RE:RE:RE:Crazy tin foil hat theoryY93H1979 wrote: I agree with you about the PEA. It has to be done ASAP, but I think a lot of people will already have a pretty good idea about the numbers. We already know a rough strip ratio, and the sulphuric acid consumption. If they have a plan in place to source sulphuric from Southern copper, that would save on the building of an acid plant, which would save heaps of $$$.
I agree Austrian, $5000 EBITDA per tonne is conservative, I would be interseted to find out what 99.7% LiCO3 really sells for!
I understand your point, but the thing is when I do the numbers assuming an initial production of 50,000 tons of LCE followed by a steady ramp up to 100,000 tons during the next 10 years, a $7000 EBITDA per tonne (very possible including byproducts like cesium/rubidium), $800 million initial capex and uranium production from the third year onwards it results in discounted flows of up to $4.5 billion. I might have made some mistakes, but the right figure given these assumption may be around that.
Y93H1979 wrote: Thanks for linking those articles Juan, very interesting indeed! I like the first one, a lot of info there. 25 companies having expressed interest is intriguing if indeed it is true!
I like that they would not cede control of this project and express their desire to see it to production. The best possible outcome for us longs is a bidding war.
I liked Dr Stefans comment about expecting/hoping to double the U resource. He must have a lot of faith in the rest of the radioactive anomalies in the Falchani area. Lets hope his faith is well placed. A doubling of the U resource at Falchani grades of 600ppm (at surface no less) would make this a truly world class U deposit, and in my mind would make it competitive even to Arrow. Arrow can produce more per year, but cost wise, PLU would be in the same ballpark with much less upfront capital and shorter time to production.
That's exactly what I thought when I read this article. As you say, if it's true that 25 companies have expressed interest and if Dr. Stefan's faith is well placed then it's a matter of time because that number grows to 40 and a few of them start trying a hostile buyout or even buying a control stake in the open market. With market cap now below USD 75 million one of these companies could buy a controlling stake by rising the price steadily to CAD 8 per share with an average price of about CAD 5 per share which in total would be around CAD 200 million or just USD 150 miilion, less than the maximum value estimated by Austrian007 in other post.
Y93H1979 wrote: I agree with the tone of the first article, that this all comes down to the relations with the communities. This is so true for all projects in South America. Let's hope that their relations really are as good as they say. At least they were allowed access after all these years!
Totally agree with you. In this region of the world relations with communities are much much much more important than any paintings no matter how ancient or "valuable" they are. The fact that the company has waited for years to access Chacaconiza speaks loud about the seriousness with which PLU is approaching these affairs. Indeed, Dr. Solis looks like a comunero himself, so he might be one of them!
Austrian007