Comstock Resources, Inc.

Good morning, everyone. This is Corrado De Gasparis, and welcome to our quarterly Zoom call. I'll provide a brief summary of the information included in our press release from this morning and from our quarterly report on Form 10-Q that we filed last night, including our progress on our recent breakthroughs in the lithium ion battery recycling processes here in Nevada, our large-scale industrial hemp processing facility in Iowa, and our mercury remediation business in the Philippines. I'll also provide updates on revenue projections and other corporate items, including one additional upcoming transaction. I know there's a lot to cover, and I'm really looking forward to the Q&A, so I'll try to be brief in the prepared remarks. If you don't have a copy of today's press release, you'll find a copy on our website at www.comstockmining.com by just clicking on the Press Release tab on the main menu bar. Our Form 10-Q is also available as of last night via EDGAR on www.sec.gov. Please let me remind you that we'll make forward-looking statements on this call, including our acquisition, construction, deployment, and revenue plans for the next three years. Any statements relating to matters that are not historical facts may constitute forward-looking statements. Our statements are based on current expectations and are subject to the same risks and uncertainties that could cause actual results to differ materially. These risks and uncertainties are detailed in previous reports filed by the company with the SEC and in this morning's press release, and all forward statements made during this call are subject to those same risks and uncertainties that we can't identify. Once we complete the prepared remarks, Zach Spencer, who is here with me, will direct all questions zooming in on us and I'll happily answer them. If you're not using Zoom, you can follow up with us after the call directly or via our website with any additional questions. In just six short months, we've seen a dramatic leap in our balance sheet where our net assets have more than doubled from just 33 million to now over 70 million. while eliminating all of our debt. We have made strategic, secured investments in MCU, Linoco, and LP Biosciences, all of which are actively ramping up production plans with MCU in the Philippines this year, Linoco in Q2 of next year, LP Bio in Q3 of next year. We've also advanced secured loans to Plainsight Innovations, a breakthrough extraction technology company specializing in cellulosic products, including biofuels, and also working directly for us on a lithium extraction solution at Linoco. All of these investments are secured, high yielding, and with unique IP that we are commercializing into extraordinarily high revenue growth models and throughput generators for us. We have also invested in a material science-based quantum technology for our mining batteries and carbon capture lines of businesses that I'll expand on a little bit more in just a few minutes. As I mentioned, our assets increased by almost $40 million, driven by four factors. First, an increase of $18 million in our investments, driven by Genmat, about $12 million, and Linoco, $6 million. Secondly, an increase of about $5.5 million in our secured notes receivables, including an almost 2 million increase in the senior secured note that we have with Tonal Gold that's due this upcoming March, and another million increase in the secured loan, as I just mentioned, to Plain Sight Innovations. As a side note, the Tonal Note pays us cash interest of nearly $70,000 a month, and they are current on all their payments. Third, we have an almost $8 million increase in what's shown on the balance sheet as a derivative asset, That's tied to the shares that we've contributed to Linoco and Genmat. This is economic in that we retain any and all of the appreciation in the value of those shares above our commitments. And we expect those amounts that will be monetized, excuse me, over the next two quarters to benefit Comstock. Fourth and last, we had an increase of about $6 million just simply in the net extinguishment of all of our debt and the increase in our cash. overall 40 million dollar increase in our balance sheet we believe each of these new investments has near-term valuation potential of literally over a billion dollars with most of them representing potential for multiples of that amount shares outstanding today total 54.1 million including all of the shares issued to renewable process solutions rps genmat John Kane- LP biosciences and mana core So those are complete and total for all those recently completed acquisitions. John Kane- Again, these transactions have been structured safely with assets secured and tremendous accretive value and upside. John Kane- From incredibly large and markets which i'll go over a little bit more in a minute, just to wrap up on the corporate side. John Kane- As you saw our cash is over 5 million and June 30 with $25 million in non current non core asset sales waiting to be closed. That includes our industrial and commercial non-mining lands, totaling over $13 million, all under contract. We expect those to close in the near future. And we have had a remarkable increase in interest in the Silver Springs Opportunity Fund, actually an almost unbelievable increase in interest with an increasing number of very large strategic investors fully engaged with the interest of investing it. The fund has fully leased its manufacturing capacity. It's fully operating the Silver Springs Regional Airport. And we get inquiries from new companies wanting to come into Northern Nevada and Silver Springs on an almost weekly basis. In fact, I have a call right after this one with an especially large company looking to do that. The funds, recent issuances, capital raises, if you will, are being valued at $1.80 a share. That puts the $335,000 investment that we have on our balance sheet John Kane- At over $12 million today so even though we've got 40 million increase