Bearing Lithium Corp. (fka BLILF)

[Dr_Vonschellan]

Climber18, theoretical_expanded/verbose ver_10 MsBodelco_budget for_you
Bearing Lithium in its purest most-existential most-desirable form (so as to keep itself out of the courts in AmeriKKKa) must I would venture to say maintain the underlying values (percentages) for the joint-venture/Merger to properly maintain the 18% share in MSB SpA
BRZ == 10.48%
BLILF = 7.53% (BLILF, aka the bereaved LIEG shareholders)

All other talk of dilution/schm-lution/pollution is extraneous to what could be a very nasty legal fight perhaps if the accountants were to try and screw us.

So IF you assume
1. Let's assume Codelco wants 66% of the entire company.
2. Let's assume Codelco will cover all the CAPEX.
3. Let's assume Codelco will transfer to this project 40,000mt of their already approved LCE export quota bumping the project up to 60,000mt LCE.
4. Let's assume we tap into the 400m deep "sweet/extra" brine which we know is hiding down there.
5. With these assumptions the entire project (ie all 4 partners) now becomes a $2,813,337,500 project

Then, the resultant percentages for BRZ and BLILF (aka shafted LIEG shareholders) becomes
BRZ == 3.56% spread over 48,317,131 shares
BLILF= 2.56% spread over 16,000,000 shares

Lithium Carbonate Equivalent = 6,230,700 Tonnes
Price Li2CO3 = $12,400 /Tonne
20-year life span of mine LOM = 20 Years
Life of mine Gross value = $77,260,680,000

Tonnes production 100% capability per year = 312,000 Tonnes
Tonnes production 99.4% w/Conversion per Yr = 310,128 Tonnes click here
Tricky Dicky Fudge Packer factor (SUBTRACT) = 80.7% click here
Tonnes LCE production capability per year = 60,000 Tonnes (see assumption #3 above)
KCL production, Nil first 3 years 0 Tonnes
Mine gross revenue per year = $744,000,000 *

Operating Expenses per Tonne itemized
Chemicals & reagents $1,040 /MT
Salt Removal $486 /MT
Energy $1,028 /MT
Manpower $458 /MT
Employee services $105 /MT
Maintenance $295 /MT
Transport & sales $237 /MT
G&A $123 /MT
Operating Expense per tonne Li2CO3 $3,772 = ($226,320,000) *
Operating Expense KCl/mt for 222,000 mtpa $145 = ($32,190,000) *

Capital Costs
1000 Brine Extraction Wells $39,400,000
2000 Evaporation Ponds $115,300,000
2500 Massive Soil Movement $0 ____was $6.25M
3000 KCL Plant $0 ____was $23.4M Note: NO Potash sales first 3 years (222,000mtpa after 3 years)
5000 Salt Removal $66,400,000
6000 Lithium Carbonate Plant $71,600,000
8000 Genral Services $103,300,000 Includes 600 staff/workers
9000 Infrastructure $60,000,000
Total Direct Costs $456,000,000
Total Indirect Costs 9.82% $44,779,200
Contingency 12.50% $62,597,400
Total Capital Cost $563,375,600
Depreciate Capex of $563M over 20 years = ($28,169,000) *___ To be fully paid by Codelco JV partner
Revenue after expenses ST = $457,321,000 *
National Royalty (ref 1932 Chilean law) 3% = ($13,811,000)
Local royalties / community payment / Tax 7.5% = ($34,299,000) (page 9 of PEA)
EBITA = $409,211,000
(Ref MSB corporate tax rate is 27% see page 12 of 43) click here
Estimated Income 55% of EBITA 55% = $225,066,000

___________________________________ CapRate __ Company Value __ Shares __ July 2023pps __ Foreign $
LPI income per year 17.3% =___ $39,026,000 __ 8.0% __ $487,825,000 __ 331,000,000 __ $1.47 __ $1.89
MSB income per year 10.5% =__ $23,722,000 __ 8.0% __ $296,525,000 __ __ __
Codelco income /yr 66.0% =___ $148,544,000 __ 8.0% __ $1,856,800,000 __ __ __
BRZ income per year 3.56% =____ $8,016,000 __ 8.0% __ $100,200,000 __ 48,317,131 __ $2.07 __ $2.74
BLILF income/yr (Study) 2.56% =_ $5,759,000 __ 8.0% __ $71,987,500 ____ 16,000,000 __ $4.50 __ NA
_____________ 100.0% _______ $225,067,000 ______ $2,813,337,500 __

