LKE - Lake Resources

[springhill]

I have no idea what the hell these guys have been doing for the last 5 years.
They have spent it fooling around in Pakistan.
Drilling a few holes, raising a bit of money, drilling a few holes, raising a bit of money. Ad nauseum.

Check through their quarterlies and you will find very little else.

I can see why no thread has been started previously. There is nothing to tell. Not worth any more of my time.

 

[greggles]

Lake Resources bouncing back in the last couple of trading sessions.

On Friday the company announced that drilling is progressing at its 100% owned Cauchari Lithium Brine Project with two drill rigs on site advancing a four-hole 1500 metre program. Diamond drilling is underway on the first hole and is currently at about 110 metres of a targeted 400 metres depth.

This morning LKE went into a trading halt pending an announcement by the company in relation to updated exploration activity.

Watching this one closely.

 

[greggles]

Lake Resources going for a run Friday and today following Friday's announcement that high fluid flows of conductive brines under pressure have been intercepted in the diamond drill hole at Lake's 100% owned Cauchari Lithium Brine Project in Argentina.

 

[frugal.rock]

G'day Al,
I have been watching Lake since May this year. Made some profit off and on their rise.
Got caught out after buying around .084 and dumping at .064, ouch.
2/3 of my current stock purchased at .042 (around 2 months ago) with the other third at .031 about a fortnight ago. A recent SPP was at 0.032 by my dodgy memory.
The support hasn't been there since the SPP and slowly but surely, weak hands sellers dumped. As you might when the SP was around .040 at the time... buggers.
However, there seems to be a shift in attitudes yesterday and whilst the support is still shaky, the resistance above .030 has dissipated.
Looking forward/ hoping to seeing it get past the current resistance at .030 and then some!
Just need the bargain hunters to find it now! Any takers?
Cheers.
F.Rock

 

[greggles]

G'day Al,
I have been watching Lake since May this year. Made some profit off and on their rise.
Got caught out after buying around .084 and dumping at .064, ouch.
2/3 of my current stock purchased at .042 (around 2 months ago) with the other third at .031 about a fortnight ago. A recent SPP was at 0.032 by my dodgy memory.
The support hasn't been there since the SPP and slowly but surely, weak hands sellers dumped. As you might when the SP was around .040 at the time... buggers.
However, there seems to be a shift in attitudes yesterday and whilst the support is still shaky, the resistance above .030 has dissipated.
Looking forward/ hoping to seeing it get past the current resistance at .030 and then some!
Just need the bargain hunters to find it now! Any takers?
Cheers.
F.Rock

Big move today following news that battery grade lithium carbonate with 99.9% purity has been produced with very low impurities from LKE's Kachi Lithium Brine Project using Lilac Solutions' disruptive technology in California.

It's all starting to sound pretty positive for LKE. I reckon the bottom is now in for this one. Currently up 51.5% to 5c on huge volume of almost 30 million shares.

 

[frugal.rock]

Yep, the insiders started buying up about a week ago or so I noticed.... check a chart if you don't believe me.
For me it was a case of twice bitten, thrice shy.
F.Rock

 

[Dona Ferentes]

Lake to be reinstated to the ASX today.

No idea how it will price; the company has onshore VIC interests, and might benefit as Andrews lifted the morotorium for onshore conventional drilling this week (not fracking)

https://www.abc.net.au/news/2020-03...re-gas-exploration-but-bans-fracking/12063196

 

[frugal.rock]

Might be a good day for holders with the PFS announcement this morning.
Some good looking conservative figures. Am hoping that this sorts out the SP stability as things progress. In any case, Lake is in a nice position with this "compelling" PFS, and set for the future.
The conservative sales figures of $11k p/t. are quite low considering average recent prices are $13 to 15 p/t. USD. Hopefully demand stays strong for a while before other lithium producers come online.
Not sure how long to expect..a year at least? Maybe 3?
Holding, bought in last Friday and Tuesday.
Announcement highlights below.

"30 April 2020
COMPELLING PRE-FEASIBILITY STUDY FOR LAKE’S KACHI PROJECT
• Compelling Pre-Feasibility Study (PFS) results for Lake’s Kachi Lithium Brine to produce
sustainable, high purity, low impurity lithium carbonate to attract premium pricing to meet
growing demand from battery makers.
• Long-life, low cost operation with annual production target of 25,500 tonnes of battery grade
lithium carbonate by direct extraction using efficient Lilac Solutions technology, based on the
Indicated Resource of 1.0 million tonnes LCE1 at 290 mg/L lithium (22% of current total resource).
• Unlevered post-tax NPV8 of US$748 million (A$1,180m) and IRR of 22%; with EBITDA of US$155
million (A$245m) in first full year of production, using forecast of US$11,000/t Li2CO3 CIF Asia.
• High margin project with EBITDA margin (operating margin) of 62%, using forecast prices.
• Competitive capital cost (capex) estimate of US$544 million including contingency, and
operating cost (opex) of US$4178/tonne Li2CO3.
• Next steps involve delivering product samples from the pilot plant to potential off-takers,
targeting lower up-front costs, and further resource development to extend project life.
Financing and off-take discussions continue."
F.Rock

 

[Dona Ferentes]

going to nominate LKE for June tipping competition, though it's already up 10% in the last few days.