in our assets, we have almost 11 to $12 million on recorded asset in terms of fair value relating to our silver springs investment. John Kane- If you put the value comps against that you'd be looking at closer to three to $6 a share, which would put that investment closer to 20 to $40 million not not $12 million and certainly not the 300,000 that's recorded on our balance sheet. We also hold well over 9 million shares of Tono stock. We also have 6.7 million of secured notes receivable from Tono that's due in less than seven months. So if you totaled those Tono securities that we're monetizing, it's about $8 million. So for us, $25 million of non-dilutive, Judge Frederick Aguirre- monetize cash flow coming into the business over the next 12 months before I close on the corporate update I just have a couple of additional items. Judge Frederick Aguirre- Last week, we learned that a very long standing, I would say frivolous lawsuit against us was not only definitively one and concluded, but that the judge awarded us and the county. over a quarter of a million dollars in legal fee reimbursements, substantially all of which would go to us. This positively concludes the zoning discussions associated with our Dayton resource area. Of course, we haven't been sitting in our hands. In the meantime, our updated resource modeling on the Dayton is well underway. We will publish a series of interpretations and developments on this data as it becomes available. well before publishing the full technical report. The technical report will be under the new SK 1300 standards. It will be published this year. And we know there's tremendous value in the day in resource properties and that the technical report is really the most important next step for unlocking that value and validating that value to the market. We also understand that Tonal Gold has prioritized the completion of their technical reports for the Story County properties, all of which we either own or hold stakes in, in one form or another. They also appear to have made process changes that we deem productive towards accelerating the publication of their technical report, the completion of their financial audits, and ultimately upgrading their stock listing. From the activities we see, this all seems to be moving more forward at a much, much more diligent pace. Regarding MCU, we're fully set up in the Philippines with our mine camp, our employees, our management, and our operations. We have fully run and tested the operations and even expanded the equipment with two new grizzlies for proper separating and sizing of the sand and gravel materials that we're selling to our customers. We have shipped sand and gravel to our first two customers. We did, however, have a permit oversight in the Philippines that we have now corrected, reapplied for, and expect to get approval within the next week or two. So we can restart processing and selling those sand and gravels again, remediating the mercury, extracting the gold. Just as a step back, we have and continue to have all of the permitting that we needed from the Department of Environmental and Natural Resources in the Philippines. But apparently we were required to have this additional permit solely for the purposes of the mercury containment relating to the sand and gravel process. and caused us, frankly, a very disappointing delay. During the past five weeks, though, the team has expanded the equipment. We built the two new Grizzlies. We've tested them. Everything's ready and fully operating, capable to go. We've expanded and finished off our mercury storage facilities. So we're very much looking forward to just resuming the operations there. Everything's in place. Our operating expenses there are variable. very low, unbelievably low. So we love the potential of this business and we very much look forward to the process getting up and running on a full scale. There's no other negatives that we are aware of in terms of how that system operates and what we're looking forward to. On a much bigger note, our transformational efforts have quickened during the first half of this year. We are affecting a literal green shift in our operating businesses. Our team is solely focused on the activities that enable rapid, and I'm going to say exponential revenue gains in these huge end markets that we're addressing. We believe that just our existing platform today, as I just recently mentioned, is already worth many multiples of our half a billion dollar target. Just based on the comparative valuations, you know, it would exceed billions just for similar lines of businesses that are publicly out there and capitalized in the market. I'm going to provide a quick overview on the three, Lineco, RPS, and LP Biosciences. We recently filed, as we previously disclosed, for the main Lineco permit application for our state-of-the-art lithium-ion battery recycling facility that now reflects 100,000 ton per annum production profile for just the first plant in this business. This is literally a 5x increase from what we had originally provided guidance on, and I'm happy to explain that now we're in the Q&A. Linniko's new processes will commence upon the approval of that permit that we filed, which is anticipated before the end of this year, and we anticipate the completion and startup arrival of equipment coming November, December, January, February, commissioning in March, April, startup in that second quarter. Almost all of our equipment has already been ordered, and we are moving very, very fast here. Once complete, as I mentioned, the facility expected to scale up to its initial nameplate now exceeding 100,000 tons per year of lithium ion batteries over a period of the first three years. With annualized revenues exceeding half a billion per year during the third full year of operation. What's remarkable here is that these sales only represent black mass production and black mass sales. Those sales will be enhanced with downstream mineral and cathode production tremendously. Again, to