Member Info for EV_Bull

If you think the assets are worth £1+ as I do, then I am not crying that I bought some at 15 some at 20 some at 30 because I expect them to all turn out to be good investments in the long run, you cannot know what the market will do in the short term but you can know the expected value of the underlying assets and that at some point the value will be realised.
Hence the saying:
“In the short run, the market is a voting machine but in the long run it is a weighing machine.”

"predictions and spread sheets are an utter waste of time" - until they aren't, I am pleased so few understand how to invest as it gives an enormous advantage to those that do. It is good if you all disagree with me because that is generally the best time to buy, few understand this point (maximum pessimism is the bottom).

Conversely It's an even better buy now at this price, especially given the progress in terms of deals that have been done.
The asset values will be realised one way or another.

Good to have RK in our corner as an adviser, maybe VW can do something similar.
https://twitter.com/LithiumIonBull/status/1557009470475182080

The GM - Livent $198M prepayment arrangement is exactly what we at RK Equity have
advocated for years. Effectively this is a streaming deal whereby GM funds Livent upfront
and, in return, receives battery-grade hydroxide from 2025 for six years. The pricing/
volumes were not disclosed, but they intimate that there are floors and caps. I sense that
Livent has locked in a decent IRR (likely $20k's) and will forfeit upside beyond $35k/t.
Livent CEO Paul Graves suggested lithium demand growth of "200kt or more" in 2022 - RK
Equity's model has 214kt, so we're aligned on demand. They see a structurally tight market
until the end of H1 2023 and will update beyond that later.
Now is a great time for incumbents to agree on fixed or floor/cap deals if they have a handle
on opex/capex. It also allows downstream customers to secure volume and some price
protection at lower levels.

Bacanora is still a Canadian registered company just Ganfeng own 100% of it, I don't think it changes anything materially.

Hi TJ, I would expect the MRE this month and the PFS I don't expect to be too long after that but perhaps it will be September now.
Shipping is profitable at current rates but I think not quite as much as we need to pay the banks, if we see $100/dmt for 58% and shipping stays where it is or goes lower then I expect more shipments to occur but I don't believe it is the critical path at the moment, the PFS is far more important.

So much hidden value to be unlocked in Sonora and Amapa, market needs to see it to believe it but a big opportunity nonetheless.

Sonora JV easily worth more than our entire market cap - market fearful it will be stolen from us somehow.

Amapa - with China looking to get more iron ore from Brazil over Australia and the high grades our mine is capable of it must look very attractive to them, especially now we're planning to (half) load capesize vessels at the port, that's a big game changer for the economics of the project. Peer comparisons show this to be worth hundreds of millions of dollars.

There could be at least £1 per share between those two projects, looking forward to seeing the Evergreen IPO and for them to start drilling too with Core next door being a billion dollar asset. Market will wake up eventually. PFS might be the catalyst.

Sonora is a MASSIVE resource on the doorstep of Ford's Hermosillo plant, GM have also a $1b investment in Mexico EVs
https://www.reuters.com/business/autos-transportation/general-motors-make-1-bln-electric-auto-investment-mexico-2021-04-29/
Ganfeng want a strategic stake from one of them or Tesla in the Sonora project. The Mex Gov will want to keep most of the Lithium in Mexico going to a Mexican factory, this is good for everybody, only a matter of time before a deal is announced IMO.

The Chinese are 10 years ahead because they are not in the pockets of big oil. Great 3 part series on this from BBC https://www.bbc.co.uk/programmes/p0cgql8f
The west has massive catching up to do and they are starting to realise it, for sure a firehose of cash is going to be sprayed on the upstream Lithium industry to catch up (and Rare earths). Cadence is very well positioned to take advantage IMO with our investments. I would expect we sell part or all, or split off Amapa or it becomes a "green steel" investment with a local steelmaking hub to fit with the thematic of the company.

https://hotcopper.com.au/threads/ann-bp33-drilling-delivers-outstanding-results.6871555/

"Outstanding" drilling results on our doorstep:
https://wcsecure.weblink.com.au/pdf/CXO/02548420.pdf
BP33 can be seen here:
https://www.cadenceminerals.com/wp-content/uploads/2021/09/Screenshot-2021-09-28-150909.png
Looking forward to the Evergreen IPO and for drilling to begin.
-------------
BP33 drilling delivers outstanding results
Highlights
• BP33 continues to deliver world-class high-grade lithium
intersections with 66.88m1@ 1.78% Li2O in NMRD030, including:
o 16m @ 2.27% Li2O; and
o 9m @ 2.24% Li2O
• Multiple drill intersections below southern BP33 pegmatite
with the orebody open at depth
• Spodumene bearing pegmatite extends at depth to the south
with indications that thickness and grade improve with depth
• Intersections outside of the current Mineral Resource at BP33
expected to deliver substantial orebody extensions
• Trial Geophysical (ANT) survey at BP33 successfully images
pegmatite to 500m depth

The offer would have to be at a decent price to get shareholder approval. 30p wouldn't cut it because making an offer in itself shows they see value in it.

It's not generally useful to calculate a P/E ratio when the E (earnings) are negative, however LSE doesn't draw that distinction and shows a negative number if earnings were negative.

Dividends or buybacks would change that, at the right time and for the right price, sell some of Amapa or Sonora and start returning capital to shareholders.

Yes, 100% of nothing is nothing

Yeah interesting to see how poor their drilling results were compared to Sonora. The quality of Sonora is not well understood by the market. Ganfeng know as they've been sampling it for years.

Yep, that's definitely him, great find!
https://www.reuters.com/markets/companies/601969.SS/

Very interesting to see how this develops.

https://www.spglobal.com/commodityinsights/en/market-insights/latest-news/energy-transition/082421-chinas-hainan-mining-to-invest-164-million-in-lithium-hydroxide-plant

https://www.reuters.com/article/us-hainan-mining-lithium-electric-idUSKBN2FO14W
Chinese mining company Hainan Mining Co. has announced that it plans to invest Yuan 1.065 billion ($164 million) in building a 20,000 mt/year battery-grade lithium hydroxide plant at the Hainan Dongfang Industrial Park in the Hainan province.

Mr Teng I think

https://twitter.com/Afritin_Mining

Nice bounce in the Iron Ore prices, hopefully we can get shipping again.