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Thanks to you both for confirming. Had some problems understanding the Aussie accent this time haha.

And very interesting that he mentioned the possible next lakes. Lake Wells and Lakes Ballard and Lake Marmion. For Lake Way, there is already a scoping study out and as for the other lakes, there is a land bridge that makes it possible to harvest from two lakes and maybe just needs one plant. That could be quite advantageous I guess.

I definitely agree with you guys. When Tony entered the company it was immediately clear (due to his Fortescue background) that he isn't there to build one lake. He also said that in some interviews. Before he entered the plan was to build a test mine to see if the project is viable. He skipped that plan right away and pushed the project forward with an insane speed. And yes, as we all knew by now that has cost a lot of money. His vision is to create a SOP company with 3 lakes and an annual production of more than 1 million tonnes per year. And that in five! years. I can't tell if this is doable, they will need less then 2 years to bring Lake Way from a scoping study to production (if everything goes according to plan). I personally prefer a company that is developing a project fast which maybe costs more money upfront than a company that needs ages to develop a project (share price will not rise in this time frame too).

And regarding worldwide SOP demand, its currently about 7 million tons, growing at about 3 percent. I think about 2/3 is Mannheim (expensive), especially China Mannheim. Other producers may run into cost issues when the new cheap and more economically friendly Brine SOP is available on the market. For China I'm not sure as a lot of companies there are government-funded. Lake Way is producing about 245.000 per year. Danakali is hopefully producing about 460.000, in year 5 a ramp-up to 940.000. Direct Competitor KLL has a production rate of 164.000 and there are some other competitors in the second row (Agrimin etc). So in theory there should be enough possible supply in the future. The key in the future will be the execution. And in my opinion, SO4 has the best team in the sector today. If you ask the companies, they are saying that demand isn’t a problem at all. Only time will tell. But SO4 has currently the best conditions to become a success story in my opinion.

Thanks for the links. Did I get it right that Tony saying that they already knew that the debt money weren't enough to fund the project until the first sales and that's why they initially planed to sell a royalty of the project? But this royalty option was to expensive and would have obstruct his plan/vision to build 3 lakes in 5 years? Thats why they went with the equity option to continue looking/working on other lake projects?

Also happy to see final funding.
But anyone expected a capital rising that big and with such a dilution? Looking at the share price from the last week, market didn’t expect that. I’m a little bit worried that this could slow down the shares upward momentum in the short term given all these new shares at that price.

Thanks for the link Slimbo! The announcement regarding the convertible notes placement SO4 stated that the final debt agreement will be signed within weeks. For me, weeks are sounding more like 7th August instead of 18th September or later. But if the final debt agreement really is only subject to the environmental approval, is the draft enough or will they wait before to is signed by the minister?
I'm also not very concerned about them not getting the approval at some point. Middlemass certainly wouldn't risk his good name for that. But if this would take significantly longer they might need new money again.

The only thing that we really know is that the management runs a very high pace and everything is extremely tightly scheduled. I'm sure there's some risk in that.

Hey DNK co-investors,

after someone posted a link to my first Research Report at the SO4 board I’ve received overwhelming feedback. One also suggested that I post a link to the report here because Danakali is also covered in it.

I’m a private investor who is invested in DNK for some time now. In my first Independent Research Report, I am covering the topic of Sulphate of Potash and the most promising stocks in this sector. DNK is definitely one of them. In case you are interested you can download it directly here: https://commodity-screener.com/download/717/

I would be very happy about your feedback. If you like this content you can register here for free to receive future issues: https://commodity-screener.com/research-reports/

I would also be interested to hear your opinion regarding AFC Bank's current behavior. DNK is waiting for the last tranche of their equity investment for quite some time now. Has anyone ideas for this current behavior?

Given this is the last piece of the puzzle before the construction can start it is definitely worth a discussion.

Hey guys,
I am the author behind the blog CommodityScreener.com and the research report in which SO4 is covered.
I realized that a lot of visitors are coming from this website, that’s why I discovered this page. My blog is still very small that’s why I realized it. First of all, I would like to thank GaiasKidney for posting the link to my report. That really helps!

What I can tell you is that I am a private investor in SO4 for some time now and I wanted to compare the company to some of the competition in the industry. Therefore this article is completely independent. Other than that I hold shares in the company there is no relationship between me and all the companies covered in the report. I am investing in the mining sector for quite some time now and I always wanted to create a blog where I can discuss my opinions with others. That’s the reason for the blog commodity-screener.com.

I see that this board is discussing SO4 quite regularly. I will continue discussing with you guys here. Of cause, you can also contact me privately via my email address which can be found on my website.

Cheers