PLL General Discussion, page-835

Hmmm ... this one is going to take a little more explaining I think.

On the surface its the capital that was/is required as Capex for Ewoyaa construction (US$70M) and the final stage of earn-in to 50%. And as we know, it like all before it, has experienced an increase in price (but also an increase in scope and optimization - like trading Opex for Capex).

To quote PLL
"Piedmont intends to utilize the funding from LG Chem to advance its portfolio of projects, including its planned 30,000 metric-tons-per-year lithium hydroxide project at Tennessee Lithium, the Ewoyaa Lithium Project in Ghana in partnership with Atlantic Lithium, and the fully integrated Carolina Lithium project in development in North Carolina, as well as for general corporate purposes."

Now I did forecast this in an earlier post (gee that sounds liike someone)
https://hotcopper.com.au/posts/64385731/single
expected 2M shares at $100

So in some respects I am somewhat disappointed in this raising wrt price and timing. As in where is my prepay??? They prove to be easier said than done (not even LAC got one from GM ,... only Livent with GM so far it seems).

There is a reason for everything though as PLL is hardly in need of US$75M right now.
"LG Chem holding approximately 5.7% of Piedmont common shares. Transaction details are described in the table at the end of this announcement."
and
“This agreement allows LG Chem to provide differentiated values to North American customers with products that satisfy IRA standards by preemptively securing raw materials in the U.S., our key market,” said Mr. Hak-Cheol Shin, Vice Chairman and CEO of LG Chem. “As we work to build various partnerships, including joint metal investments with automotive OEMs and battery makers, we’re pleased that our partnership with and commitment of funds to Piedmont will help support its development of U.S. lithium projects.”

Seems like we are doing LG Chem a bit of a favor now(In consideration of LG Chem’s substantial investment, the price is subject to a discount based on the prevailing market price at a given time) for a bigger favor later???

All italicized text quoted from
https://www.sec.gov/Archives/edgar/data/1728205/000114036123007392/brhc10048373_ex99-1.htm