GREENPOWER Forum: Community User: Di2_1

I'd like to add another important point here (which I already mentioned on my post #:19848158 on Oct.13). We should take this point in consideration as a very advantageous factor in GPP's market cap. Terms of the agreement for the acquisition: Very low cost to GPP The binding Heads of Agreement which GPP has signed with Guyana Strategic Metals Inc (GSM) is very low cost to GPP for the opportunity it offers. It is made of 4 earn-in stages. GPP has paid non refundable $40k only to take the option and make the due diligence in 45 days. The total cash will be paid to GMC directly is only $140k (inc. option fee) The total of shares will be paid to GMC is only 52.5m (nearly 1/4th of the trade on Friday!) The total expenditure for 3 stages which GPP has to make is only $1.7m. All these conditions mean that the dilution effect by this acquisition on GPP shares will be very little.

WHERE THERE IS A LOTS OF TANTALUM, THEN YOU CAN LOOK FOR LITHIUM Because it is well know that LCT pegmatite Lithium deposits are strongly associated mainly with tantalum (and Niobium) deposits. GPP’s anns and maps say that the permit area is at the hearth of tantalum and niobium district. To confirm this I downloaded “Mineral Occurrence Map of Guyana” from Guyana Geology and Mines Commission –GGMC. (I precisely marked the project area on it). And yes, I was able to see that the specifically the Morabisi project area is prospective for tantalum and niobium and there are already widespread coltan mining activities (tantalum and niobium) in the area. There is strong evidence that the Morabisi project permit area could have the potential to be a “district scale” Tantalum Niobium (Coltan) area. WHY IS TANTALUM (IN COLTAN FORM) IMPORTANT FOR GPP’S PROJECT? Primary Tantalum and Niobium deposits can be divided into three main types, on the basis of the igneous rocks with which they are associated; 1. Carbonatites and associated rocks (Niobium is preferentially enriched, low tantalum) 2. Alkaline to peralkaline granites and syenites (low niobium and tantalum) 3. Granites and pegmatites of the LCT family (enriched in lithium (Li), caesium (Cs), tantalum) We can see from this classification that the first two types are already low in tantalum and niobium. Granites and pegmatites of the LCT family are typically peraluminous and enriched in lithium, rubidium, caesium, beryllium, tin (Sn), tantalum and niobium (tantalum greater than niobium). Granites and pegmatites of this type are the main hosts for tantalum deposits across the world. These granites may contain disseminated tantalum ore minerals, particularly concentrated in the uppermost parts of the granitic body. Many of the largest tantalum deposits occur in pegmatite swarms. LCT pegmatites can be divided into five types and the most prospective type for lithium mineral is the complex type (spodumene-petalite-amblygonite).

