Earnings call transcript: Standard Lithium Q2 2025 sees net loss and stock rise

Standard Lithium Ltd (NASDAQ:SLI) reported its Q2 2025 earnings, revealing a net loss of $4 million, contrasting sharply with a net gain of $128.3 million in the same quarter last year. Despite the loss, the company’s stock price rose 4.85% in pre-market trading, closing at $2.81. The earnings per share (EPS) matched the forecast at -$0.03, reflecting no surprise. The company ended the quarter with $33.8 million in cash and $30.6 million in working capital, demonstrating strong liquidity with a current ratio of 5.48. According to InvestingPro data, the company maintains more cash than debt on its balance sheet, signaling a stable financial position amidst its strategic initiatives.

Key Takeaways

• Standard Lithium reported a net loss of $4 million in Q2 2025.
• The company’s stock surged by 4.85% in pre-market trading.
• EPS was in line with forecasts at -$0.03, with no surprise.
• Strategic focus on lithium carbonate production for future growth.
• Received a $225 million DOE grant for its Southwest Arkansas project.

Company Performance

Standard Lithium’s performance in Q2 2025 was marked by a net loss of $4 million, a stark contrast to the previous year’s gain driven by a $164 million sale of project interests. The company’s strategic shift towards lithium carbonate production and its novel low-temperature process for battery-quality lithium sulfide are expected to bolster future growth. The company is positioned uniquely in the domestic lithium extraction market, with strong federal support and recognition.

Financial Highlights

• Revenue: Not disclosed
• Earnings per share: -$0.03, matching forecasts
• Cash position: $33.8 million at quarter-end
• Working capital: $30.6 million
• JV capital contributions: $8.3 million

Earnings vs. Forecast

Standard Lithium’s EPS for Q2 2025 was -$0.03, exactly matching the forecast, resulting in no earnings surprise. This alignment with expectations suggests a stable outlook, despite the net loss reported.

Market Reaction

The company’s stock price increased by 4.85% in pre-market trading, indicating positive investor sentiment despite the quarterly loss. The stock’s performance remains within its 52-week range, reflecting confidence in the company’s strategic initiatives and future growth prospects.

Outlook & Guidance

Standard Lithium aims to make a Final Investment Decision (FID) for its Southwest Arkansas project by the end of 2025, with plans to produce 22,500 tonnes of lithium carbonate annually starting in 2028. The company is exploring multiple offtake agreements and potential project financing covering 60-80% of total capital costs. Analyst consensus data from InvestingPro shows strong buy recommendations, with price targets ranging from $2.76 to $3.24, reflecting confidence in the company’s growth strategy. Access the comprehensive Pro Research Report, available for SLI and 1,400+ other US stocks, for in-depth analysis of the company’s growth potential and financial outlook.

Executive Commentary

CEO David Park highlighted the company’s strong partnerships and governmental support, stating, "We feel we have the right committed partners, strong support at both the local and federal government levels." President Andy Robinson noted the ongoing demand for lithium materials, emphasizing the company’s involvement in battery material innovations.

Risks and Challenges

• Market volatility in lithium prices could impact profitability.
• Delays in project approvals or financing could hinder growth plans.
• Competition from other lithium producers may affect market share.
• Regulatory changes in environmental policies could increase operational costs.
• Supply chain disruptions could affect project timelines and costs.

Q&A

During the earnings call, analysts inquired about the company’s discussions with offtake partners and potential DOE funding opportunities. Management expressed confidence in project economics and the sustained demand for lithium carbonate, highlighting positive geological findings in Southwest Arkansas and East Texas.

Full transcript - Standard Lithium Ltd (SLI) Q4 2025:

Conference Call Operator: Ladies and gentlemen, thank you for standing by. Welcome to Standard Lithium Second Quarter twenty twenty five Conference Call. All lines have been placed on mute to prevent any background noise. After the speakers’ remarks, there will be a brief question and answer session. It is now my pleasure to turn today’s call over to Daniel Rosen, Vice President of Investor Relations and Strategy for Standard Lithium.

Please go ahead.

Daniel Rosen, Vice President of Investor Relations and Strategy, Standard Lithium: Thank you, and welcome, everyone. I’m excited to be joining my first earnings call as part of Standard Lithium and look forward to getting to know many of you better in the coming months. I’m joined today by David Park, our CEO and Director Andy Robinson, President, COO and Director Salah Gammudi, Chief Financial Officer and Mike Barman, Chief Development Officer. Before we begin, I would like to start with a reminder that some of the statements made during our call today, including any related to company performance, expectations and timing of projects, may constitute forward looking statements. Please note the cautionary language about forward looking statements contained in our press release, which also applies to this call.

