Member Info for Malik-

*Resource attached/effectively SAME as EMH. On German side of border
*Clear rational to consolidate both resources as ONE (M&A tgt)
*Co seeks 100% of its pjct up
from 50%, doubling upside
*Resource multiple will have to CONVERGE to EMH’s => 6x UPSIDE

Taking half output is very substantial.
Usually, offtakes are for a third of output.

I am not sure I agree. European Metals is also doing its DFS due by October; and the stock is trading at a 2x premium. It has yet to announce any offtake.
Sav should re-rate as a catch up trade to mirror valuations of those that have or are close to an offtake.

Stock has been underperforming recently it’s key hydrogen peers; with no fundamental justification.
I expect a catch up trade and fast.
This stock should be valued at no less than £700m, given the ABB agreement.
And that’s without accounting for the BIG upside optionality from the brand marketing at Extreme E, which begins in March.

Thanks.
Takes:
*Strategic alliance deal expected to be finalised in April
*DFS due in H2
*Galp to take active role in DFS
*Galp stake in project could rise beyond 10%

All in all plenty to look forward to!

*hold

Means the Portuguese govt will gold 0.8% of Savannah capital.

I just found out that Galp is 7.5% owned by the Portuguese government.
This is very interesting and very good for us.
Means the govt backs the project!
Facilitates environmental process too therefore.
This is KEY

Thanks for flagging the risks.
It’s a super low Capex project compared to peers - which explains its very high IRR.
Such Capex figures are insignificant for a player like Galp by the way - and out of all the European Lithium projects, I think this is the one easiest to obtain financing. This is a project in Iberia - and Spain too wants alto build an EV supply chain. Spain’s problem is that it’s main lithium resource (San Jose) has enormous backlash from local authorities and citizens and so is unlikely to ever see light of day (at least that’s what the market believes). This makes this project all the more exciting!

I am new a shareholder and very excited about (low risk) considerable upside from here.

I am sure people are focalising on the 6.4m for 10%.
I suggest people have a look at price CEZ paid for 51% stake in EMH’s resource earlier this year (March).
Look where EMH trades today. At triple that...

This should be up 80% today and 20% tomorrow on this news - were this an efficient market. Sadly, we are dealing with people who have no idea about the valuation of lithium resource plays.
No brainer buying opportunity.

Derating on no fundamental grounds (just some poor technical argument of overbought rsi). Dirt cheap, trading at 5% of blue sky.

Co has:
-30Mt/68.3% Fe
Vs Fenix Res. in Australia (Fe pjct) has 10.5Mt/64% Fe and trades at USD90m mcap
-80Mt/1.12% V2O5
Vs Bushveld (producer) trades at USD360m mcap for 550Mt/1.6-2% V2O5

Galp is an energy company.
This is actually really interesting as could be the first of oil&gas companies entering the lithium upstream market.
Could be transformational for the sector, given their size!

Don’t see any mention of delay here. Just that further info requested.
This aim market is totally inefficient: unreal.

Yes.
Forget the cash injection.
This is HUGE for value!!! I suggest you look at how Piedmont reacted when offtake was announced. Or look at what’s happened to EMH valuation over last couple of months - since market became aware it’s the likely candidate for off-takes in Germany.
Offtake talks on 50% of production over c8y...
Game changer.

...following today’s announcement
https://www.proactiveinvestors.co.uk/companies/amp/news/938166?__twitter_impression=true

E-mobility fest, could be a game changer for the company I believe.

Up 20% only, the market it totally missing the implications of today’s news.
Stocks which hold offtakes - eg. Piedmont; or on the way to - EMH & Bacanora trade at resource multiple of c2x that of Savannah post the 20% rise this morning...
This is very significant indeed and having missed the boat earlier, I bought in today on the announcement.

My calcs above are obviously before the 70% capacity increase.

It’s simple.
You do: volumes * Price = revenues
The Apply margin.
Volumes: they had 96bitc late month. Say 100 normalised
Then apply the average Bitcoin price year to date (probably c35k).
They said this morning they have been average at margins ‘well above 70% since the start of the year. Your interpretation of what well above means. Perhaps something like 76%?
There you go