Pilbara Minerals Ord Shs T.PLS

RE:RE:RE:RE:RE:US is getting a 5-year $305BN highway Bill

[seatleslim]

Thanks. I don't know whether it is in play or not and can't claim to have detailed information on the CEMEX arrangement. I don't believe CEMEX has exclusive "purchase rights". I think it is more accurate to say that CEMEX has distribution rights. Per various disclosures, those distribution rights area governed by "market prices". In CEMEX's state, it is doubtful that they will spend capital on future terminals when they are actively divesting assets to lower debt--a good thing (exhibit A is long beach) In return CEMEX is guaranteed minimum volumes for its own use -- again at "market" pricing. Polaris of course owns and controls the resource. PLS has seemed to hint that CEMEX has not always been in compliance with its obligations under the arrangement. PLS is not in a great position to enforce nuances in those rights, since they are a single-asset operation. Vulcan or any number of others would be. The bottom line is that CEMEX needs the material -- likely desperately needs the material. I almost see it the opposite -- CEMEX is not permitted to use other imported material. What on earth happens to its pier 92 ready mix operation or anything in the west bay, without Orca material? Further, its own customers now have 5-year's plus experience with the orca material.