Member Info for Major-Tom

Ramon, how do you come to the conclusion the Elevra are only interested in the offtake? Do you really think Elevra would be happy walk away, relinquish their current 22.5% stake in the project if they could keep the offtake?

I first invested here due to the analogies between Apta and Buritica. It was a hell of a ride as the JV, drilling and excitement developed. I'm hoping that the obvious analogies between El Cedro and Guayables has the same result.

Hopefully as you say Just a matter of time. I've re-invested in OMI once again today Took up an initial stake ~25% of my planned total holding today. Looking forward to plenty news over the coming year regarding Anza and El Pantano. The prospect of drilling results from El Cedro is what has really re-ignited my interest. That and the possibility of a JV on El Pantano. GLA.

Yeah N2S. I personally think the flotation will be a phase 2 addon. Funding at the ~$155m capex level would look something like this based on current agreements revised for reduced capex:

$70m = Project Debt ~45%

$85m = Equity ~55%

$58m = Alevra (Adjusted pro rata share of new Capex total)

$9m = MIIF (6% share of new Capex total)

$18m = Atlantic (Balance of new Capex Total)

In this scenario Ewoya is very fundable. Hopefully Atlantic and Elevra can get this iron out sharpish. Because, once funding details are agreed the only way is up for both parties.

Pure speculation, my gut instinct. The project optimizations include removal of modular DMS and potentially the inclusion of the flotation circuit.

Removal of modular DMS = Estimated capex saving of ~$30m. Inclusion of flotation circuit = Estimated capex increase of ~$20m.

Resulting in revised capex between ~$155m to $175m dependent on whether flotation circuit is included in phase 1 or phase 2. If this is the case Elevra would be well within their rights to request a revision of their share of Capex pro rata to Capex reduction. So, reduced Elevra Capex commitment between ~$58m to ~$65m. I guess Elevra could also request that as the removal of the modular DMS is a change to DFS they commitment investment against and since this will increase payback and time to first revenue Atlantic drop the "first" $70 / $65 / $58 commitment and all parties progress with staged funding.

Again, just my gut feeling for the discussions that may be going on behind the scenes.

Where are you getting $300m from? The DFS had capex at $185m and as far as I am aware this included the modular DMS. The Modular DMS was the main driver behind the substantial increase in Capex in DFS compared to the PFS. Therefor, I am anticipating a Capex reduction not an increase.

Yeah, disappointing and looks amateurish. However, seems that it was sprung upon them and glad to have confirmation no material impact on results. Would also like Q/A. So much going on behind the scenes.

The deal Piedmont / Elevra was a good deal. They committed early and got themselves a good deal. I cannot see why they wouldn't want to proceed with Stage 3 investment. To me the question is can they? Times a ticking Elvera.

Exactly, so what has changed since previous bids to put off potential suitors? IMO, nothing.

Wink, do You seriously believe that Atlantic and their lawyers would have be gullible enough to sign off on a deal that gives a minority parter a veto right in FID? IMO, no chance.

Elevra playing for time but surely wont walk away/ allow them to be diluted out of such a great deal and risk losing the 22.5% they have already earned.

Do not underestimate Assore and the people behind the company. Ewoya will proceed to production. Just a matter of what percentage Assore hold at that point. Elevra will nkt stand in the way of Assore and the Ghanaian government.

Nothing unknown in that release this morning. Total over reaction aligned with a broader market dip. Value is incredible nowm Just added another £10k. Will add more if drops further in coning days / weeks.

Yeah, nothing new. On the plus side if there eas anything concrete and materially negative relating to Elevra they would have had to include this. So guess its just a matter of impatiently waiting.

Yeah. I managed to buy bellow the mid price. My buy showing as a sell. Guess thats one benefit to Longstate's selling.

Agree, we know most of what will be in the update. Ratification in the bag, Cash position good, awaiting Elevra commitment. 😴

However, the unbelievable silence simce ratification makes me believe that there have been further takeover discussions. 🤔

I am hoping this is confirmed in the quarterly update and just added another 77k odd imcase my hinch is correct. Still plenty dry powder incase im not but. But here's hoping 🤞 for positive update.

Agree Jack, strangely the ratification delay has worked out well for FID. I was invested hear before the delay, bought back now with a few more tranches to get me back to full holding.

People seem tk be forgetting the narrative around offtakes and funding before the delay. The additional time should have given management time to really finesse such agreements. Sure things will get moving soon. This is $1bn company once in production.

Ive been through all the old RNS and documentation etc. Doesn't mention that anywhere. I will be surprised if the voting rights in the JV are not as per the equity stake. J would also be surprised if either party could veto i.e. a unanimous vote required.

How do we know for sure that the JV Council is split 50 / 50 and that a unanimous decisin is required. Seems strange for Atlantic to give such control to Elevra / Piedmont when they currently only have. 22.5% stake in the project t.

The key to understanding current statis of the project and discussions on way forward is understanding Elevras motivation.

Do they want to continue to full earn in and be part of the project?

Do they want to remain at 22.5% of the project with 50% offtake?

Do they not want to be involved in the project but still retain the 50% offtake agreement?

I have caught up with all the Elevra communications on this since the merger and I cannot work out what their aim is from the negotiations.

Drilling commenced mid June last year. Not long until we get started again. Hopefully this is the year EST really takes off. Starting from such a small valuation it could be explosive when it does..

Did some digging whilst chilling in the beer garden this afternoon to help me better understand the consequences of Elevra not progressing to fund stage 3. I was of the belief that Elevra would still retain its 22.5% interest in the project. However, I now belive the opposite.

Key points from the original JV RNS

"Stage 2: Regional Exploration and DFS Funding - (US$17m). Piedmont Lithium to earn up to an initial 22.5% of CCLP at completion of sole funding of $5m towards an accelerated regional exploration programme to enhance the current Ewoyaa resource and $12m towards completing the Definitive Feasibility Studies ("DFS") for the Project."

"If the "DFS criteria" of Stage 2 is achieved and Piedmont elects by mutual agreement not to proceed to Stage 3, Piedmont will forfeit its Stage 2 interest back to IronRidge."

"The minimum "DFS criteria" is to deliver a 1.5mtpa to 2mtpa run-of-mine ("ROM") operation for a 10-year to 8-year life of mine ("LOM") respectively."

With the DFS criteria met I cannot see how Elevra can back out of the stage 3 funding without losing entire stake in the project. Surely they will not possibly just walk away empty handed.