The company says it is

"firmly focused on delivering multiple high purity lithium carbonate samples from the 40,000 litres of Kachi brines being processed by Lilac. The results are central to the next round of discussions with downstream EV and battery makers and financiers ...."

Lilac has shut down due to Covid but likely to restart analysis next week.

An analyst recently highlighted Kachi’s

“significant and sustainable competitive advantages” including its ability to produce a 99.9% lithium carbonate battery-grade product with low impurities, based on a sustainable process....

which may help in it having a bit of a run

(Don't Hold)

 

[frugal.rock]

Still holding.
My target, $0.15 before calendar year's end.


F.Rock

 

[Chronos-Plutus]

going to nominate LKE for June tipping competition, though it's already up 10% in the last few days.

The company says it is
Lilac has shut down due to Covid but likely to restart analysis next week.

An analyst recently highlighted Kachi’s which may help in it having a bit of a run

(Don't Hold)

I am a bit worried about the leadership team with this company.

 

[Chronos-Plutus]

Still holding.
My target, $0.15 before calendar year's end.


F.Rock

Be cautious, Nick Lindsay is a non-executive director of this company and is also the CEO of Valor resources. Lindsay has run Valor into the ground and burnt many shareholders.

Perhaps I could be wrong on this occasion, but it is too big a red flag for me to touch.

 

[Dona Ferentes]

I am a bit worried about the leadership team with this company.

I give them a month (starting Monday)

 

[Chronos-Plutus]

I give them a month (starting Monday)

Valor was a disaster of great magnitude. There is no way I could buy into any entity that Lindsay is a director of. Perhaps he is a nice guy, but his track record as a director is very loud. Maybe Lindsay will turn Valor around, but the odds are surely against him.

 

[Chronos-Plutus]

Still holding.
My target, $0.15 before calendar year's end.


F.Rock

You need build a black book (tangible or mental) of all the failed and/or dangerous mining directors. Rohan Williams from Dacian Gold is another director; I wouldn't touch any entity that he is involved in. I was lucky to dodge the Dacian Gold disaster and make money from it.

 

[Chronos-Plutus]

I give them a month (starting Monday)

A month or a year to suck in all the poor bastards and then burn them, like they did with Valor .

I could be wrong though

 

[Chronos-Plutus]

I give them a month (starting Monday)

Perhaps I am being a bit harsh Dona: but when you go to a mechanic, accountant or doctor, and people tell you that the mechanic destroyed my car, or the accountant messed up my business, or that the doctor nearly killed me; why would you proceed with taking your car to the mechanic, getting the accountant to do your tax returns, or seeing the doctor with your medical problem.

Same goes with mining directors. They are mining professionals and if they are bad at their job, then don't hire them by buying the stock.

That is a part of my investing philosophy. After being burnt before

 

[Dona Ferentes]

N

Perhaps I am being a bit harsh Dona: but when you go to a mechanic, accountant or doctor, and people tell you that the mechanic destroyed my car, or the accountant messed up my business, or that the doctor nearly killed me; why would you proceed with taking your car to the mechanic, getting the accountant to do you tax returns, or seeing the doctor with your medical problem.

Same goes with mining directors. They are mining professionals and if they are bad at their job, then don't hire them by buying the stock.

That is a part of my investing philosophy. After being burnt before

where I'm coming from, it's less complex than that. It's my tip in the competition; I have no skin in the game and no desire to put my hard earned into it.

 

[Chronos-Plutus]

N
where I'm coming from, it's less complex than that. It's my tip in the competition; I have no skin in the game and no desire to put my hard earned into it.

Well it is too late for you to change the stock anyway. I hope you win, but I sort of feel sorry for those invested, not knowing the track record of the directors.

I believe in a meritocracy, but unfortunately we live in a world of conmen it seems.

 

[Chronos-Plutus]

N
where I'm coming from, it's less complex than that. It's my tip in the competition; I have no skin in the game and no desire to put my hard earned into it.

You would be better to give it to charity, in my opinion; looking at Lindsay's track record.