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Thank you CK. We are only going to get bulk samples after the mine has been de-watered, so I guess this is one potential positive improvement to the envisaged flow sheet/NPV that will have to be left until later. Also I expect the de-watering will not start until funding is in place not just for de-watering but for renovating the mine and building the process plant i.e. completing the job, as it would be crazy to start de-watering not knowing whether you could take advantage of the mine being drained at the end of dewatering. So the proposals put to potential sources of finance will not be able to take that potential improvement into account in their calculations. But it is certainly nice to have a potential upside to the figures to mention.

CK May I pick your brains?
Page 137 of the PEA deals with recovery methods. There is no mention of x ray sorting. What difference do you think that might make to the recovery rate if introduced? And, if introduced, how many x ray sorters do you think SC might need?
Their introduction at Hemerdon is forecast to make a big difference to recoveries and to reduce the total amount processed. Am I right in thinking that these were not considered in the PEA because they were not widely used at the time the PEA was written? I wonder if this might make a substantial difference to the NPV.

ITA conference: RW on at 12.10, and interestingly, Thomas Bunger (First Tin) on at 11.50

(First Tin has Mark Thompson on Board.)

CK I think we will be hearing a lot more from the CLICC project !
The Trelavour news will swivel the spotlight onto Cornwall generally though.
All Cornish companies are likely to benefit as a result. The ITA conference is today. Listening in.

ATB

Wolves
This probably because HUI only paid a small percentage of the agreed fee to begin with.

The announcement about Trelavour will be huge news. It is going to put Cornwall on the map big time. Cornish Lithium, assuming it can extract a significant percentage of the contained metal announced today, is likely to be worth £ Billions. A real nothing to Billions story. This will be global news.
Investors cannot buy into Cornish Lithium as it is not quoted on a market - it is a private company.
So investors will consider where else they can find similar rock/opportunities - and that is Cornwall.

Our CUSN owns mineral rights covering over 15,000+ hectares throughout Cornwall. That is over 30,000 acres of some of the most promising areas. It has a most helpful name - Cornish Metals.

There is going to be an awful lot of interest in what CUSN can offer ......... Enjoy the ride. GLA

MO 12.13
Are you referring to the Trelavour resource statement today? If so, Trelavour is not on CUSN's mineral rights area so no royalties from CL would go to CUSN as a result.
If you are referring to CL's activity at United Downs, that is on CUSN's mineral rights area and a royalty would be payable, but I am not aware of the possibility of that providing 40,000 tons per annum..............................are you?
Otherwise I agree this is great news for Cornwall, CL, and CUSN

The JORC suggests CL is going to be worth Billions.

IF CUSN has 0.5% of CL, that is £5m per billion of value of CL..

So this suggests a significant uplift in value to CUSN.

What it also does is to raise the question as to the values of the minerals within CUSN's rights areas. A rather dramatic re-appraisal will be necessary, no longer will it all be about Tin and Copper - important though those are.
The same will be true for SML and other explorers.

Perhaps we are getting to the truth behind the rumoured closure of the short position in CUSN yesterday.

1. Try valuing "and 3,417 t Cs as potential by-products" Mind blowing! $100,000 a kg
This must be a game changer for CL

But caution Read this
".....the metal is extremely pyrophoric, ignites spontaneously when in contact with air, and explodes violently in water or ice at any temperature above -116 ° C. "
So quite a challenge to extract and isolate it.

2. Trelavour is NOT on CUSn's mineral rights area, so the benefit to CUSN comes through CUSN's ownership of a small percentage of Cornish Lithium shares.

3. Lepidicos method seems to be the lowest cost method of production.

4. CL have exclusive rights for Lepidico's process for the St Austelll area. So Imerys appear to have to go to CL if they want to use Lepidico's process. Would be interesting to hear what Imerys say about this re their JV with CL.

No wonder TechMet invested. I wonder if they were told about the JORC before they signed up?

