re: Diving deeper on Standard Lithium?

As I understand it inferred resources primarily rely on seismic studies and/or educated guesses based on the underlying geology. The Canadian NI 43-101 standard does not allow companies to produce economic assessments with respect to inferred resources. This is the most uncertain resource classification category. In order from most uncertain to most certain, categories include (1) inferred, (2) indicated, (3) measured, (4) probable and (5) proven.

The Lanxess play, by contrast, is classified as an indicated reserve. This means some (typically widely spaced) drillhole campaigns have been conducted, meaning the resource is somewhat well defined, but by no means certain. However, promotion into this group allows a company to issue an economic assessment, hence what prompted Standard Lithium to commission the same.

Standard Lithium’s economic assessment produced a post-tax NPV of nearly $1.0 billion using reasonable assumptions. The Company is a 30% party to the JV with Lanxess, bringing their share of that NPV to $300 million. The aforementioned assumptions are arguably conservatives because where costs are uncertain, the study tended to guess to the high side and assumed no optimization.

Standard Lithium has a current market cap of around $80 million, so you’re looking at something like a 3-bagger assuming all of the projections turn out to be accurate, the stock isn’t bought out first, commodity prices don’t plummet, demand for LCE turns out to be as robust as expected, and the company is able to execute on its plan.

Is the above summary consistent with your understanding? Also, do you know if the company has plans to achieve “measured” status? It seems that would be an attainable next catalyst. Thanks