be clear, this guidance, because of the expanded footprint of the plant, is only for black mass. Linoco's capacity breakthroughs are a direct result of our recent acquisition of the engineering procurement and construction company Renewable Process Solutions, or RPS, and its founder, Mr. Raul Babili. Raul, who is now Comstock's chief process engineer company-wide, has designed and built 21 advanced renewable fuels production facilities just in the last 15 years. And RPS has provided these engineering and commissioning services for other renewable metals and renewable fuel industries. A tremendous amount of capability here, a tremendous machine that we've added to the network. I don't believe anyone can have a true appreciation of what RPS's impact has been already to our system. It brings us an extraordinary competitive advantage just for Linoco. But right now, RPS is also bidding on LP Biosciences or a portion of LPO Biosciences engineering work as well, with indications that they could potentially save that project millions in CapEx on a faster cycle time and enhancing the overall value of both our and our partner's investment. We believe LP Bio will be the largest industrial hemp processor and producer of extracted oils in the United States. And like Lineco, the platform is designed to quadruple the capacity after its initial startup in the third quarter of 2022. The LP Bio facility alone is expected to scale up to its main plate capacity exceeding 200,000 pounds per day of industrial hemp over its first three years. which will generate annualized revenues of over 400 million in the full third year of operation. And this is just based on the small oil fraction of the industrial hemp industry. The rest of the biomass that comes out of that process is comprised of cellulose with many known co-products that we are evaluating in our decarbonization efforts, including electrification applications that we believe are hiding in plain sight. So just to be clear, Larry Paxton, Then it go has an incredible revenue ramp up just with black mass not minerals not cathodes. Larry Paxton, LP bio has incredible ramp up on just one oil extraction from the industrial hand, not the other co products that we would look ultimately add to the mana system. Speaking of plain sight, we also have been working closely this year with psi plain sight innovations on a number of new technologies, including a novel process for. Immediately extracting lithium from black mass quickly and efficiently there's more to come soon on that, but I just want to acknowledge today no one's able to do that. We believe we're going to be able to do that very soon we're also working with existing processes. for the efficient extraction of carbon from woody biomass with potential applications for producing anodes in batteries. As we started looking at becoming a cathode producer and the battery market, we explored these possibilities and were shocked at what PSI can actually do by taking waste wood biomass where the government's reporting over a billion tons of year is being generated and laid waste in the United States alone. PSI can convert it efficiently into ethanol, into biogasoline, into biodiesel, and many other products. Right now, they're helping us accelerate the lithium extraction from the Black Mass for Lineco, which will be another breakthrough. We believe that this global clean energy transaction transition, I'm sorry, this massive green shift, if you will, plus an escalating population growth is converging into a perfect storm of global demand, demand of which it's hard to exaggerate in these strategic materials without any meaningful corresponding capacity to meet even fraction of this demand. So we're now building that capacity to meet these rapidly growing demands in each one of these businesses. This is literally positioning us for exponential growth and we're deploying these plants in our systems for that capacity now. Physical capacity in Nevada, physical capacity in Iowa. And over the next three years towards over a billion dollars in revenue. But regardless of those plants, we're going to need more speed and we strongly believe that speed has arrived in the form of a quantum computing advantage. We've invested in emerging quantum computing technology to accelerate the innovation of breakthroughs for new materials for use in these applications, meaning, excuse me, meaning specifically batteries, mining, decarbonization. We're partners with leaders in the industry, the top professionals, the top companies in the industry, as we position ourselves to continue the leadership in these material sciences. So just to wrap up, we're on a path to almost a billion dollars in revenue from just Linoco, MANA, MANA slash LPBIO, and MCU without any new additions. We plan on increasing this with PSI likely this quarter, certainly this year, finishing the retrofits of two existing facilities in 2022. We're retrofitting two state-of-the-art existing facilities here and now with growth and revenue in 2022. And we're going to exceed our near term half a billion dollar market value well ahead of schedule. In fact, we're extremely focused on only those items within the time frames that we published. Our money is where our mouth is, as we've directly linked these performance objectives with our goal of delivering this first half billion, which we are now obviously reassessing. as each of these new growth businesses can exceed multiples of that amount. As we move to an exponential ESG-based growth track, we've already seen an incredible recognition just in our shareholder base with all of you, with all of you, but notably also BlackRock, Vanguard, and now Fidelity showing up in our top shareholders. This is just the beginning of our targeting effort. But regardless, our comp is structured so that if the shareholders aren't rewarded, then neither are we. It's 100% performance-based. So with that, I'm going to ask Zach, our Zoom host, to stop here and please facilitate our questions.