Now I will turn the call over to David.

David Park, CEO and Director, Standard Lithium: Thanks, Dan. I appreciate everyone for joining today. We’ve been working diligently alongside our joint venture partner Equinor to progress our lithium development projects, and we achieved multiple key milestones in the second quarter as we advance those efforts. We completed all our field work required for the first phase of our Southwest Arkansas project and are steadily advancing offtake and project financing discussions ahead of a final investment decision targeted by the end of this year, as Andy will go into further shortly. In the second quarter, we had our brine production unit for Phase one of Southwest Arkansas, now formally named the Reynolds unit, unanimously approved by the Arkansas Oil and Gas Commission.

We also had a 2.5% royalty rate approved by the AOGC for Phase one, establishing an important precedent for lithium development companies operating in Arkansas and encouraging economic development of the state’s significant lithium resource. Additionally, our Southwest Arkansas project was selected as one of the first critical mineral production projects and the only direct lithium extraction project to be advanced under Executive Order 14,241, immediate measures to increase American mineral production. This was announced by the U. S. Federal Permitting Improvement Steering Council at the recommendation of the National Energy Dominance Council.

This designation ensures increased transparency, accountability and predictability in the permitting process. Prestigious distinction underscores the project’s strategic importance to national security, economic prosperity and domestic energy independence. The streamlined permitting process combined with the federal support we are receiving in the form of a $225,000,000 grant from the DOE’s Office of Manufacturing and Energy Supply Chains reinforces our project development timeline and positions us well to deliver a low cost, sustainable and domestic source of lithium critical to advance electrification and new energy technologies. We continue to focus on innovation as we seek to progress next generation battery materials. In partnership with Telescope Innovations, we developed a new process to produce battery quality lithium sulfide, a key raw material required for many solid state battery chemistries.

This novel low temperature patented process provides numerous potential advantages with respect to flexibility, quality, cost and safety. Finally, we strengthened our senior management team with two new VP hires. We brought in Daniel Rosen as Vice President of Strategy and Investor Relations and Tim Sobel as Vice President of Health, Safety, Social and Environment. The additions to the leadership team will strengthen our capabilities and the execution of our growth strategy as we progress towards first commercial production. To provide more detail about key project developments and deliverables ahead, I’ll pass it over to Andy.

Andy Robinson, President, COO and Director, Standard Lithium: Thanks, David. As mentioned, we recently concluded all the planned field work for the first phase of our SWA project and we did so on a very high note. As we completed sampling from our newest exploration well, the Leicester well, where we recorded the highest lithium concentration to date from the SWA project, six sixty milligrams per liter lithium in Brine. This field work is critical to the development of our front end engineering design as well as our definitive feasibility study, for which we’re in the final review process and expect to release results in the coming weeks. In addition to providing support for what we believe to be a highly attractive project, it will be critical for us as we look to finalize our ongoing dual track customer offtake and project financing processes.

We’ve made significant progress in advancing these negotiations alongside an experienced financial adviser, and we expect to have more to share on both fronts ahead of our FID decision targeted by the year end 2025. As a reminder, Phase one of SWA plans for 22,500 tonnes per year of battery quality lithium carbonate with the first production expected in 2028 under this FID timeline. Separately, later in the third quarter, we plan to release a maiden inferred resource report on some of our East Texas properties. We believe this to be a meaningfully underappreciated part of our asset portfolio today and expect this to be the first step towards achieving more appropriate recognition of these assets. Now I’ll turn it over to Salar to discuss our financial results.

Salah Gammudi, Chief Financial Officer, Standard Lithium: Thank you, Andy. To begin, I want to clarify that all numerical financial references that I will be making are in U. S. Dollars. For the second quarter ended 06/30/2025, we reported a net loss of approximately $4,000,000 as compared to a net gain of $128,300,000 during the quarter ended 06/30/2024.