NPV, Value of BLILF at Cap Rate 8.0% = $72,000,000

Number of BLILF shares = 16,000,000
Projected value of BLILF share July 2023 = $4.50 PPS

Interest Rate = 5.0%
Nper. Number of months in study = 48
Minimum appreciation per month per share 1.66% = $0.075 /mon/share
BLILF Future Value 2023 = $4.50 PPS
Type (payment at beginning) = 1
Value of BLILF share August 2019 USD = $0.99 PPS

Value of BLILF share September 2019 = $1.06 PPS
Value of BLILF share October 2019 = $1.13 PPS
Value of BLILF share November 2019 = $1.21 PPS
Value of BLILF share December 2019 = $1.28 PPS
Value of BLILF share January 2020 = $1.36 PPS
Value of BLILF share February 2020 = $1.43 PPS
Value of BLILF share March 2020 = $1.51 PPS
Value of BLILF share April 2020 = $1.58 PPS
Value of BLILF share May 2020 = $1.66 PPS
Value of BLILF share June 2020 = $1.73 PPS
Value of BLILF share July 2020 = $1.81 PPS
Value of BLILF share August 2020 = $1.88 PPS
Value of BLILF share September 2020 = $1.96 PPS
Value of BLILF share October 2020 = $2.03 PPS
Value of BLILF share November 2020 = $2.11 PPS
Value of BLILF share December 2020 = $2.18 PPS
Value of BLILF share January 2021 = $2.26 PPS
Value of BLILF share February 2021 = $2.33 PPS
Value of BLILF share March 2021 = $2.40 PPS
Value of BLILF share April 2021 = $2.48 PPS
Value of BLILF share May 2021 = $2.55 PPS
Value of BLILF share June 2021 = $2.63 PPS
Value of BLILF share July 2021 = $2.70 PPS
Value of BLILF share August 2021 = $2.78 PPS
Value of BLILF share September 2021 = $2.85 PPS
Value of BLILF share October 2021 = $2.93 PPS
Value of BLILF share November 2021 = $3.00 PPS
Value of BLILF share December 2021 = $3.08 PPS
Value of BLILF share January 2022 = $3.15 PPS
Value of BLILF share February 2022 = $3.23 PPS
Value of BLILF share March 2022 = $3.30 PPS
Value of BLILF share April 2022 = $3.38 PPS
Value of BLILF share May 2022 = $3.45 PPS
Value of BLILF share June 2022 = $3.53 PPS
Value of BLILF share July 2022 = $3.60 PPS
Value of BLILF share August 2022 = $3.67 PPS
Value of BLILF share September 2022 = $3.75 PPS
Value of BLILF share October 2022 = $3.82 PPS
Value of BLILF share November 2022 = $3.90 PPS
Value of BLILF share December 2022 = $3.97 PPS
Value of BLILF share January 2023 = $4.05 PPS
Value of BLILF share February 2023 = $4.12 PPS
Value of BLILF share March 2023 = $4.20 PPS
Value of BLILF share April 2023 = $4.27 PPS
Value of BLILF share May 2023 = $4.35 PPS
Value of BLILF share June 2023 = $4.42 PPS
Value of BLILF share July 2023 = $4.50 PPS

In this scenario BRZ shareholders will expect in July 2023 that their shares will be worth $2.07 each.
In this scenario BLILF (aka Mugged LIEG) shareholders will expect in July 2023 that their shares will be worth $4.50 each.

I am not going to debate you on any single line or cherry-picked item(s) here. If you want to debate then go ahead and produce your budget in full and we will talk more then... but not before that effort is produced by you.

This budget may not be exactly fully complete I will admit but in the absence of any even halfway intelligent "guidance" from our secretive Canadian overlord this is all we have to talk about for now. Unfortunately I have had to make a few assumptions based on previous screwings I have taken from Canadian miners and what I am hearing yesterday in Santiago but I think this version 10 budget is fairly accurate now and the perfect beginning point for discussions on share worth.

The Doctor

PS, Dear maximum bereaved Uncle Posco, I think that pretty well sums it up. Do you have anything more to add?