RE:Our JV Partner news todaytiger2201 wrote: tiger
Lithium Power demerges Western Australia assets from Chilean assets
Today Lithium Power International (ASX:LPI) announced plans to demerge its Western Australian hard rock lithium assets.
The demerger will create a dedicated, Western Australia-focused lithium exploration company with the management team and resources to realise the value of its WA assets, said Lithium Power. The demerger will offer existing LPI shareholders the opportunity to create long term value via a new, ASX-listed company, while Lithium Power will focus its resources on developing its Maricunga Lithium Brine Project in Chile.
The company said it has a number of "...highly prospective assets located in WA that are at an exciting stage of exploration."
"These assets deserve their own time, attention and resources, and LPI’s Board believes that it is the best outcome for LPI shareholders to create a dedicated, WA-focused company that has the technical, human and financial resources to advance these exciting assets," said Lithium Power’s Chief Executive Officer, Cristobal Garcia-Huidobro.
"A capital reduction and in-specie distribution to LPI shareholders will provide a direct level of participation in the WA assets. It will also allow LPI to focus solely on the development of its flagship Maricunga Lithium Brine Project in Chile, which is at a much more advanced stage of development."
Thanks tiger.
This is a big news, that also is big time underappreciated.
Maricunga is on the move!
BRZ is 80% of the orhanage stage and, if standard model of development can be apply to it (so far it is fit perfectly into the model), market cap of BRZ should increase 6 -10 folds over next 1.5 years...Of course, dillutions will trim s/p, maybe even by 1/2.
Nevertherless, BRZ looks too much like mini-NLC in that sense.
So, I sold all my CYP and bought BRZ (it seems that you and me are major buyers over the last week). Now BRZ is 100% of my Li. The patience is the key, now.
In fact, I wish that an update DFS would be delayed. There are obvious possibility to increase the tonnage of Li with only few extra drillings.
2-2.5B NPV in DFS is good, but 4B would make bigger splash.
At the same time, timing to start digging the ponds could not be better.
That is why Australians divesting from their higher cost, longer term assets and will be focusing on Maricunga.