Okay, thank you, Corrado. Our first question, and I know you spoke about this during your presentation, and they would like to know how many units are operating and what does the P&L look like and what is the plan to scale the MCU business?

Yes, thank you very much. So we have two units in existence. One is on the Comstock, which is our pilot unit operating 25 tons a day. It's not currently operating 25 tons a day. It has the capacity to operate at 25 tons a day. And then the first commercial unit, which was landed in the Philippines, which can do 150 tons per day. So the intention, first and foremost, is to have the MC unit fully operating in the Philippines, operating at or near the 150 ton capacity, I'm sorry, 150 ton per hour capacity, okay, and be selling all of the sand and gravel that comes from that system cash positively. That's objective number one. Objective number two, to extract any and all of the mercury that's resident in those materials and to extract the gold from the mercury in those materials. I mentioned in our last call that we started At the very, very low end of the river, it's the safest place to start. It's where we have the easiest and best access to the sand and gravel materials. It's also the area that has the least amount of mercury contamination. So while we were down for the last five weeks, we've been extending our scoping and sampling plans for the rest of the river to identify where the higher mercury and gold contents are. and to expand out our mercury containment unit and to expand our actual system. We put two new grizzlies on there so that we can sort the sand and gravels to different sizes as our customers are specifically asking us. So the outlook for that is A, revenue and smaller level of profitability just from sand and gravel. We believe that's an incredible de-risker of the model. and then to start growing that revenue based on the mercury and gold contents that we're identifying. At a relatively low grade of gold in those mercurys, the potential is very high in terms of the amount of cash that we can generate monthly. But it's going to be a two step process that send gravel up announced that it's back up and running announced that it's generated cash and then expand up the river. To the higher points of contamination now once we've done that second piece we're very, very keen we're very, very keen to talk about landing a second system. And then a third system, but it's going to be methodical. The Philippines is our essentially first commercial site. We're going to be cautious. I've had multiple conversations with our joint venture partner there. We could not be more aligned and we're fully committed to get that up and running. Beyond that, I can't exaggerate the number of projects and the inquiries that are out there from historic and or artisanal and small scale mining sites with mercury contamination. The conversations are abundant, but we have to walk before we can run. I'm disappointed in this mercury hiccup. deeply disappointed in the mercury hiccup. We're making operational changes with our joint venture partner there to address the circumstance so it doesn't happen again. But financially, in the grand scheme of things, it's a very, very minor setback in the scope of a mining operation, and we're very excited about moving it forward.

