Member Info for ChameleonMan

Any prospective spodumene miner in Portugal will have to deal with GALP as I can’t see more than one refinery being built in the region. SAV is way ahead of the any other supplier in terms of location, ownership of the site, exploration, permitting and funding. Any company bidding for the new licences would have to be very confident and well funded to compete ( maybe the likes of Fortesque?). More likely GALP will gobble them all up and JV with SAV as their mining exploration and development partner to exploit the concessions.

Not unexpected perhaps but the story hasn’t yet been picked up outside the LSE community as yet. All the fun on LSE was at ARCM today!

Is anyone else having problems trying to apply? Brokers don’t seem to know about it and there is no application form to be seen with the prospectus. I wonder has the Erris management thought this through properly from the shareholders perspective?

Yes you called that one correctly!

For me it’s a definite hold but if I didn’t have 4m I would be buying.

Reading around the media commentaries on this deal I can see how the plan falls into place.
Europe wants leadership in the EV space to meet climate change targets and support its car building industry which is facing decline. Northvolt wants to rival Tesla’s battery ambitions in Europe and is supported by the EIB to build the lithium supply chain.
Northvolt needs lithium refineries and approaches GALP who want to build them. Converting the existing refinery to lithium allows GALP to to apply for EU funding under the Fair Transition fund. The clever bit is that GALP would avoid paying costly land contamination tax, not supported by EU funding.
GALP notes that it has lithium miners within range of its decommissioned Matoshinos oil refinery near Porto. It looks at various projects, some too far from the refinery location to have a low carbon footprint. SAV is the chosen one and provided the environmental approval is given by APA, is on course for a DFS H2 2021. The timing suits GALP as EU funding under the Fair transition fund will not be confirmed until the end of H1.
The offtake deal for 50% of SAVs output secured Li supply but at this stage doesn’t over-commit. Meanwhile SAV is funded for the DFS and no longer has to worry about finding a refinery or offtake partner.
In conclusion I would say that this is an extremely good arrangement for SAV. It removes many uncertainties and avoids further retail dilution. We are now very well placed to move forward and build shareholder value. Brilliant!

I don’t know what sort of trading platforms some of you guys have but you seem to be able to see who is selling and why? Admit that these are just half-baked theories. SAV is up 15% today and as a LTH I am enjoying the rise, not selling as has been suggested. You could equally say that not enough “newbies” are investing or not investing enough.
Good to see any new faces on board with fresh optimism. As has been said there are many more hurdles to jump but the good news is that as they are scaled, risk will be reduced and there will be many opportunities to add value.

In an otherwise very welcome RNS there was a buried mention about the delayed environmental approval and yet a further request from APA. Once this is resolved, an important risk factor will be removed and the brakes will be off.

Good find IB. Not sure if European Li miners will get much of a look in: “Rock Tech plans to largely source the ore for the German factory from its own spodumene mine in Georgia Lake, Ontario.” Not what the Euro battery alliance have in mind either (US supply) but if Rock Tech signs with Tesla and VW as suggested, there isn’t much they can do about it?

Great find - a politician who very much wants something to happen - what could possibly go wrong? Let’s hope he is able to find the $ 400-500m needed to build one and is prepared to wait for 4-5 years until it is built and ready to produce lithium hydroxide.
If you want a more balanced view on the challenges of building a refinery as part of the lithium supply chain, I would recommend reading this article from last year: https://www.mining-journal.com/project-finance/news/1367501/zero-hour-for-lithium-in-europe
I also hope that Sr Fernandez gives active support to SAV’s environmental application as we need EA approval followed by an offtake deal before a refinery can seriously be discussed.

Yes all good here and with not going out having become the legal and social norm, there is less time wasted deciding where to go and what to do! With Oman out of sight and Moz kicked into touch, DA must also feel more focused and ready to see off detractors of progress at MdB? I empathise as I am also seeking planning permission which has gone to public consultation and am nervously awaiting the brick bats!

Probably best forgotten but anyway I looked up Force’s progress since acquiring the project from SAV. They appear to be drilling Macquail South and getting much better results than SAV did in 2016. Quote “exceptional results”. With this level of enthusiasm we might yet see a few Rials back from our (mis)adventure in Oman?
https://cdn-api.markitdigital.com/apiman-gateway/ASX/asx-research/1.0/file/2924-02322253-6A1012533?access_token=83ff96335c2d45a094df02a206a39ff4

Seriously? “Guilty as charged”?.......

Haven’t seen a single VW ID on the road yet but Essex roads have been full of Teslas for some time now!

Risk will be substantially reduced if and when we have environmental approval. I would like to think that this was quickly followed by the completion of the feasibility study to further reduce risk which would provide firmer ground in offtake negotiations and raising project finance.
Nothing in the recent rise has been related to SAV progress, only to money flowing into the lithium juniors. This means that a bet on any lithium junior has done well recently, some better than others so spreading the investment to the Northern European juniors hasn’t done my portfolio any harm and has reduced risk.
If and when SAV actually achieves something, the resulting rise might show over and above its peers. Waiting for this is a hopelessly frustrating experience but I feel a bit more relaxed about it now I am following other lithium and copper/gold plays.

Thanks for posting. A good piece of Local PR.

A recent example is Core Lithium (ASX). “ Core Lithium’s share price soars on Yahua-Tesla lithium offtake deal. The company has responded to a query from the ASX after its shares increased 45% to 21 cents, just shy of a record high. Core Lithium Ltd (ASX:CXO) has surged on news that the company’s largest shareholder and offtake partner, China’s Sichuan Yahua Industrial Group, has signed a deal to supply battery-grade lithium hydroxide to US electric vehicle manufacturer Tesla Inc (NASDAQ:TSLA) over the next five years.

This was outlined by Core in response to a query from the ASX as shares were as much as 45% higher to 21 cents intra-day, just shy of the 21.1 cent record set when the company listed in February 2011.

Since December 24 shares have more than doubled from 8.3 cents while the company’s market cap currently sits at approximately $144.7 million.”
https://www.google.co.uk/amp/s/www.proactiveinvestors.com.au/companies/amp/news/937549

Thanks, I’m in with £5k.

Thanks for the summary and the links to Lionel’s comprehensive overview. It all sounds good and I am keen to invest but when I look at today’s trades I see a sea of red. What is causing the selling do you think?

If you fancy a punt on the charger (home and commercial) business, most are private but I note EV Box is listing on the NYSE very soon. https://news.evbox.com/en-WW