growing graphite market offering super-normal profits for those with the right product. Richard has positioned this company perfectly.

This is all my opinion. Clearly at this stage LMB is a speculative stock but IMO it offers a very attractive risk/reward despite the recent share price performance.