The Maiden Resource is a key component of the current scoping study, which is on track to be published during Q2 2022 (the “Trelavour Scoping Study”). Key features of the study include:

Study to be based on producing battery grade lithium hydroxide utilising Lepidico’s L-Max® / LOH-Max® low carbon processing technology, a patented hydrometallurgical process to extract Li and other Li by-products

The Lepidico process is a low-energy, ambient condition leach using conventional industrial equipment and without the production of sodium sulphate

Lepidico’s case studies have demonstrated lower capital and operating costs for the technology compared to other known processing routes

Cornish Lithium has an exclusive licence in place with Lepidico which covers the entire St Austell granite region

Bench scale testwork has demonstrated that the Lepidico technology is applicable to mineralisation found at the Trelavour Project

Proximity to existing infrastructure is expected to reduce project capital costs

The Resource contains higher-grade zones, some of which are at surface and are expected to provide optionality for mining

Significant levels of high value co-products:

51.7 Mt at 0.11 % rubidium (“Rb”), 3.93% potassium (“K”) and 66.1 g/t caesium (“Cs”) resulting in contained metals of 56,870 t Rb, 2.0 Mt K and 3,417 t Cs as potential by-products

The Resource extends from surface, meaning a very low strip ratio, down to a maximum depth of 140 metres (“m”)

Estimated using drilling data from Cornish Lithium’s Trelavour drilling programme, which was completed in June 2021 and comprised a total of 30 drill holes totalling 4,358m

Jeremy Wrathall, Founder and CEO of Cornish Lithium, said: “We are delighted to announce this significant project milestone of Trelavour’s Maiden Resource. This is the culmination of a significant amount of work from the project team and will be a key element of the Trelavour Scoping Study, which we expect to publish during Q2 2022.

“We are excited about the potential of the Trelavour Project, which we are looking to develop utilising Lepidico’s low energy and low carbon footprint processing technology. This project is also expected to make use of the existing infrastructure in close proximity to it, which will both reduce the cost of development together with further reducing the project’s carbon footprint and minimising other environmental impacts.”

Cornish Lithium announces a Maiden JORC-compliant Resource, signed off by Competent Persons, Mining Plus UK Ltd, for the Trelavour Lithium Project

The Trelavour Project is located in a non-operational china clay pit in the St Austell region of Cornwall
The total Maiden Mineral Resource Estimate at the Trelavour lithium deposit is:
51.7Mt Inferred Mineral Resource at 0.24% Li2O for a total of 122.4kt of contained Li2O
This equates to 51.7 Mt at 0.11% lithium (“Li”)
56.9kt of contained Li metal, and
302.7kt of contained Lithium Carbonate Equivalent (“LCE”)
The Resource is expected to support a mine life of 15-20 years

MO "My question is why 9 m + another 9m in Q2 2022"

TechMet's investment into Cornish Lithium (NOT CUSN) will occur in two tranches: The first tranche of £9 million will be invested upon receipt of shareholder approval and the second tranche of £9 million will be invested, at the option of TechMet, following the delivery of the Scoping Study for the Trelavour Hard Rock Project (“Trelavour Project”), which is on track for completion in Q2 2022.
TechMet clearly want to see the result of the scoping study at Trelavour before they put in the second £9m tranche. If invested this comes at a higher price per share.

Cornish Lithium has recently stated that it hoped to float in Q2 2022. That time was chosen as it would be after a number of uncertainties had been cleared up. Those were
1. the publication of the maiden resource statement incorporating both Trelavour and UD.This was expected in Nov 21, so is a bit behind schedule.
2. the results from the pilot plant - i.e. analysis of the water extracted from the 2? km borehole at UD. The water is out, so the pilot plant has to be built to analyse it. At the AGM these analysis results were expected in Q1 2022.
3. The results from the Geocubed JV. i.e. how the 5km deep project had fared. We already know the Lithium percentage (Around 260 ppm) so I guess it is about how the energy created from hot brine has been used and what the project economics look like.
4. Results from the JV with Imerys.

Cl mentioned there were other metals in the brine at UD, but Cu and Sn were not among them.