Net income in the quarter ended 06/30/2024 was due primarily to a $164,000,000 gain related to the sale of the 45% interest in two of our project areas in Southwest Arkansas and East Texas and the resultant deconsolidation of our subsidiaries, which held those projects as part of the closing of our JV agreement with Equinor in May 2024. Normalizing for this onetime gain, there are a few underlying period over period changes, which we want to highlight as we have maintained a strong focus on cost discipline while continuing to allocate capital to our most value accretive projects. For the quarter, G and A declined by $4,500,000 which reflects the impact of back office cost sharing with our joint ventures, a reduction in onetime advisory and legal related engagements as well as strong attention to overall corporate cost management. Demo plant operations expense decreased $900,000 period over period due to a reduction in test work and related activities as we have focused more attention on finalizing FEED work to support SWA in addition to cost sharing with our joint venture. Management and director fees were reduced by GBP 500,000.0, primarily driven by cost sharing with our joint venture.

Share based compensation expense increased by GBP 1,300,000.0, a reflection of our increased focus on structuring incentive plans to more closely align employee compensation with share performance and value creation. Below operating expenses on the income statement, for the quarter, we recorded a higher investment loss from joint ventures of $1,300,000 versus $200,000 in the prior period. This

David Park, CEO and Director, Standard Lithium: was

Salah Gammudi, Chief Financial Officer, Standard Lithium: a result of ongoing activities related to our Smackover Lithium JVs in addition to the joint venture only being formed for a portion of the quarter during the prior period. We also recorded a $2,500,000 gain on the fair value of our contingent FID payments to be received by Standard Lithium from our joint venture partner Equinor should we reach a positive FID at our SWA or East Texas projects. As we continue to accomplish milestones at the projects and approach targeted FID decision dates, the value of our contingent FID payment assets have increased as reflected by the $2,500,000 gain. Moving on to our balance sheet. We ended the quarter with strong cash and working capital positions of $33,800,000 and £30,600,000 respectively.

As referenced last quarter, the sole funding requirements by Equinor into the JVs as part of the agreement were exhausted during the second quarter. As a result, we each began making our portion of capital contributions during the quarter. Therefore, Standard Lithium made JV capital contributions of $8,300,000 during the second quarter as reflected on our cash flow statement. Despite this contribution, through active cost management and disciplined cost sharing, cost recoveries through our DOE grant receipts and liquidity provided through prudent use of our ATM program, we were able to increase our cash position and improve our liquidity profile during the quarter. We believe the company has adequate access to capital to move forward its value accretive projects and activities while maximizing shareholder value.

Now I will turn it back over to David for closing remarks.

David Park, CEO and Director, Standard Lithium: Thanks, Salab. Our team is both excited and encouraged by the critical milestones we delivered in the second quarter, and we’ll be working diligently in the second half of this year as we progress towards a final investment decision at Southwest Arkansas targeted by year end. We look forward to keeping you updated in the coming months as we advance these efforts. We feel we have the right committed partners, strong support at both the local and federal government levels and growing momentum as we continue to push forward as a domestic champion for securing critical minerals production in The United States. There’s plenty to be done, but we believe Standard Lithium is well positioned to deliver significant value to our shareholders and the communities in which we operate along the way.

Thanks again for joining us today. Operator, back to you for questions.

Conference Call Operator: Thank you. We will now begin the question and answer session. You. Your first question comes from the line of Joseph Wiegore with ROTH Capital Partners. Please go ahead.

Joseph Wiegore, Analyst, ROTH Capital Partners: Hey, guys. Thanks for taking the questions. Couple items. I guess, one was with the DOE announcement today about different avenues for people to apply for funding. Were there any of those baskets you guys feel you would be able to apply for and would apply for?

David Park, CEO and Director, Standard Lithium: Thanks, Joe. Yeah. So first, I’d say, I was in DC last week meeting at both DOE and the White House. We continue to have a lot of support for the DOE in what we’re doing as well as from the White House. There’s a lot of positive sentiment towards direct lithium extraction from Arkansas and from Texas, and they’re looking to help us in multiple different ways.

That said, with respect to the specific question and those projects or programs announced today, it’s a little premature to comment on whether any of those are avenues for us or not. But just overall, I think we have an administration right now that is looking to find multiple paths of advancing projects like ours.

Joseph Wiegore, Analyst, ROTH Capital Partners: Okay. Fair. And then on the remaining milestone payments, can you remind us what the the payout structures of those are? Would those be funds that would go into the JV or directly to you?

Andy Robinson, President, COO and Director, Standard Lithium: The funds would float

David Park, CEO and Director, Standard Lithium: sure. So the the funds flow from Equinor to us is the way that works. So when we hit positive FID for Southwest Arkansas, we get a milestone payment, which we will then use to fund our portion of the share of that project. The same mechanic works for East Texas.

Joseph Wiegore, Analyst, ROTH Capital Partners: And what were the the dollar numbers on each of those?

