Singapore-listed Alliance Mineral Assets (AMA) is on track to deliver its maiden shipment of lithium concentrate this month, becoming the fourth producer of the lithium-ion battery mineral in Australia.
And it has begun a journey to merge with its 50-50 JV partner, Tawana Resources, as announced recently.
|
Alliance Mineral |
36 c |
|
52-week range |
21 – 46 c |
|
PE (ttm) |
-- |
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Market cap |
S$202 m |
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Shares outstanding |
538 million |
|
Dividend |
-- |
|
1-year return |
9% |
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Source: Bloomberg |
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For the patient and long-term investor, the big story lies in the lithium and tantalum resources yet to be discovered at the Bald Hill project.
To Mark Calderwood, Tawana's MD, who is slated to be the MD of the merged AMA-Tawana entity, Bald Hill will yet deliver lots more riches.
So far, the results of the systematic exploration work on a fraction of the Bald Hill project have been solid -- it's so good, the project won funding from a third party (HK-listed Burwill Holdings) to invest in the necessary infrastructure and sign offtake agreements.
But the lithium resources defined thus far will support a short mine life of 3.6 years only.
Mr Calderwood knows, or is convinced, that further exploration work will uncover lots more lithium resources.
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