GPP MARKET CAP? @treasurehunter, you asked "what's the near term upside here in terms of mcap you reckon." You most probably know better than me how to estimate and calculate the possible MCap for an ordinary stock in our stock market conditions. We all know that a company in this market sometimes can be undervalued or overvalued, but we can see the real value roughly as "hunters" But this one, GPP, it is very hard to estimate and calculate the upside potential of MCap. It has two very high potential projects; Coal to Liquids (CTL) in Australia (VIC) and Lithium (Plus Tantalum, Niobium, REE and gemstones) in Guyana. IMO, if everything goes on track GPP's MCap for two projects combined would be between $50m-$75m (5c-7c share price) from today till Xmas. Coal to Liquids (CTL) Project: $25m market cap (only for today) The CTL project is very advanced, exclusive licence agreements are signed, $4m is already spent, technology is working faultlessly, trials are successfully and nearly finished, 20 t/d agricultural biostimulant pilot plant project is under development for constructing in 2018. The success of this project and its profit will lead the way for constructing a large scale commercial plant which will produce commodity chemicals for industrial chemical markets. And let's not forget one of the most important points of this project: It's in Australia. No sovereign country risk is involved. Also it's in Victorian brown coal fields, which is already brownfield project. No environmental risks unlike the coal seam gas projects as well. I have already made a rough profit calculation on my Post #:20021288 for the 20 t/d pilot plant. Btw, they call this "pilot plant" but its profit is huge! 20 tonne/day = 360 day x 20 tonne = 7200 tonne annual production. Sales price = Say $5200 per tonne. (mid point of sales price) (Seasol, Powerfeed, MegaKelp and SuperKelp and generally retail for $3,500 to $7,000 per 1,000 liters wholesale.) Cost per tonne = $700. (top of the cost price range) Profit per tonne = $4500 ($5200 sales price - $700 cost price) Annual profit = $32,400,000 only from the pilot plan which is going to cost $7.5m (7200 tonne annual production x $4500 profit per Let's halve this to $16,000,000. You tell me how many companies in ASX makes this much annual profit? And what are their market caps? $100m, $200m, $500m? Let's say $250m when it has started the production in two years time from today. Because the project is in advanced mode, everything is on track and GPP is only 1.5 year away from constructing this pilot plant, I would put at least $25m (1/10th of $250m) to the market cap for this project, but only for today. Morabisi Lithium (Plus Tantalum, Niobium, REE and gemstones) Project: $25m Market cap (only for today) First of all we are talking about a "DISTRICT SCALE" lithium and tantalum project here. The LCT pegmatites of the project is about 40km combined, and the area is as big as the whole "hotspot" area where the Pilbara lithium projects are located. Morabisi project area is prospective for tantalum and niobium because there are already widespread coltan mining activities (tantalum and niobium) in the area. As I explained above it is well know that LCT pegmatite Lithium deposits are strongly associated mainly with tantalum (and Niobium) deposits. All it means that the geological settings of the area is extremely suitable for the lithium mineralogy. BGS (Birimian Gold) has a project Southern Mali which has the similar geological settings with Guyana. BGS has ~60m MCap (advanced drilling) Their permit area is only 250 km2 and the LCT pegmatite outcrop strike length is only 700m (up to 55m width). But they have really high grades and high tonnage. BGS's resources can go up to 60mt. PLS (Pilbara Minerals) have about 128mt resources but by lower grades than BGS. So, BGS and PLS contained reserves for Li2O is nearly the same. When we look at their market caps, BGS has ~$60m and PLS has ~$600m. (BGS is undervalued, but it has higher sovereign country risk, because Mali is not stable at all. That's a known fact) When it comes to GPP's Morabisi project; it is 3840 km2, it is nearly 15 times bigger than BGS's permit area. This is not just an empty area either, there is 40km combined pegmatite network identified in the area. How much of these are LCT pegmatites, we will learn them over the time by exploration. (Spodumene is already identified in one of the outcrops atm is also a plus for now). However if we need to make an estimation now, I would say at least 4km (10%) of these pegmatites could be prospective lithium deposits. That would be 5 times bigger than BGS. (But the grades, width and depth would still remain as the main catalyst) GPP has hired the best geo, Brendan Borg, in lithium space in Australia for overseeing the technical aspects of the project and he is doing the fieldwork in Guyana atm. Guyana is the only English speaking country in Sth America and extremely mining friendly and a stable country. In these conditions, IMO, GPP has 50% chance of finding giant lithium deposits in Morabisi project. This 50% chance for this "district scale" project should be valued at least for $25m for today, without knowing existence of any LCT pegmatites and spodumene mineralisation which we will have a great idea very soon by B Borg's fieldwork. Then after the first fieldwork completed and initial assay results received, if it is extremely positive, I would say the MCap should be around $50 because this "district scale" project could turn to be the world's largest lithium deposit in two years time (after an extensive drilling campaign) which could be billions of dollars value. I mean, if everything goes on track GPP's MCap for two projects combined would be between $50m-$75m (5c-7c share price) till Xmas.

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