Member Info for Laverda

Muppet I see it from Hainan's side not ours.

How big do you think this resource will grow to at the end?

How much will a company have to pay for the flotation offtake?

If the resource was 100m tonnes at the point that the flotation plant was complete and working, how much would it cost at that point to buy out a JV partner?

Taking all of those costs into consideration and increasing this cost for an upfront payment, spread out amongst the remaining tonnage from the mine how much would that increase Opex per tonne?

Remember Hainan is not just a miner, it is processing too and may have further ambition.

It is securing that cost as low as possible per tonne which will ensure the rest of their major investment is a success.

So then wind back to us now, how much would they be willing to pay to entice us out early?

We will have Nielle and potentially an offtake agreement forward payment to fund the flotation plant, with other options available to us.

For once Basher you predict something forward. Rather than always after the event.

I think there will be a buyout offer, you think a takeover, possibly aggressive?

Let us see.

PS equivalent opex cost of course.

The likes of Hainan with their mammoth investment in lithium are going to have to secure low cost sources.

Ironically I think the low cost mines in a low profit environment may become more valuable because they are the ones which enable producers and processors to weather the storms.

Surin, there will be no take out or on the cheap, although no matter what the buy out price there will always be one...

It makes sense for Hainan to buyout Kodal, because they can afford to and only add 5-10 dollars per tonne to the opex cost providing raw material to their plant in Hainan province for under 670 dollars per tonne. They also would not have to give anything for the second offtake agreement to anyone else.

But logic doesn't always follow so we will see.

With the high price of gold, Kodal may be better off retaining the income from Nielle and be 100% in control then develop and sell Fatou while looking for their next site.

But Bernard has all the available information and expertise so he is better positioned than us to see the best way forward.

Yes Elcobble, the CGT was visible, normally it is not. So it created issues.

This will be a cheap supply of Lithium for Hainan and for not a great lot extra per tonne off the entire estimated resource they could secure supply for their plant.

It boils down to if they are brave on their estimate of the entire Bougouni plot or try and do a deal on only known tonnage.

As an example only, 250m dollars is 5 dollars per tonne additional cost on 50m tonnes resource.

If they are brave and throw a good deal out now Bernard can't really walk past it.

Elcobble, it has moved on one stage from there in the last presentation.

The payment is due on transfer of the licence or by 31st March whichever is sooner.

It is awaiting government signature in the last presentation.

My own view is the government will not sign until they are confident that the mine and plant works. I don't think the spodumene produced and 50% output will do that - I could be wrong.

I think the next communication from the mine may trigger the signature as I am expecting a good update as most of us are.

If you look at all of the mines still trying to get things working for over a year, Hummingbird so sad, everything perfect but they couldn't get the ounces and so on, you can understand why the government would sign this at the last moment. Nothing to do with power or anything else.

The government wants loads of mine options on the table of mines which work and are viable and decide which ones they are going to buy into and which ones they are not. As soon as they issue the transfer they have 12 months to exercise this option.

So basher to be clear, your post for removing 50% to invest in another company was dodgy or just need a little bit more clarity?

You removed your investment not in 2023 where we were doing the transfer of the licence to death and had our concerns at this point but after the government did a MOU.

At which point you became concerned about Kodal, Hainan profitability etc etc and we should take note and bow to your amazing perception?

Sorry if I don't see the logic or ingenuity in your methods.

I would have sold 2023 if I was overly concerned about the licence transfer.

The raft of MOUs in 2024 instead of transfers did have me completely baffled as I thought it the same amount of work to do either, handling twice not sensible.

However upon seeing that the government 12 month countdown begins on the transfer of the licence for all mines it now makes sense.

The Basher you can't remember what you previously wrote, hazard of trolling I suppose: I was in Kodal, made good profit, but got out when the mining license transfer wasn’t completed in a timely manner - something didn’t smell right.

But you made good money from their production progress?

Chaffy, that is the end of the accounting period. So there will be a revaluation for real in the accounts, but they aren't released until later in the year.

So the brokers may take a stab at it.

More Tosh on the board:

promote the success of the company for its shareholders’ benefit;

Not successful yet, we are eagerly anticipating the outcome over the following days and weeks.

So you mean lie.

The Basher - invented conspiracy claptrap - its naive to think otherwise.

Best get back to looking for UFOs and the yeti.

As far as companies go, venture capital and early start ups, simply focus on the business and when it generates profit.

Not share price charts or any other crystal ball software.

These are early stage businesses. Very simple.

The shares and companies which have bombed - no profit - not viable very simple.

Cut and paste:

Initial spodumene concentrate production has successfully been achieved during the commissioning of the DMS processing plant and the concentrate grade of 5.53% Li2O is extremely encouraging at this early stage of the ramp up.

Onlyking grades already hit 5.53%

Tidal - not sure 'optimistic' is the correct word. The day the full plant ran spodumene was produced and within days it was operating at 50% output.

Slowly increasing the speed in case of any assembly/design faults.

History and fact.

Waiting for the next release of history and fact.

Great place to be.

Neildra you are welcome to your opinion.

I obviously disagree.

The Basher the longer what goes on? Production? They were running at 50% last week. Interesting to see what the next update states.

Double six if you were aiming to take out your money before the mine produced profit, before Nielle was valued and before the resource upgrade, I imagine you would be disappointed.

But two questions:

Which idiot would sell now?

Why would someone pay top dollar for your shares before proving value?

Rob government is issuing MOUs not licence transfers. Did not make sense to me last year when I saw a few including ours.

However last week or the week before discovered that the 12 month countdown begins for the government when the transfer is complete for their purchased share.

They aren't going to issue a transfer until the mine works otherwise they will be forced to make an investment decision blind.

Makes perfect sense.

Buyout on the horizon?

Ricky those are (allegedly - from the source) Barricks conditions.

The gold is seized for tax.

The employees are detained for other crimes. I can't see why they would release the staff - but it is Africa.