3Wk·

Lithium

$EUR (-5.22%) 🚀 I'm really excited to see if anything else works.

8 Comments

Tenbagger2024@Tenbagger2024

3Wk

Had a good nose

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Patrick Schäfer@Hotte1909

3Wk

Are you invested?

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~ S.@Semos25

3Wk

@Hotte1909 Yes, I bought a few days ago. My purchase price is 0.11 euros 😅

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Ule@PeterUle

2Wk

Same here. Already had it on the screen at 5ct and wanted to buy it. But that didn't work for days at Trade Republic, only when it cost 15ct. I was still able to buy them for 11ct in the end and am holding them for now 🙂

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Masterclass@YoJazz

2Wk

If you look at the current situation, especially with regard to the Wolfsberg lithium project, it all seems a little dubious.

1. lack of permits / lack of project maturity
- Although the company has had mining rights since 2011, essential permits for mining were still missing at the end of 2024. (EIA / environmental impact assessment has not yet been formally decided)
- The operator claimed in press releases that the mine was "fully approved", which is misleading according to local authorities and the media, as procedures are still pending.
- It became public that the competent authority (Carinthian provincial government) would most likely insist on an EIA, which would take time and effort.
2. ambitious timetables & optimism
- Statements that mining could begin as early as the end of 2025 are highly optimistic and not well-founded.
- The financial requirement (approx. USD / EUR 500 million) was mentioned several times - sometimes as if this was not a major obstacle ("Nope" was the response to a question about the lack of capital).
- Turnover figures and value creation levels from lithium hydroxide production were presented with idealized parameters (lithium prices, production volumes) and associated with great potential.
3. lack of communication / lack of transparency
- The company was difficult to reach in the community, answers were delayed or evasive, partly channeled through PR agencies.
- In the company register, a Viennese landline number is listed at the address in Wolfsberg, which refers to a law firm - this appears to be a detour or concealment.
- The mayor of the municipality expressed skepticism and described the project as more speculative than a genuine mining project ("They want to get approval to drive up the share price and then sell if necessary")
4. previous sanctions / regulatory complaints
- The FMA (Austrian Financial Market Authority) imposed fines, e.g. for late ad hoc disclosures or misleading market communication
- There were reports of house searches at offices, problems with former corporate structures and possible corruption allegations against Tony Sage, founder / liaison person.
5 Motives and intent - allegations of speculation
- Critics claim that the project primarily serves as a capital market vehicle: i.e. holding mining rights, advertising permits, increasing the share price and then either selling or disposing of holdings.
- The suspicion is expressed that the primary aim is not to mine, but to act as an investment and speculate.
6. capital requirements / financing gap
- It is often emphasized that around USD 500 million (or EUR) in financing is required to actually implement the project - a considerable sum that has not yet been fully secured.
- In earlier reports, the targeted investment framework was stated as ~EUR 450 million.
7. risks in the valuation environment / market distortion
- Statements on future sales are based on idealized assumptions: high lithium price, constant demand, smooth production.
- Comparatively little public information on cost structure, technical details, energy and water requirements, etc.

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