PLS had Dr Wenbo Wang (formerly of Greenbushes) to help design...

PLS had Dr Wenbo Wang (formerly of Greenbushes) to help design our Plant and refine processing. He has since gone to Ganfeng, presumably to assist with domestic (however small) Spodumene resources.

I think the most important announcement I'm looking for in the coming Quarterly Report, is the cash costs of production for the Mar21 quarter. Also the Plant recovery rate achieved. I'm hoping for an improvement on the USD351 and maintaining the 75%.

No doubt GXY's SdV is a great resource. Perhaps it finally occurred to them that they have no experience in developing a SA Brine resource, let alone Stage 2 Chemical Conversion? Will POSCO have similar problems? Joe Lowry last year described both GXY and POSCO as having little chance of producing 25ktpa each by 2025. This merge may give GXY a chance but POSCO?

Lowry (who has little regard for ORE) described the merge synergies as 2 + 2 = 3.

Certainly Macquarie had faith in GXY developing all their assets, even though just a year ago they valued SdV and James Bay at close to Zero.




Even their form with Spodumene production is questionable, as evidenced by Mt Cattlin history.

This merge with ORE will certainly deliver a wealth of experience to GXY. ORE have certainly made their mistakes. ALB, SQM and Livent have decades of experience.

Similarly, the POSCO JV will give PLS market leading technology in Stage 2 Chemical Conversion.

Meanwhile, AVZ languish with no Spodumene processing or Sulphide production experience. If Sulphide production represents project efficiency, everyone would be doing it. The Koreans are now perfecting a coprecipitation process to bypass the "expensive" Sulphide stage anyway. AJM (with an efficiently operating Plant) couldn't get A$240m in finance and yet the Lemon of Lithium expects to borrow (and at rates lower than PLS achieved) A$720m (USD550m) and then fund working capital and opportunity cost, for the years it will take to get the ManonoNo Project up and running efficiently ... if they can, albeit with no experience. All that and I didn't even mention safe sovereign jurisdiction with a history of human rights abuses.

Similarly, LTR await a suitable partner to start their project. LTR has a MC of A$770m which includes a recent exploration discovery that would add A$150m. So their Spodumene resource is valued at A$620m, while AVZ is A$570m for 60% of the Project.

Meanwhile, the entire Pilbara region has the potential to supply the world market with billions of tonnes of Spodumene and efficiently brought to market. Timeliness will see wannabes shut out.

Chinese stocks up strongly this morning I was hoping it would feed into our share price rise.