Okay. Thank you, Corrado. Next, we have a quick statement. The shareholder says, our company is an open book to shareholders. Thank you and the staff for all you do to make this world a better place. And that is followed up by this question from another shareholder. What are the specific milestones that trigger payments for the quantum computing investment? Were they not listed due to an NDA with another company?

Yeah, thank you for that. What quantum computing investment is designed to achieve is to create a capability to generate new materials. So we're developing programs to create a capability to develop new materials. The first priority that we've established is new materials for batteries. So we can see an immediate and direct implication on Lineco with that outcome. Quite frankly, we'll see an immediate and direct impact on all of the EV industry with that outcome. The EV industry that's incredibly challenged today because of the scarcity of the materials available for the existing configuration of these batteries. So that's our first objective. Our second objective will be to commercialize those materials and then The third and fourth objective is to have an application for the mining industry, including quantum sensing, and for our carbon capture and reduction industries, which include LP Biosciences and PSI. So as we start to be able to connect the dots better for our shareholders, the investment in quantum has a direct and strategic implication and immediately direct and strategic implication to everything that we're doing. We are NBA, we are in a stealth mode and we do have strategic partners. They're leading leaders in the industry and we couldn't be more humbled, proud, excited about the people that we're working with and we'll be able to say more about that in the future.

Our next question is, do you have any customers lined up for Linoco or the hemp business?

Yes. So let me start with Linoco. The effort for Linoco has been fast and furious with the engineering designs. And so we could not be happier with the breakthrough that we had. And it was an engineering design breakthrough. simply to get much more out of an existing crushing and separating system, but then doing it in a way where we could fit multiples of those systems in our one facility footprint. Secondly, we are now working on the extraction downstream extraction in parallel with Green Lion, who is who is working and finalizing their downstream extraction for cathodes. So we are going to have a solution that gets us to pure cathodes, a solution that gets us through pure minerals, and even our other partner, Aqua Metals, is working on a hydrometallurgical solution to get to minerals. So we're very excited about the downstream, but the important takeaway message for our investors is because of this capacity breakthrough, and believe me, I would be very unhappy if all he did was sell black mass, but with half a billion in revenue and the same nine figures of profit, we've de-risked this thing. This is going to happen. Everything from here is gravy. What have we done? Responding to the question, we are now in multiple discussions. with who most people would perceive as some of the largest customers in the industry for supplying their materials. That's remarkable. Interestingly, because of the nature of this industry, some of those same people are talking about supplying us feedstock. So we're talking about a true closed loop with strategic players in the industry of the largest magnitude. And we are spending now the majority of our time focusing on and securing the rest of the feedstocks for this incredibly large first facility.

Okay, thanks, Corrado. Our next question is, the press release on Genmat stated that Comstock was going to purchase 5% for $50 million in addition to the 45% that Comstock already owns. Is the market value of Genmat $1 billion?

So basically what happened, John Kane- You know, is that we identified an opportunity with the startup company and. John Kane- I cannot exaggerate the competency of its key professional. John Kane- I cannot exaggerate the network of people. that this key professional is working with. But quite frankly, we engaged that person, that team, and we were involved dramatically in developing what we believe is just a superior plan with a superior strategic partner. And in doing that, we earn ourselves a tremendous amount of founders' equity. John Kane- Okay, a tremendous amount of founders equity, it was earned with sweat and. John Kane- You know brains and maybe a little bit of tears not that many tears okay and and so, then we looked at what was we required. John Kane- To generate new materials, what would be required to commercialize those materials, what would be required to commercialize additional lines of business and we committed. To up to $50 million, but only the first 15 right is committed through the first objective over the next two years, so I personally think every business that we're going into. is going to be worth multiple billions and i'm basing that on the impacts and the cash flows that we see possible. what's the valuation today there's a lot of work to do okay there's a lot of work to do. And you're going to be hearing about it, you know, over the next weeks, months, you know, and hopefully two years to tremendous success. So we're going to have to hold the valuations back before we actually, you know, get something achieved here. We don't have anything achieved yet. On the contrary, with Winneco, where we invested at a $17 million valuation, we see public competitors in two instances. John Kane- Having valuations of greater than $1 billion and we don't see either one of those competitors, having a facility like ours, with the capacity that we've announced with the equipment that we've now ordered right with black mass that we're making in our lab you know. John Kane- Number one, we see a private company valued at $3.7 billion. John Kane- Similarly, not having an ounce of capacity that we've announced and the facility that we have so. Yeah, I think there's billions coming in each line of business. You know, the quantum one has the most, farthest out work to do by far. The lithium one has, you know, the most immediate wrapping up. MCU is just as immediate as Linoco, but MCU is a little bit more disparate, right? You know, Linoco is going to ramp up one plant to half a billion dollars of revenue without their downstream products. James Rattling Leafs. MCU is going to be populating many, many sites around the world cleaning up ecosystems and generating. James Rattling Leafs. You know mercury remediation and gold, so you know there's common denominator here every one of these businesses have markets that are just enormous that have no capacity existing today to deliver to them and we're meeting those needs with the capacities we're putting in place.