David Park, CEO and Director, Standard Lithium: So how can I turn that to you?

Salah Gammudi, Chief Financial Officer, Standard Lithium: Sure. It’s, 40,000,000, for Southwest Arkansas, and it’s 30,000,000 for East Texas.

Joseph Wiegore, Analyst, ROTH Capital Partners: Okay. That’s helpful. And then, one final thing. Going forward, what do you guys expect in the coming quarters for expenditures related to Southwest Arkansas now that you’re no longer carried?

Salah Gammudi, Chief Financial Officer, Standard Lithium: Salaam? Sure. So we haven’t put out specific guidance, Joe, on this topic. But what I can tell you is that we expect that with the cash that we have on balance sheet, in addition to Equinor funding 45 percent of the capital expenditures at the projects, in addition to reasonable and prudent use of our ATM, we should be fully funded to meet our commitments prior to FID at Southwest Arkansas through those avenues.

Joseph Wiegore, Analyst, ROTH Capital Partners: Okay. I’ll turn it over. Thanks for the color.

Conference Call Operator: Thank you. And your next question comes from the line of Jeff Robertson with Water Tower Research. Please go ahead.

Jeff Robertson, Analyst, Water Tower Research: Thank you. Good afternoon. David, does the work you’re doing with telescope on the lithium sulfide samples, does that fit into your discussions on offtake agreements?

David Park, CEO and Director, Standard Lithium: It doesn’t fit into our current discussions with respect to Southwest Arkansas offtake agreements. It is something which presents an opportunity as we grow as a company and pursue different opportunities. Andy, I don’t know if you want to highlight anything there.

Andy Robinson, President, COO and Director, Standard Lithium: No. I mean, think all I’d say really, Jeff, is that we’ve always tried to kind of be close to the cutting edge on technology and understand where the industry is going. We’ve all seen the lithium industry evolve over the last several years, and we continue to see involvement in the types of materials that battery cell, electrolyte manufacturers require. We see lithium sulfide as potential gap. And so that’s why we continue to look at some of those more forward looking options that we have technical partners who can help us get there potentially.

So it’s an option for us to think about.

Jeff Robertson, Analyst, Water Tower Research: I think I read recently that Toyota hopes to be in mass production of a solid state battery sometime later this decade. Andy, on the well on the well results you reported from the Lester well back in July, did did those change your interpretation at all of the subsurface and the how you map with your concentrations? Because I think that well was drilled pretty near the center of the Reynolds unit.

Andy Robinson, President, COO and Director, Standard Lithium: Yeah. I think for really, Jeff, it showed that our previous assumptions were were broadly, conservative, which I think is a good a good place to be. It’s allowed us to have, you know, additional confidence in the resource and the reserve. The details of that are going to be coming out in the DFS later this quarter. I think we’ve been very I think always very positively positively surprised by when we get into the subsurface and SWA area, particularly in the Reynolds unit.

We’ve just seen great looking rock with with good looking lithium brine concentrations, which, support a very robust project. I think we feel fortunate that we’re in a region where we get great results back when we get into the subsurface and look harder at what we have. So I think it just continues to support a central thesis that we have a very good, robust, you know, tier one asset to work from in this SWA project area.

Jeff Robertson, Analyst, Water Tower Research: Know the DFS you said will be published soon, but can you share any color on how cost estimates with the way you envision phase one today compared to some of the numbers that were in the prior PFS a couple years back?

Andy Robinson, President, COO and Director, Standard Lithium: I think I can’t I can’t provide the detailed color right now, Jeff. We are right at the moment, we are undergoing so all the FEED work, the design work is complete. We are undergoing a third party review of all of the CapEx and OpEx numbers to make sure that they are robust, well worked through and fully QAQCed to releasing them. Obviously, the project looks different than we have previously released in PFS. In the PFS, we were looking at a single phase of development.

Since we published that PFS, we’ve looked at the resource. We found the resource to be better than we had previously assumed. And at the same time, we’re looking to make a carbonate final product as opposed to hydroxide that we were looking at in the PFS. And then we’re obviously, we’re looking at it in two phases as well. So some differences in how some of the estimates, etcetera, built up.

I think we’ve been in general, the CapEx and OpEx is aligning with our expectations given feelers that we put out in the market over the last year or so. So I think we’re going to end up with less number. But like I say, currently undergoing QAQC by an external third party right now. We’ll be able to get those numbers out in the public in the near term before the end of this quarter. I think, you know, we we expect them to be competitive.

