TLG Ann: Quarterly Activities/Appendix 5B Cash Flow Report - 25th Jul 2023, 11:51am

[annb0t]

TLG Ann: Quarterly Activities/Appendix 5B Cash Flow Report
Price Sensitive: Y
Date: 25th Jul 2023, 11:51am

>>> Read announcement: Google: TLG Market Announcements

 

[ACinEur]

Quick read and this is all very positive, but I do find it interesting that the mine permit is only touched on on page 9, almost reads as a after thought, haven’t heard from the court ‘nothing to see here’. Im so focused on this approval, makes me wonder if I’m worrying about the wrong risk! Or TLG are trying to play it down…anyway back to work and look forward to reading more informed comments than mine!

 

[Semmel]

Pretty good quarter for Talga nothing new in the QR but also nothing bad. Cash burn is as expected and we likely will get funding in place before we run out of cash. If not, expect another CR in about 6 months.

No significant payments from customers.. (only 5000 AUD).

All items Tracking along. talnode-Si seems on a good path. Appeals are appealing and factory is being build.

Only new information I think is the map of purchased land. Which is either incomplete as it doesn't cover the are of the current mine or we still need to buy more land.

 

[brewm0re]

Pretty good

 

[WheresTheMonkey]

"Indications of credit appetite from proposed financiers exceeds Talga’s target debt requirement."

That kind of says it all............................

 

[Semmel]

View attachment 40689

My fat fingers hit send before it was ready read again

 

[WheresTheMonkey]

If you know the Movie we know what happens next..........LOL

 

[Semmel]

"Indications of credit appetite from proposed financiers exceeds Talga’s target debt requirement."

That kind of says it all............................

I'll take paperwork on that one, thx

 

[Semmel]

If you know the Movie we know what happens next..........LOL

Don't look down

 

[WheresTheMonkey]

In fact this whole paragraph reads so well

The site visit included a tour of the EVA plant, Refinery site and infrastructure in Luleå, as well as graphite ore stockpiles and mining project at Vittangi. Talga aims to finalise the composition of the financing syndicate and obtain credit approved commitments in the coming months. Indications of credit appetite from proposed financiers exceeds Talga’s target debt requirement.

 

[cosors]

Now we're going to do another one on lithium?!

"The Company staked three new tenements during the quarter to consolidate graphite at the Raitajärvi
and Jalkunen projects, and to cover potential extensions of lithium-bearing pegmatites at Aitik East."

@Semmel
I have already picked out this plot somewhere in the Sweden thread. I recognize the outlines. I have to look...

 

[Semmel]

I have looked at the location of that lithium tenement and it's again quite far north. Not sure about the border of the reindeer grazing zones, but if it's on their land, don't expect any proceed on this within 5 years. i.e. it's irrelevant for the time being.

 

[TentCity]

I have looked at the location of that lithium tenement and it's again quite far north. Not sure about the border of the reindeer grazing zones, but if it's on their land, don't expect any proceed on this within 5 years. i.e. it's irrelevant for the time being.

Whilst i agree with you that it will be many years into the future that Talga could exploit the lithium resource, assuming for a moment that they are able to prove-up a commercially viable lithium resource, Talga would be valued much, much higher than we are now as a graphite miner IMO. The reality is the market is placing much higher valuations on lithium developers than graphite developers and we know there is a genuine lack of commerical lithium resources on mainland Europe to meet self-sufficiency targets and are without significant public opposition.

I will reiterate that I want Talga to concentrate on becoming an anode producer first and scale up ASAP via the expanded Niska underground mining plans, but I do look forward to the day they mobilise a few drill rigs to see what’s under the ground there!

 

[Semmel]

Yes, I want the Niska Expansion to utilize all the known resources in the area. Like in the order of 2Mtpa ore/ 400ktpa Anode material. Just to avoid ANOTHER sequence of forever permits and to actually serve the deficit market that is developing in the next years in Europe.

 

[cosors]

I have looked at the location of that lithium tenement and it's again quite far north. Not sure about the border of the reindeer grazing zones, but if it's on their land, don't expect any proceed on this within 5 years. i.e. it's irrelevant for the time being.

I've put my answer in the appropriate thread:
https://thestockexchange.com.au/threads/technology-resource-and-mining.31383/post-332386

 

[WheresTheMonkey]

Cash Burn.............Cash Burn..............Cash Burn......

Hard to tell how much cash is being pumped into development of the refinery and the mine and what are our actual working capital requirements to pay salaries of 60 plus people plus all the other overheads in how many countries. Generally banks won't lend to just keep the lights on. They will lend for Development of the Mine and Refinery etc

So things to look forward to are

1) Final mining permit decision
2) Offtake announcements ( note they won't secure financing unless they have proven customers which it seems they (the banks) have proof of)
3) Financing finalised

This should send the SP well over $2.00 I think towards $2.60

But once that SP has been pumped then .................

4) Another Working Capital CR (say $25M maybe 11M to 12M shares) to keep the lights on until we start to see real revenues.

 

[Vigdorian]

Cash Burn.............Cash Burn..............Cash Burn......

Hard to tell how much cash is being pumped into development of the refinery and the mine and what are our actual working capital requirements to pay salaries of 60 plus people plus all the other overheads in how many countries. Generally banks won't lend to just keep the lights on. They will lend for Development of the Mine and Refinery etc

So things to look forward to are

1) Final mining permit decision
2) Offtake announcements ( note they won't secure financing unless they have proven customers which it seems they (the banks) have proof of)
3) Financing finalised

This should send the SP well over $2.00 I think towards $2.60

But once that SP has been pumped then .................

4) Another Working Capital CR (say $25M maybe 18M shares) to keep the lights on until we start to see real revenues.

I wouldn't complain with a rights issue...