Okay, and the next question is, how do you assess where you stand with your competition with Linaco and your hemp business?

So I just sort of mentioned that in terms of Linaco, and so I won't really elaborate. I think we're ahead, frankly. Not only do I know that we're ahead, okay, but with RPS in our portfolio, people don't appreciate this. We're engineering our own solutions and we're manufacturing our own equipment. I mean, we've got more capability than any of them. In terms of hemp, the industry is massive and the only thing holding it back is it doesn't have processing capacity. I mean, we've literally had conversations in the last three or four weeks with farms who have said, We've got 5,000 acres planned for this grow, but if your capacity is going to come online, we'll go to 40,000. So the industry is there, the demand is there, but the processing hasn't been there at scale or reliable. In addition to that, we're going to be the first large scale. We'll be the largest, full stop. We'll be the first large scale that can remediate THC out of the material. No one can do that at scale today. No one. We can't. RPS is involved in those discussions as well in terms of the engineered solutions that we have. So I'm trying to paint a little bit broader picture of what the system is starting to evolve into.

Okay. And next, we have a statement. Thanks for all your hard work. I can answer the first question. The first question is, how do I get a hat? We get asked that question quite a bit, and those will be available on our website in our store, our online store that we have. So we are currently working on that.

Let me interject that. Oh, if you're going to buy a Comstock hat, By quickly, because the names changing it's going to be classic okay.

collectors item all right for sure. Okay, and then. A question is that do we have a goal for the number of outstanding shares.

We don't have a goal right, but we, but we, we have a view. That, with the PSI acquisition. As we are currently finalizing it that we would be about 62 million shares, so we believe when in hindsight and when i'm talking about hindsight i'm talking about you all looking back on 2021 so i'm talking in January. When when the dots have been connected when we've published. institutional quality financial models that combine Linaco, LP Biosciences, PSI, and MCU. When you look back onto those models, onto those guidances, people are going to be scratching their heads as to how we so efficiently We're able to consolidate these businesses. It wasn't luck, but we do feel fortunate. If you ask me my preference, I would have loved for this to have happened over a two and a half year period. We didn't have that luxury. The opportunities were being scrubbed, were being diligenced. Sometimes things just converge the way they do, and you have to be ready to capitalize on them. So we understand that the sequence of what's happened, the magnitude of what's happened is not crystal clear. We understand that. In September, October, there's going to be tremendous clarity. Here's the model. Here's what the combined consolidated company looks like. And I can tell you that the nature of the financial institutions, so if we're talking about Larry Paxton, BlackRock fidelity vanguard cetera cetera or if we're talking about the bulge bracket brain bulge bracket banks that have now reached out and making overtures to us we're on a different playing field it's a different game and it's a different level, and so I want to apologize for the. John Kane, The speed at which this had to hit you all the sequence of which it had to hit you off, I would have sequence did very different if I had a choice. John Kane, But when it's done and the dots are connected it's not going to be confusing it's going to be very exciting it already is very exciting and we've never worked harder to this end.

