{ "docId": "019dd923-622c-750b-8b99-ccb50c0de40d", "docSlug": "2ce2200974d3", "documentTitle": "IperionX Ltd. (IPX)", "authorId": "54_Spruce_Point_Capital", "authorName": "Spruce Point Capital Management", "documentKindSlug": "activist-deck", "documentKindLabel": "Activist deck", "sourceTypeSlug": "short_seller", "sourceTypeLabel": "Short seller", "presentationDate": "2025-11-12 00:00:00", "orientation": "landscape", "aspectRatio": 1.3333334, "pageNumber": 8, "pageCount": 93, "prevPage": 7, "nextPage": 9, "slideType": "thesis_headline", "function": "diagnose_problem", "density": "dense", "nDataPoints": 6, "notes": "The slide uses numbered red flags (5 and 6) to denote specific points of contention.", "elementsJson": [ "paragraph", "callout_box" ], "metadataConfidence": 1, "imagePath": null, "slideHref": "/slides/019dd923-622c-750b-8b99-ccb50c0de40d/8", "deckHref": "/decks/019dd923-622c-750b-8b99-ccb50c0de40d", "deckJsonHref": "/decks/019dd923-622c-750b-8b99-ccb50c0de40d.json", "deckAnchorHref": "/decks/019dd923-622c-750b-8b99-ccb50c0de40d#slide-8", "components": [ { "bbox": null, "kind": "callout", "text": "We think the Titan mining project which could supply the ore feedstock for the HAMR process is also a long-shot to succeed.", "attrs": null, "subkind": null, "toolName": "Visual emphasis", "toolSlug": "visual-emphasis", "confidence": null, "componentId": "019dd952-f5d0-745c-beac-d04a4fdd2c6a", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.1, "w": 0.05, "x": 0.01, "y": 0.7 }, "kind": "image", "text": "Flag 6", "attrs": null, "subkind": "icon-grid", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "4db4eb50-36fa-46e6-8d93-027a9de397d7", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.1, "w": 0.05, "x": 0.01, "y": 0.3 }, "kind": "image", "text": "Flag 5", "attrs": null, "subkind": "icon-grid", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "f4cc3177-d1ee-45b8-a16e-329a51fbf4ba", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.38, "w": 0.92, "x": 0.06, "y": 0.17 }, "kind": "paragraph", "text": "We think the Titan mining project which could supply the ore feedstock for the HAMR process is also a long-shot to succeed. The asset is part of the McNairy sands which has been explored for decades. Titanium is extracted from minerals like ilmenite and rutile which are a large portion of Titan’s JORC-complaint mineral resource which also includes zircon. IPX’s initial plans indicated that Chemours (NYSE: CC) would be a likely offtake partner, but that hasn’t materialized. IPX touts the project’s ~10,100 acres, but it is only permitted for 308 acres and assets were recently written off and acreage options extinguished. IPX promotes rare earth minerals as a potential byproduct, which is timely given investor excitement about the sector over China decoupling. The initial project said it would be “shovel ready” by Q4 2023 but that timeline has clearly slipped. IPX has also said that a Japanese conglomerate has been evaluating and testing samples since mid-2023 but no offtake agreements have been announced. On November 10, 2025, Japanese conglomerate Marubeni invested in RZ Resources’ Australian Copi Project to advance rutile, zircon, ilmenite and rare earths which may potentially diminish its interest in the Titan Project. Also, Japan and the U.S. are teaming up to explore rare earths projects outside the U.S. but nothing announced in Tennessee. Tronox (NYSE: TROX) recently reported sustained weakness in titanium dioxide and zircon. Moreover, Tennessee has not historically been a hotbed of mining activity. According to the state’s last mineral industry overview, only coal, oil, and natural gas are currently being recovered, and we find no evidence that Tennessee has ever commercially developed a zircon or titanium ore mining operation.", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "34f900b0-281c-4c9e-ac70-0c35abbd8a77", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.38, "w": 0.92, "x": 0.06, "y": 0.58 }, "kind": "paragraph", "text": "Other partnership and customer announcements do not appear to have resulted in much and future revenue remains uncertain. We’ve analyzed each of IPX’s partner and customer announcements and spoke with experts familiar with the business. Some partnerships have expired, while others IPX no longer references. There is enthusiasm around a Ford contract estimated to generate ~$11 million starting in 2025 but no revenues have been booked and IPX listed no inventory on its balance sheet (raw materials or finished goods) at fiscal year end and no inventory purchases through September 30th, so we question if any revenues are imminent. For IPX to sell into the aerospace and defense markets, product qualification becomes a real issue and came take time. A year ago, IPX indicated it had ~100 active customer engagements but now is signaling just 22. One cause for optimism is that IPX secured a U.S. army task order for $99 million under a Small Business Innovation Research Phase III contract and received a $1.3 million order which is its obligation according to USAspending.gov. The contract is Indefinite Delivery Indefinite Quantity (IDIQ) which only obligates the government to fulfill its minimum obligation and makes future orders not guaranteed. The U.S. Department of War stated that bids were solicited via the internet and only one bid was received.", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "ea37825c-d95e-4088-aaea-11bad15d561a", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.12, "w": 0.68, "x": 0.28, "y": 0.03 }, "kind": "title", "text": "We Are Short IperionX Ltd. (Nasdaq/ASX: IPX) And See Potential 70% - 95% Downside Risk In Some Scenarios", "attrs": null, "subkind": "headline", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "98a2be34-c570-4d8b-a1f6-3b670895cf21", "frameworkName": null, "frameworkSlug": null } ], "metrics": [], "tools": [], "frameworks": [], "arcBeats": [ { "to": 20, "from": 5, "beatId": "9bf7e2c0-2c29-416c-9216-339af0c1585a", "arcName": "Overcoming the Monster", "arcSlug": "overcoming-monster", "beatName": "Expose Contradiction", "beatSlug": null, "evidence": "The document exposes various contradictions and discrepancies in IperionX Ltd.'s operations and financial reporting", "position": 1, "confidence": 0.8, "parentBeatName": null, "parentBeatSlug": null } ], "loops": [], "imagePathAlt": null, "thumbSrc": null, "thumbSrcAlt": null, "locked": true }