Member Info for tomcat-14

lol… always safer to wait until after the news arrives and you know exactly how much we will make from sonora… obviously with the right news… it will be too late… but… that’s life… in it to win it… as they say… my guess is news after close friday… what’s disclosed might not involve us at all… but hopefully will take the brakes off sonora so that it can be developed at scale…

which could also help us automakers looking to vertically integrate a mexican controlled sonoran lithium mine… fund the purchase of kdnc’s 30% jv’s in mexilit and megalit… ;)

this could actually mexicanise sonora at the same time… making it qualify for some of the usa funding that jimb has posted previously… mexico having the majority stake/control…

sorry zoom… not off topic honest… it demonstrates that ganfeng can simply hand over to mexico (litiomx) their bacanora shares in sll (50% sonora)… and a few more… in a deal where they have effectively paid all the taxes and royalties upfront for anything that sll does along the lithium supply chain… removes the risk to mexico of ganfeng not paying their dues… also removes the risk to ganfeng of mexico changing the rules again and charging 90% vat on lithium or similar… this is without handing over the concessions… but would surely be an amicable deal for both parties… don’t ya think…

appreciate that bannor… 1,2&3 is vat in country (if all this is actually done in country)… 4 is vat in country if the car is sold domestically… 4 can be zero rated vat for exports… but the vat to buy all the materials and components to build the car to the point of export… is already accounted for in 1,2&3… as it’s value is added… by virtue of mexico ensuring that 1,2&3 is done in mexico… they are securing the associated vat associated with this in country lithium supply chain…

different but the same… applied at the point of sale… whether that’s as it comes out of the ground… or out of the car showroom…

bannor… vat is always collected at source… it is deductible downstream… vat liabilities = input vat - output vat (seller deducts vat paid to his suppliers from vat collected from his customers to ascertain his vat liabilities)… as the ore is the source… that’s where vat for it will be accounted when the lithium is sold… additional vat is included along the path to the end product by each manufacturer/supplier as the value is added by them to those oem products/elements within it… but it most certainly can and is/should be included at source… vertically integrated lithium would be different… ;)

lol… don’t think their intentions are to kill it before it’s started… pretty clear to me what mexico want out of all this… and pretty clear from all the recent reports we’re getting… they’ve got the result…

mexico’s interest in sonora…
7.5% royalties…
27.75% corporation tax…
16% vat…
51.25% total…

can’t see them at the plant site yet… but it looks like there’s something going on at buenavista…

most of the containers have been shipped out too…

looking at the demolitions next door to the pilot plant… at the side of fords car plant… and hole in the wall… there might be a few noises coming from that direction soon…

i’d be very surprised if they do give them any of the concessions though… so still can’t discount the possibility that ganfeng will give all their bacanora shares in sonora lithium ltd… to litiomx… the fully funded ones… keeping their unfunded ganfeng shares… in exchange for a 100% tax break… sll still looks so well primed for the sonora partnership deal too… and ganfeng did get them on the cheap off bcn’s shareholders after all…

100x20=2,000…
50x2+75x18=100+1,350=1,450/2,000=72.5%…
not quite…
50x3+75x17=150+1,275=1,425/2,000=71.25%…
nearly…
50x4+75x16=200+1,200=1,400/2,000=70%…
spot on…
a 4-year ramp up it is then… ;)

50%/75% : 50%/25%…
not sure how close that consolidates to our 70%/30% jv split… but our jv still looks so well primed for a battery manufacturer coming on board in the sonora partnership being created…

everyone’s a winner…

100% of the la ventana production going into the mexican in country lithium supply chain… all the way through to ev’s… mexilit being used to supply ganfeng’s 50%/75% offtake plus the mysterious offtaker yet to be revealed for the other 50%/25%…

if anything… it’s feels like the stage 1 pilot plant to me… la ventana… 100% ganfeng owned…

in a first stage… a partnership will most likely be necessary… also in the battery manufacturing part… the lithium business will be fundamental for mexico… the treasury estimates that the nationalisation of lithium and the attraction of the value chain in sonora… the state with the largest reserves… has a potential value of $600bn… more than 1/3rd of the gdp in 2022… litiomx’s partnerships with the private sector will be based on stewardship of the mexican state to prevent profits from lithium from going to other countries… he explained… as happened with the exploitation of copper… in addition to guaranteeing technology transfer and the hiring of personnel in the region where there is a lithium project…

i’m not sure ob… i don’t think they actually need to do that if they come to an amicable agreement… i think that they will treat sonora lithium as they do oil and other minerals… as they have stated… mexico owning the mineral rights… but this time with more control and restrictions on export… and on the condition that a significant lithium supply chain is established within mexico… mexico then receiving the usual royalties and taxes from the whole mexican lithium supply chain that will result in significant revenue income into the government purse…