Okay. Are you able to provide an update on supply agreements to match Linoco capacity and walk through the phase one to three roadmap to cathodes? Yeah. Also, can you compare and contrast to your competition?

Yeah. So I think that let me go phase one to phase three to cathodes and compare. So phase one, crushing and separating. of epic capacities, over 100,000 tons. All the engineering is done, all the permits have been submitted, all the equipment's been ordered, and it's coming. Phase two, I really think there's four phases. Phase two is to come up with an immediate extraction of lithium from the black mass. That's not being done. I don't even think it's being contemplated by our competition. we have a patented process embedded in PSI that we're looking to apply to this solution, which has two immediate effects. One, the ability to sell lithium carbonate extract faster than anybody's predicting. Secondly, to make the downstream process for whoever you know comes up with it certainly green lion to get the cathodes much much simpler we've already we've already affected simplification uh for the cathode production process so we don't know anybody that has the capacity designs to break black mass that we do we don't anybody that's even contemplating extracting lithium like we are we don't anybody that's planning to make 99.99 pure cathodes uh like green line has committed to us they can do The fourth phase is that there are multiple exercises, one by us and RPS, and one by one of our partners, to take that black mass sans lithium and extrapolate it to nickel, cobalt, manganese, and graphite. And so there's many people trying to do that. For us, it's a cherry on top of everything else. So it's not necessarily an advantage or disadvantage. We're going to be doing that because we want to be a broad supplier of these materials to the whole market. So that's the four phases and the competition. But was there a first part of the question that slipped my mind? Yeah, let me see. Martin Z Bazant, be able to provide an update on supply agreements oh yeah when the capacity yeah so the supply is out there, you know it's it's significant. Martin Z Bazant, And I think I already mentioned earlier in the call that we're engaged with multiple very, very large companies in need of these battery materials. And they're also talking to us about a closed loop chain. And then we're talking to many others, full target list, full target spread across the United States of feedstock suppliers. So we don't have an update on agreements, but as soon as we have agreements, we'll start updating you. And that's what we're spending most of our time on now. Jose Cisneros- purposely not spending time on it before we finalized the breakthroughs and the and the other designs, but now that those permits are submitted. Jose Cisneros- Right we're we're going in I don't i'm pretty sure one of our competition has not even submitted their permit yet i'm sure the other one. Jose Cisneros- submitted their permit and has made some changes and intentions in terms of their facilities so again, I think we're more focused and moving faster.

As you are working with Lakeview, are there carbon capture opportunities associated with ethanol plants and the ability to control 45Q tax credits?

Yeah, so look, the carbon, the decarbonization is going to emerge as an overwhelming theme of what we're doing. Okay, we're throughput based. So for those who appreciate that, throughput is the rate James Rattling Leafs. At which we generate units of the goal, which means the rate that we generate cash per hour per day, the rate that we generate. James Rattling Leafs. natural impact, which is the reduction of carbon emissions right and the rate that we make social impact that we call that triple point right we measure all three things now, if you look at the most offensive. emitters of carbon dioxide into the atmosphere, ethanol leads the list. And so partnering with Lakeview is a tremendous opportunity for us to look at additional opportunities. And we're already looking at them and we already have novel solutions not to be discussed on this call, that's for sure. But going forward, we couldn't be more, we couldn't be better positioned um to a reduce those kinds of emissions and maybe excitingly capture those emissions for productive use so that's coming that's coming in the future um if we're in cellulosic fuels that will omit carbon dioxide and we will be able to capture and put those to productive use so these dots which we're connecting at a very high level now are going to start to get connected in a much more detailed level. And it's going to be pleasantly surprising to people what's going to come out of this.

Zach? With Linoco capable of processing 100,000 tons of waste batteries per year, where will the feedstock come from?

