Neo Lithium Corp V.NLC

Unexpected results - 100% partner focused

[supersceptic]

The only expected part is size of ther reserverse.
Otherwhise, the direction is completely taken investors by surprise, judging by comments, anemic s/p and volume move, and my own expectations.

Brisk resource growth and materialized reduction of costly reagents made me think, that we will see larger project (50K/year) with higher CAPEX, but capped due to smaller pond requirement, say 650-700M, and lower OPEX, say 2,400 with end result:  2B-2.5B NPV.

This could be relevant 1.5 year ago, when Li was in deficit territory and the bigger the better mentality prevailed.

We do not know what kind of talk happened behind closed doors: partners might be more interested in lower, safer investment , even if it meant lower return.

It will be definetely easier to find 300M than 500M. Partner will also like 50% of IRR and nearly ridiculous 20 month payback time.
Partner will have to provide only 100M of equity and 100M of debt guaratnee.
With 200M in pocket and FS on hand, finding another 100M will be a mere formality. 

Now, we will wait for EIA approval, Pilot plant and drilling results. Minor catalists that can lead to much bigger news  - financing and FS.

That will be huge and hopefully with minimum dillutions.