We think this is gonna be an attractive an attractive and competitive project.

Jeff Robertson, Analyst, Water Tower Research: Thanks. And lastly, Andy, with respect to East Texas, will you will you have any updates on sampling sampling results? I think you all were working on in the second or third quarter before you put the main report out, or will all that information be contained, in that report when you’re ready to to disclose it?

Andy Robinson, President, COO and Director, Standard Lithium: It’s likely to be sequential, Jeff. So, actually, we have sufficient now to to put the resource out. So that that work is, you know, being being, wrapped up at the moment. And kind of as you mentioned earlier on, we expect that maiden resource statement to be out before the end of this quarter as well. So lots important news coming for us.

At the same time, we are going back in. We are going to be completing some additional reentry, some resampling work on the wells that we previously drilled. And then we’ll be able to kind of get some of those additional news out into the market probably later on in this year in the fourth quarter, perhaps into the 2026.

Jeff Robertson, Analyst, Water Tower Research: Thank you.

Conference Call Operator: Thank you. And your new question comes from the line of Noel Parks with Tuohy Brothers.

Noel Parks, Analyst, Tuohy Brothers: Just had a couple. And I was wondering, far as your discussions on offtake agreements, at this point, they focusing more on structure of what an agreement would be? And or is pricing on the table also at this stage, just given so many dislocations we’ve had of pricing in the market in the last couple of years?

David Park, CEO and Director, Standard Lithium: Sure. Let me take that. We, from day one, have had a strategy to have a diverse portfolio made up of multiple off takers. We are in discussions multiple parties at this point in time. Some of those discussions more advanced than others.

We are seeing that there remains plenty of demand for lithium and specifically lithium carbonate in the 2028 and beyond timeframe. And I’d say that with certain parties, the focus of discussion is on structure. With other parties, the focus is on it is a back and forth with respect to price or pricing mechanisms. But we remain confident that we should be in a position to conclude our offtake discussions by the well, in the fourth quarter.

Noel Parks, Analyst, Tuohy Brothers: Great. And to sort of continue on the topic of the success you’ve found with your geologic modeling both in Southwest Arkansas and East Texas. Know, over the months, you’ve had a series of announcements where you found record concentrations in both regions. So I’m just thinking about that, I could you sort of

Katie Machapill, Analyst, Canaccord Genuity: characterize

Noel Parks, Analyst, Tuohy Brothers: maybe what inning you’re in, in your ability to sort of map out and pin down how to find the higher grade brines? Is this are you just scratching the surface on that modeling? Or do you feel like you’re pretty much there and you’ve got the core of what you’re going

Joseph Wiegore, Analyst, ROTH Capital Partners: to need in order to

Noel Parks, Analyst, Tuohy Brothers: be able to identify locations out of what are some very large acreage positions you have?

David Park, CEO and Director, Standard Lithium: Andy, why don’t you take that?

Andy Robinson, President, COO and Director, Standard Lithium: Yes, sure. Yes. Thanks, Noel. When it comes to Southwest Arkansas, Noel, really the drilling work and the resource work has been about filling in our understanding within the project area. Obviously, you know, we’re looking to, you know, frankly, fully exploit the resource position that we have.

You know, totally, have approximately a little over 30,000 acres in our total project area. The first project area, the Reynolds unit that’s around 20,000 acres broadly. We’ll be looking to maximize the lithium production from that unit area. So the work that we’ve been doing there is really about just refining the production model, etcetera. And so we expect broadly future production is going to interpolate between the data points that we’ve got and we’ll be presenting in the DSS.

When we think about sort of exploration and other areas in the Smackover formation, We started working in East Texas over four years ago, Nandole. Really, we’ve got the areas that we know we like. It’s a very large area, and there’s plenty of room for for ourselves and and our competitors to play in that in that total. You know, we have our criteria for what we’re looking for, what we think makes lithium brine project work from the smack over based on our experience. And so, yeah, we’ve been focused leasing, working, drilling in the areas that we particularly like, And we’re confident that we have good lithium grades in those areas.

There are going be other areas, Noel, where I’m sure some competitors will find some good looking areas as well. But we’ve been focused on, over the last several years, the good looking areas for us. And that’s really where our projects are focused on right now and where we’re looking to move those forward as quickly as we can. And I think the maiden resource report coming out at the end of this quarter is going to be a useful positioning statement for us to show us just a small part of what we have. I think that should kind of reiterate that really it’s just about one of the project areas that we have in East Texas.