So again, as I said, there's long-term universal waste handlers. There is an abundance of electronic devices, an abundance of batteries. many of which today are going to landfills for regulatory purposes. There is an abundance of just not an abundance, but a rapidly increasing amount of EVs from cars. A lot of them are in the test mode. Some of them, like Tesla, are obviously in the operating mode. And really, they're going to nonproductive uses today. Pretty much the entire industry is repositioning to bring those in. We're working on that. We'll advise when we have those agreements in place. But given the scale up of the 100,000 tons over three years, there's not going to be any scenarios where there's scarcity for us of batteries to feed the alligator. We're going to be feeding that system, you know, those batteries and ramping an increasingly amount over time. So I just have to say more to come on that, you know, as we move forward.

Okay, and our next question is, will the company be purchasing any stock at these current prices?

We've had some indicators by some of our directors. You know, hey, when does the blackout period lift? Can we buy some stock? We expect to see some of that for sure. These acquisitions are also bringing in some incredible management competencies. I mean, a team like I haven't seen and to the person, man and woman, they are agreeing to sell their businesses for stock and agreeing to locking that stock up over a five year period could not get a more stronger testament to how much they believe in what they're bringing to the table and what we can do together. And I think bottom line on this, come the end of the year, our insider holdings will be much, much larger than anyone's anticipating between a combination of those things. So we're skin, we're in the game, all in, all committed, all restricted. If we don't perform, we don't get rewarded.

Okay, and a shareholder would like some more clarity. They wanted to confirm that we have $25 million in assets for sale and $13 million are under contract.

John Kane- Is that correct 25 million for sale, if you 13 million under sales contract for land another 6.7 under senior secure contract. John Kane- or payment, you know by March that's the tonal gold note receivable, there is a possibility that some are all of that know will be paid early. John Kane, based on the developments that we're seeing, but certainly not later than the end of March yep So those are the two biggest components pushing 20 of the 25 million. John Kane- Okay, and a shareholder would like an update on tonal goal so tonal had had some changes Okay, I use the term process change earlier, but frankly they've added an incredible new director to their board who i've had a number of conversations with very, very. John Kane- Strong professional very level headed professional. I've talked to all of their top stakeholders. They've accelerated the process for finishing their technical report. It's nearly complete in draft form and we've seen it. They are accelerating to a final conclusion. They're audited financial statements. That's a prerequisite for their uplisting. And they're moving forward with uplisting. So we expect to see some additional drilling, believe it or not, over the next few weeks get started. We expect to see meaningful changes in the rate at which their business plan moves forward. And we're very supportive of it. We think it's going to be successful. You know, they've got some great partners, meaning stakeholders, meaning shareholders, and they're talking to some very good ones. So I think it's going to keep moving forward. Everyone was disappointed by some of the initial delays and the drop in their share price, but it looks like they're getting their plans back on track and we're happy to see that.

Congratulations on your transformational Green Shift. What is your relationship with Green Shift Corporation?

So we have spoken to the Green Shift principals. We love the people. We absolutely love the people. We have really focused on This plain sight innovation component, if you will, of that for lack of better term network, and you know the main principle of that company, we put in the highest regard and the collaboration with with that principle and with the senior executives of plain sight innovations. John Kane, As far as i'm concerned, is one of the final pieces to this puzzle and incredibly powerful business model, but will hold and reserve more conversation until that's really closed quite honestly just because I don't want to jinx it. John Kane, Okay crowd of that wraps up all of our questions, thank you all, I know there's a lot of change. I know that there is a feeling of urgency for us to deliver, right, the revenues from these businesses. We're here to say we're committed to MCU. We're committed to an even faster ramp up with Linoco. We're committed to a very fast ramp up with LP Biosciences and Mana. And what we're, and we're committed, frankly, to closing this deal with PSI and presenting most likely the biggest business model, the biggest line of businesses of everything that we've talked about so far. And by the end of September, having consolidated institutional quality model of all those businesses and engaging our targeting new shareholders that are very interested And the population of those is huge. So I think we've expanded our footprint, but we've also expanded the areas and people of interest in investing in this company. And we believe that will fundamentally be the last driver to seeing the share price move not just to $12, which is our intermediate objective, but well beyond. We're working hard on it. We're focused on it. And if anyone was unable to put a question in, please feel free to reach out to Mears Act at your convenience. Thank you. And we look forward to the next call.