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Frontier Lithium Inc V.FL

Alternate Symbol(s):  LITOF

Frontier Lithium Inc. is engaged in the acquisition, exploration and development of lithium mineral properties in Ontario, Canada. The Company is engaged in a pre-production business with a focus to be a strategic and integrated domestic supplier of spodumene concentrates for industrial users as well as battery-grade lithium hydroxide and other chemicals to the electric vehicle and energy storage markets in North America. The Company’s flagship asset, PAK Lithium Project, located about 175 kilometers (km) north of Red Lake, Ontario in the Red Lake Mining District and encompasses close to 27,000 hectares (ha). It also has two other spodumene-bearing discoveries, such as the Bolt pegmatite, which is located between the PAK and Spark deposits, as well as the Pennock pegmatite, located 25 km northwest of the PAK deposit within the project claims. Its lithium products include spodumene concentrate and lithium hydroxide monohydrate.


TSXV:FL - Post by User

Comment by Margin321on Apr 05, 2024 5:34pm
203 Views
Post# 35973981

RE:RE:Frontier Lithium/ JV Stocks

RE:RE:Frontier Lithium/ JV StocksIt is very important. It is not just FL where extensions of discoveries and very important milestones like the Mitsubishi partnership are simply not leading to a re-valuation and a higher share price. It is pretty widespread across the microcap mining and energy companies.  There is a group working hard to make some structural changes, as outlined inthat video. Venture funds, mutual funds, and banks who rent pipe to the back of of house to do algorithmic trading get automatic shot exempt status which can lead to manipulation with no oversight. Short exempt status was not designed for these traders or this type of trading.

The way the markets are supposed towork  (and did in past)  is that discoveries and important benchmarks toward the desired outcome in the business plan lead to re-rating of valuation and a  and a new higher proce equilibrium. Then the share holders are rewarded and the company if it needs capital can sell a smaller number of new share at a higher price to efficiently raide new dollars. The process can repeat as progress is made.  What is happening is that the share price does not increase as the value increase, the company sells increasing numbers of shjares at lower prices, the original shareholders are punished, the company is raises very little money from the new shares and is starved  for capital to grow.  That should sound familiar because it is happening widely in this sector, not just to FL.  It is egregious that the partnership with Mitsbishi where 7.5% of PAK project was purchased t about double the value per share of the whole company, where Mitsubishi agreed to buy another 17.5% at a price determined by NAV in the feasibilty study with no reference to share price, wherethe  project aligns with the co-operative agreement of Canada and Japan to develop supply chain for EV and battery prodution inCanada, and where the CEO and Ontario finance minister are already having talks in Japan this week - it is egregious that all this had no impact at all on share price, no re-rating of valuation to reflect increased potential value of the company. That is not normal.

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