CLQ and Vanadium, page-8

Mr. Finlayson was later appointed Head of Global Exploration.
One has to stop and consider this for a moment.

Why is the former Head of Global Exploration for a major big-cap miner, who is now a Director on the Board at Clean Teq, a suitable CEO for Pu Neng ?

Pu Neng is a tech company, not a miner. Pu Neng states that they are THE GLOBAL LEADER in VRB batteries. Even if one allows for self-promotion, one must concede they are a leader.
They have a contract to install the world's largest VRB installation. Their product has been approved by China State Grid.They have a proven technology.

So why does a tech company need a geologist as their CEO

There is a logical reason, aside from the obvious fact that Mr. Finlayson is trusted by Robert Friedland,
who controls both CLQ and Pu Neng. And the reason is in addition to the obvious conclusion that in Robert Friedland's opinion, Eric Finalyson is a talented executive.

The reason Eric Finlayson is a suitable person, is because the main problem facingPu Neng as company is a reliable supply of vanadium. They have the technology. They have the right product. The have the connections. They have the capital. They have everything they need. Except for one thing....

What they do not have is a reliable source of vanadium. No vanadium...no VRBs.

Pu Neng must make decisions, soon, on vanadium sourcing that are vital to their ability to maximize the technical capability already established.

Because of the supply situation, the ability to source new supplies of vanadium will need a qualified
geologist to evaluate and handicap the certainty and supply of potential sources. Mr. Finlayson is the kind of person that can ask the right questions and has enough expertise so that Friedland can have confidence.

When Finlayson says, "Resource A and Resource B are the best choices for long-term vanadium supplies at a good cost. We need to lock up vanadium production, and I like Resources A and B", RF can trust what he is being told. He needs to, because the future of Pu Neng depends on a reliable source of vanadium.

LIKELY OUTCOMES. There is an unusual situation with the potential Chinese sources of coal- or petro-based vanadium in China and the corporate structures and personalities involved. On the BOD of Pu Neng sits individual named Lee Barker. Mr. Barker had assets connected to Chinese vanadium that Robert Friedland wanted; so a deal was done whereby Mr. Barker acquired 18% of Pu Neng and a Board seat. Mr. Barker maintains a separate micro-cap explorer, and appears to have a fishing license but no guarantees that Pu Neng will source from his finds, should he come up with something.

At the same time, we can be sure that RF is looking for vanadium sources independently of Mr. Barker.

Pu Neng does not want to be a miner, but they need vanadium.

So the likely outcome is that a JV will be formed that will supply vanadium to Pu Neng.
Of course another supplier unrelated to Barker or Friedland could come in, but I doubt that this is likely.

The likely JV configurations are:

1. Chinese land holder+Barker interests
2. Chinese land holder+Friedland interests

It is likely but not definite that CLQ would be involved in either scenario.

If Barker comes up with a deal for Pu Neng, he might be able to do it without using CLQ's technology.
If his proposal is strong enough, CLQ might be outside of the supply chain to Pu Neng.
Whether CLQ methods are used in the extraction for a deal with Barker is an obvious bargaining chip held by Barker if he is able to bring his own deal to the table.

However, it seems likely that CLQ would be involved; because Friedland is Chairman of both CLQ and Pu Neng, and Eric Finalyson is the CEO of Pu Neng and a Director at Clean Teq.