These guys must be selling off their shares... Technology risk...

These guys must be selling off their shares...

Technology risk

Direct Lithium Extraction (DLE) is yet to be fully commercialised. There is always a risk that no technological advancements are made with the processing tech and so brine projects like MAN’s are considered stranded until suitable processing tech advancements.

MAN signs DLE partnership with Bill Gates backed Electroflow [22-Dec-2023]
Commodity pricing

The lithium price is currently trading near all-time highs. Any negative change in the lithium price may impact demand for new discoveries. This would hurt the share price of a junior explorer like MAN.


Market risk

In the event of a market-wide sell off, we would expect higher risk early stage exploration companies like MAN to sell off even more. This typically happens because during market downturns, investors look to pull capital out of their highest risk investments.


What is our investment plan?

We will look to hold the majority of our position in MAN up until the key catalyst, which we think will be a maiden JORC resource.

If the company achieves key milestones on the way to this catalyst and the share price substantially re-rates on the back of the project de-risking, we will look to sell a further 35% of our Total Holdings in MAN.


Disclosure: Disclosure: S3 Consortium Pty Ltd (the Company) and Associated Entities own 3,150,000 MAN shares and the Company’s staff own 35,714 MAN shares at the time of publishing this memo. The Company has been engaged by MAN to share our commentary on the progress of our Investment in MAN over time.

Oh dear! A stranded investment!!!
Company staff!? Who that be,? You and JAMES?