Aust Govt finally acts on Chinese NTU shareholders

[John]

https://www.theage.com.au/politics/...rucial-military-minerals-20250626-p5man9.html

So it seems that these Chinese holders, who have been playing games with Australia's laws....might finally be divested from NTU.

I hope that the Aust Govt does the following:
- Take their shares
- Sells them off market via a broker
- Proceeds are returned to the Chinese owners....less Australia's costs (which would surely outweigh the revenue from the sale of the shares).

And then i hope the Aust Govt changes our laws, to allow for expediated FIRB processes to stop this type of actions.....This has dragged on for too long.

@ashentegra what do you think will happen?

 

[ashentegra]

Hi John.

Yes, I hold NTU.ASX. Highest grade exposure to HREE I could find. Chinese ore-bodies are opaque, unreported.

Australian Treasurer Jim Chalmers' legal action acknowledges the original divestment order was not complied with and seeks a legal remedy. I smirked then that the shares were sold to Aunty Wu and Uncle Chin.

Commonwealth and Allies' financial support for NTU has stalled because of the large Chinese presence on the share registry - believed to be around 49% and part of China's strategy to protect its REE monopoly.

ILU's Eneabba refinery is a very pale creature without NTU's Dy Tb-rich ores. It could be argued the refinery is barely viable using only ILU's monazite, hence ILU's failure to fully commit to the project.

The matter has dragged on and on, to China's benefit.

Get a court order to put their shares into escrow, Dr Chalmers. They have partied at our expense long enough.

Construction of NTU's Wolverine mine can and should begin immediately. The engineering is proven, all permits and DFS are in place.

NTU is eligible for concessional loans from the Northern Australia Infrastructure Fund and Export Finance Australia. This may not be enough - NTU's equity base is slim and holders are leery of further dilution, particularly as up to half of the shares on the register will be dumped on the market.

Direct grants look necessary.

Ash

 

[John]

@ashentegra you are right with your analysis. This is something we have been working on. And will release in the next few days the Heavy Rare Earth Project/Deposit Rankings...with a surprise winner!

 

[John]

Hey @ashentegra the DFS sould be released early next week? Or do you think they will delay it until all the Fed's court actions have taken place?

 

[ashentegra]

John, you HREE rankings look about right. There is some necessary subjectivity - no problem. Your ranking Myanmar Rebels first is entirely appropriate. I shudder at the environmental burden their workings will leave behind.

On NTU's DFS - Ha! They have had it in hand for over a year, minus a couple of features around the nature and extent of government support and therefore equity requirements. The support is contingent on reducing Chinese ownership to portfolio levels - say, 20% - hence Treasurer Chalmers' fresh legal action.

Net net, China has delayed both NTU and ILU for at least a year and led us all to the current REE crisis with nowhere to go.

None of this is helped by the USA's economic chauvinism and Europe's supine passivity. The task is to stand up complete REE supply chains beyond China's reach. Where the mines, separation plants, metallisation and magnet-making occur is a second-order consideration, beyond the need for Western domicile.

While we are divided by instinctive jealousy that someone else might gain, we gift China the means to stall economic activity and wreck our industries.

Get it together, kiddies. Cooperate. Accept that contributions and benefits may be less than equal. Open your chequebooks. There is too much at stake.

Ash