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Asphalt Ridge is a large area.

https://ugspub.nr.utah.gov/publications/special_studies/SS-19.pdf

Because the bituminous layers dip southwestward under prohibitively deep cover I only a small part of the sandstone can be mined by open pit methods. However I the Asphalt Ridge deposits are well suited to thermal recovery technique s. The thick uniform sands of the Mesaverde Group are the best targets for such methods. It is estimated the bituminous sands in the Mesaverde contain reserves of oil totalling nearly 700 million barrels. The recovery factor probably would be between 50 and 70 per cent; so total recoverable reserves in the Mesaverde should be at least 350 million barrels of oil.

Same techniques Greenfield wants to use at TSHII. Valkor expects permitting Q2. So that would apply to TSHII as well.

DYOR

From QFI results today: Utah

· Commercial discussions between Quadrise and Valkor for the supply of a license and manufacturing unit to enable Valkor to produce MSAR® and bioMSAR™ are expected to conclude shortly.

· Valkor expects drilling permits at Asphalt Ridge to be awarded in Q2 2023, with low carbon intensity, low sulphur heavy oil to be extracted and available for conversion to MSAR® and bioMSAR™ for trials during H2 2023.

· Following successful results, these trials would then be expected to lead to commercial supply of MSAR® or bioMSAR™, subject to discussions with stakeholders to finalise agreements.

Zimbabwe is very, very pro-lithium. They are experienced in how lithium production works. The only issue they have is that they want lithium processed in the country, hence the ban on less the 4.5% grade exports. They introduced the 6% royalty on lithium recently (start of the year), lithium royalties are seen as a big thing for them.

DYOR

The EIA has gone in. Call this week one. The advice is 3 weeks to obtain clearance so that gives around 14th April. 10/14 days to get the vehicles and labour in place. 30 days in April. They should have offtakers at the end of April. As soon as we have people picking loads we are revenue generating. The terms are 7 day take and pay.

The 3 weeks for the EIA are notional, it might be quicker. The labour and vehicles are all on contract on a daily rate. Receipt of revenue might be first week of May but most likely revenue generation starts in April.

They know who is going to supply the labour and the vehicles and what they will have to pay. If there were illegal miners on site then the lithium must be east to access, ie., very little over-burden.

If it slips a couple of days, it is no biggie.

Bottom line is that we are close but not quite there yet.

DYOR

https://www.news.com.au/finance/business/other-industries/victorian-man-discovers-240k-gold-nugget-with-budget-metal-detector/news-story/50e330c1b9bc3dd7ede8219a738faa32?amp

Ha, the old bias thing.

ALR is not a Red Rock company. RRR owns less than 50%. It has its own geologists in Zimbabwe. The third party geologist I mentioned, "From a recent discussion with a non-RRR linked geologist with experience in proving up Zimbabwe lithium assets, he reckoned that the deeper we drill the better the grade will be. He reckoned that at surface the grade was lower because of weathering but the only to find out for sure was to drill." works for a listed company active in Zimbabwe. I think his view on these things might be worth listening to. He thinks ALR is doing it right.

ALR could be sold for decent money tomorrow without mining anything yet. Once it is in production, it will be worth serious money.

Do the numbers:
5,000 tpm at 2% grade, sold at circa $300 p/t, costs about $50 p/t: pre-tax and pre-royalty is circa $15mil pa. Royalty is 6%.
At 4.5% grade the numbers are about $133mil pa. Royalty is 6%.

The above is just for Tin Hill and excludes Beatrice.

Use 9xEBITDA valuation less a discount for Zimbabwe etc and call it a 4.5xEBITDA because it is Zimbabwe: that is still a lot of money.

It will cost about $200k to put the flotation tanks in place to beneficiate to 4.5% grade. Ideally, we don't want to sell too much at 2% grade. We need to get to 4.5% grade asap.

If ALR needs more money that will be okay but it will reduce RRR's position in it.

ALR bought Tin Hill and Beatrice, it has several other licence applications in train.
DYOR

Offtarget. The way to make money is to buy assets that no one else wants but are pregnant with unrealised value. We are in several that are regarded just like RRR. With each of them we will have to wait. One of them should have a big announcement, this week or next and then we go again.