Interesting that the short positions are posted on the 15th and the last day of the month. The action yesterday was on the first day of the month. If someone wanted to close their short position over a period of time without it being too noticeable ( who wants to let everyone know they are a big buyer in the market) then the day to start buying back would be the first of the month as it would give another 14 days before the closing of the short position became apparent. We may find out on the 15th.
We still come back to the question, why anyone trying to close a short position in CUSN would do it in such a hurry and pay up to 44 cents a share to do so. That just gives rise to the idea that someone knows something very positive is about to happen, having previously thought the shares would decline.
My guess is that a shorter was counting on CUSN's need to raise funding for dewatering as being an event likely to trigger a price fall - ( have to offer shares at a discount to get them sold). Perhaps when Techmet appeared on the scene and funded Cornish Lithium, the prospect of royalties arriving and a jump in the value of CUSN's holding in CL, undermined the shorters argument and he/she decided to close the position. But why the hurry?

MO
A couple of cracking finds there. KMX seem to have upset the applecart. From what was being said recently at the UD visits both after the Cornish Lithium (CL) AGM and during the mining conference, it seemed as if CL had narrowed down their partners on the 2km deep brine side to just two. Neither of which was KMX if my notes are right. So, KMX has come on the scene had their system checked out and become a partner v quickly. It looks as if they have a transformative technology.
Some caution is needed. If this KMX tech works on the salar brines then it may make them very cost competitive. The key is whether KMX have found a way of getting rid of contaminants. If so, then one of CL's advantages may have been eroded.
Back to the big picture. This is a very fast moving situation. It would be easy to jump to conclusions about TechMet's arrival and tie it in with KMX. However, Not even billionaires part with £9m without doing their due diligence.
As regards CUSN, the time at which royalties will arrive may have just been brought forward by these two announcements. For CUSN this is great news as it means it will be easier to fund the raise of £20m-£25m for Dewatering of SC . It may even be the case that only short term funding will be required, until royalties come on stream.

If someone, or a concert party, is trying to build a stake in CUSN, then they will have to disclose once they have 3% (or 8.3076m) shares.

Fozdog
Interesting to consider if the TechMet deal has kicked this off in some way. It may just be attention has been drawn to what CUSN has, or it may be that the TechMet deal makes the likliehood of royalties considerably greater. As MajorOak has pointed out the royalties could be considerable. Just £14m of royalties could make about 20% difference to the current share price, given the market cap of £55m .
MO
I think the TechMet deal was destined to go through as directors and in particular JW held over 50% of the shares. So I guess it is wrapped up. That may have been a trigger for this surge.
By the way the disapplication of pre-emption rights is for 5 years, and the BoD have voted themselves the right to issue 126,000,000 in placings. So massive further dilution is in prospect.
Perhaps it is better to own a smaller percentage of a huge company than a large percentage of a small company - that is what must be going through JW's mind now. I suspect his existing shareholders would have liked to have received the same offer as TechMet but at least they will see strategic moves happen quickly and may not be called upon for finance again. Time will tell.
The knock on from royalties coming in, is the added financial security which can be offered to those being approached to finance de-watering of South Crofty.
One can see all the percentages moving in the right direction for a huge release of innate value here.

Big volume went through in Canada today. I think I saw the screen flash onto 44 cents at one point. Certainly someone is happy to pay 42 cents for these shares. Frankly I think they are worth a lot more, but it is a surprise to see such a turnaround in London where they were 16.75-17.5p before the fun started. Either the short position has been closed in a hurry - which poses the question why now, or someone is trying to build a stake in a hurry, also why now?
There cannot be many copper and tin resources as close to mine opening - with full permits in place in the world. This happens to be in a reliable jurisdiction so is more attractive. I think the scramble to buy resources is showing its head here. We have seen some sizeable investments into the geographic area recently, which has served to put CUSN, SML and TUN and CL very definitely on the map. Lunchtime tomorrow may be interesting.

Looks like someone is DESPERATE to close a short position.
Question is why would they want to do that in a hurry?

https://finance.yahoo.com/quote/CUSN.V/ ==23.576p