PLS today owns a 100% position in the 3rd largest hard-rock...

PLS today owns a 100% position in the 3^rd largest hard-rock lithium deposit in the world (repeat “world”). The deposit sits in one of the most mining friendly jurisdictions on this planet.

The mine infrastructure required for its stage 1 production target is now complete. The mine is now earning cash-flow which will increase every quarter moving forward. The mine’s stage 1 and stage 2 production targets have been forward sold/agreed to be reserved/sold to the world’s leading lithium consumers. These world leading lithium consumers are also prepared to finance the mine’s expansion over time and take equity investments in its capital structure.

Based on public reporting of known lithium resources, the mine controls a globally significant percentage of the world's entire known lithium resource. As it starts producing earlier than other mines over the next 1 to 5 years, it is going to become a major contributor to world supply. From my experience investing in resource companies, deposits of such global significance (ie the huge ones) tend to grow over time. The more you dig the more you find.

The market cap of PLS today sits at $1 billion (and 37 million). Based on its publicly announced resources this translates to $368 per tonne of resource. This needs to be considered alongside the fact that the mine is complete (stage 1) and producing and selling product. One must also keep in mind that the mine has a greater than 30 year life.

MIN recently announced a globally significant transaction with the sale of 50% of its Wodgina lithium deposit in WA for the equivalent of over $1200 per tonne of resource (my calc). This is very significant, as Wodgina is a similar size to PLS (albeit Wodgina has a lower grade, less tantalum and slightly smaller size deposit). It should be noted that Wodgina also needs to be built beyond its current DSO ore mining operations (the infra is not as advanced as PLS stage 1 is).

Furthermore, today Neometals announced that MIN (with Ganfeng) has purchased a 13.8% share in the Mt Marion mine (complete and operational). This transaction translates to over $1400 per tonne of resource (my calc). This is not insignificant as being close to 80m tonnes, Mt Marion, whilst materially smaller than Pilgangoora (PLS), is still significant globally at this respective size.

PLS today trades 70% below the Wodgina valuation and 75% below the Mt Marion valuation.

Sometimes to cut through the white noise it also helps to simply look at the price tag of a company and compare it to others at or near the same price. So if you were a billionaire, would you be buying Super Retail Group (owner of Boating Camping Fishing, Rebel Sport and Super Auto stores) for $1.3 billion, or would you want to own an operational mine that controls the same component of lithium globally that Saudi Arabia does in the oil market?

Can I get any clearer on this???

Investing for 25years, own 84 investments globally, PLS is my 2^nd largest Australianholding, bought more today at 58 cents on close.