It’s certainly not our entire position by any means. So it’s the first one of several in East Texas that we’re working on. So we think it’s going be useful to have that out there in the public domain for people to understand kind of the scale of what we’re looking at and also the very high quality of what we’ve secured in the region as well.

Noel Parks, Analyst, Tuohy Brothers: Great. Thanks a lot.

Conference Call Operator: Thank you. Your next question comes from the line of Katie Machapill with Canaccord Genuity.

Katie Machapill, Analyst, Canaccord Genuity: In the past, you’d previously indicated that you were targeting debt financing in the range of somewhere between 6080% of the total capital cost for SWA. Can you provide us with any update on how your latest discussions are tracking with potential debt providers and whether you’re feeling more confident around being at the lower end or the upper end of that range?

David Park, CEO and Director, Standard Lithium: Thanks, Katie. Yes. I’d say our discussions are well underway with export credit agencies. We have support from a few, and we’re in further discussions with more. We believe the guidance we provided previously is still valid.

We’re also in the process of sounding the commercial banks that will fill out that structure. So we feel like the project finance initiative is well underway and advancing along the timeline and the plan that we laid out previously.

Katie Machapill, Analyst, Canaccord Genuity: Great. And then maybe just one to follow-up. Are you expecting sort of the debt financing to

Speaker 9: come alongside the offtake? Or are

Katie Machapill, Analyst, Canaccord Genuity: you expecting some offtake announcements in advance of the debt financing or being a real trigger to unlocking that?

David Park, CEO and Director, Standard Lithium: They will come on a very tight we’re working them both in parallel. The project financing will come in place on the back of the project financing, but we’re advancing both in parallel. And the project finance community is up to date on our discussions with the offtake community as well. So we’re working multiple streams in parallel is the best way I can answer that.

Katie Machapill, Analyst, Canaccord Genuity: Got it. Thanks, guys.

Conference Call Operator: Thank you. And your next question comes from the line of Daniel Magdur with Raymond James. Please go ahead.

Daniel Rosen, Vice President of Investor Relations and Strategy, Standard Lithium0: Hi, afternoon, everyone, and thanks for taking my question. Just going back to the offtake and debt discussions and understanding you’re comfortable with the Q4 timeframe, can you discuss how the recent the recent market dynamics have affected those discussions? Obviously, the CATL announcement this week, a lot of positives. Just want to understand whether these are having an effect on the discussions you’re having.

David Park, CEO and Director, Standard Lithium: Yes. I’d say that that’s very recent news. These discussions have been going on for a long time. I think both our Optake counterparties and ourselves are very focused on where we think pricing will be in the long term, so trying not to overreact to short term market dynamics. But obviously, having some positive news in the markets at this point in time is somewhat constructive from our perspective.

Andy Robinson, President, COO and Director, Standard Lithium: Got it. Thanks for that.

Conference Call Operator: Thank you. Your next question comes from the line of Max Guril with BMO Capital Markets. Please go ahead.

Daniel Rosen, Vice President of Investor Relations and Strategy, Standard Lithium1: Hey guys, thanks for taking my question. Understanding of the field work for Phase one is now complete, what incremental work would be required for the second phase? And how should we think about the timing of Phase two relative to Phase one?

David Park, CEO and Director, Standard Lithium: Andy, why don’t you take that?

Andy Robinson, President, COO and Director, Standard Lithium: Yes, sure. Yes. I mean, I think there will likely be some recommendations in the DFS max to do a very small amount of additional resource definition in the northern half of the total resource area that we have to play with. So I suspect there will be some additional field work. It’s relatively minimal.

That will happen, I would imagine, relatively soon in 2026, most likely. That small kind of nonmaterial amounts of additional delineation needed outside of the Reynolds unit. Timing of Phase two of the SWA project, I think that’s very much, we’re going to take a short sort of reassessment after we have finished the contracting work that’s required to pick the various contractors to construct the plant after we’ve taken FID and then an evaluation. I think we’re conceptually guiding. It’s about a two year delay from phase one to phase two.

But there’s a lot of new information, a lot of new learnings to be gathered over the next four to five months, max. You know, we’re going to incorporate those into that decision making process as well. Great. Thank you.

Daniel Rosen, Vice President of Investor Relations and Strategy, Standard Lithium1: That’s all for me. I’ll I’ll turn it back to the queue.

Conference Call Operator: Thank you. And I’m showing no further questions at this time. Ladies and gentlemen, this now concludes today’s conference call. Thank you all for joining. You may now disconnect.

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