We did one a few years back where no one in their right mind would invest. We started buying in the market at 8p (there was no opportunity for a placing) and it got bought out at £3.00. We sold at at £3.00 direct to the buyer.

RRR has not put in the public domain lots of information relevant to ALR's valuation because the RNS system doesn't permit it to do so. Why not ask, how much lithium does ALR think that there is at Tin Hill? I know what the two sets of geologists think is there but RRR can't put that in an RNS. To be able to put it in an RNS, ALR needs to do some drilling and that will likely happen from cash flow once Tin Hill and Beatrice are producing. For now ALR intends to mine the top 10 metres of ore at Tin Hill and drill the rest later, at which point ALR will be able to establish a JORC resource. If, at the moment, ALR intends to mine just the top ten metres, how deep does the resource go? Answer, we have to drill to find out.

A JORC resource is only relevant if RRR intends ALR to list or be sold. I am happy that we just dig the ore out of the ground and beneficiate it to 4.5% then sell it.

If illegal miners turned up at Tin Hill then the lithium resource must be fairly obvious and of a decent grade. No doubt RRR'S activity will have flagged up the asset too.

You should also know that there is tantalum at Tin Hill but the priority is lithium. The tantalum will be worth a lot of money too.

https://www.futuremarketinsights.com/reports/global-tantalum-market#:~:text=Tantalum%20Market%20Snapshot%20(2023%20to%202033)&text=And%20Tantalum%20sales%20are%20anticipated,US%24%20519.3%20Million

From a recent discussion with a non-RRR linked geologist with experience in proving up Zimbabwe lithium assets, he reckoned that the deeper we drill the better the grade will be. He reckoned that at surface the grade was lower because of weathering but the only to find out for sure was to drill.

DYOR

Zumore, yes it is none of your business and yes I have just over 10%.

As I told someone else earlier today, if a bid for $20mil came in for ALR now, I want to turn it down.

At current prices RRR is valued at less than three months production for its share of ALR. Once we are at 4.5% concentrate, RRR is valued at less than one month's production for its share of ALR.

With a bit of luck, we should be able to get Beatrice in production from July. As always subject to real world issues. For instance SA being added to the FATA list is a bit of an issue.

DYOR

https://twitter.com/RRR_RedRock/status/1604825632847941632?t=GoHxKzecKS8UWOPWFLC69g&s=19

https://twitter.com/robert_ivanhoe/status/1640573409603252224?t=12aYuzF-Yj4em5y9mIsMTQ&s=19

Very good.

Likely revenue generating by end of April, real world issues dependent.

Prices are still strong in Zimbabwe. The key here is to get the beneficiation for the 4.5% concentrate going asap: in my view, likely during June.

DYOR

https://www.cnbc.com/video/2023/03/09/why-all-eyes-are-on-zimbabwes-lithium-industry.html

In any case, the warrants expired worthless.

Interesting. Compare to Slovenia.

https://www.share-talk.co.uk/announcements/rns/pathfinder-minerals/spa-signed-for-sale-of-im-minerals/202303220700057831T

Robins, he was referring to previous legal disputes where people tried to take advantage of RRR and RRR successfully defended its position. Ie., Colombia and Kenya. There were others.

DYOR

"clearly" equals "let me make something up". It wasn't aimed at Gecamines, who are a bystander in all of this, it was aimed at a non-Governmental actor. One of the wriggly types.

But you keep on making up stuff that is "clear" to you.

DYOR

Getting to the interesting stage.

https://twitter.com/RRR_RedRock/status/1637821620570972160?t=pnLwy4-RHXis608rkI56Ag&s=19

DYOR

https://twitter.com/hajiyev_rashad/status/1637734023932923904?s=20

"violent move higher" sounds good...

DYOR

https://twitter.com/shaearussell/status/1637721927530987520?s=20

Well the Gold Price had a rush of blood to the head and briefly touched $2,008; then dropped back.

Fingers crossed.