Update & RivisionJust a few quick notes on the company's current status & overall picture going forward. Before the Piedmont/Tesla deal, i has this compan'ys chances of securing some type of agreement with Elon & Tesla as decent, probability around 25%. This assumption being based on the capabilities of mgmt, the size/quality of Gig'a resource and the fact it could be mined in a sustainable way. For a small junior miner with a project years away, i would say the odds weren't too bad.
AFTER the Piedmont deal, it has become obvious that Elon WIDELY favours project's coming online soon, and by soon i mean by 2023 or earlier. In addition, as i've stated in the past, the food chain of first come, first serve goes like this US based ops, then Canadian or Mexico and then the rest. This of course is of no surpirse, as his Battery Factory in Texas will be online & ramping up by 2022. So he needs to secure those raw materials BY THEN to avoid complications & delays and this means locally based advanced projects will get those contracts above ANYONE else......GigaM included.
As for GigaM now, as i've stated in my last post here, they're probably getting ready to do a financing soon. probably within the next couple of weeks. This should be of no surprise as they need money to advance the process to bring the project to production on their estimated timelines. Anymore hitches or financing issue could cause significant delays in the project coming online on time and i'm sure that mgmt would like to avoid this at ALL costs. Therefore no choice here but to attempt a placement & diliute as they cannot risk everything on the possibility Tesla deals with them.
So with the Tesla hype dying down and reality setting in, investors should expect some news on adequate financing to at least get a PFS done in the next year or so. Also, investors should expect the company to release an updated PEA, hopefully by year end. Not sure why this wasn't done already, it could be a money problem or there could be more complex issues at hand delaying its release. Hopefully with the uncertainity of the upcoming elections behind us, and the eradication of CoronaV by 2021 with the help of improved nickel pricing and some luck, it should be smooth sailing for Giga in 2021. Getting the updated PEA and PFS done will go a long way to attract some attention to Giga's project and hopefully some interest by a potential partner.
For those still placing their bets on a "possible" Tesla deal, please be advised what i mentioned above. Though not completely impossible for that to happen, the odds have now diminished quite a bit. In addition, investors should also be aware that SHOULD Tesla decide to deal with some else other then Giga M, Giga's stock could be in for some rough times in the short term. Imo, it's still to early to call either way but one cannot deny the facts present and the path Tesla has set. I personally have since sold out my positions and don't own stock in Giga at this time for several reasons, of which several were stated above. Aslo, with the US elections coming up soon, i've been slowly liquidating my overall portfolio, Giga included, to avoid exposure to any possible market correction should the election results be surprising or unfavroable to the market.
With this said, should nothing come of the Tesla situation, i fully expect for Giga stock to float around these levels until financing is announced. When the financing does occur, depending on pricing, which i believe would be in the range of .50 & .75, it could curtail any possible upside unitl that dilution is absorbed. Which could be anywhere from a few weeks to a few months or until some significant development in the company.
I hope this helps some and good luck to all....