Paul Graves: No look it’s not it’s not an idealized anything. I think it’s a record designed to be a representative model, not a forecast, but a representative model. To be that it has to have realistic estimate — estimates of when production would come online what kind of volume it would be what form it would be in hydroxide or carbonate just as much as it needs to be at least a reasonable justifiable and defensible pricing forecast. So it’s certainly not what I would call a overly simplistic desktop model that you just apply math to. It actually does reflect when the model was produced what our best estimates would be if the production profile of Livent in 2024.
Joel Jackson: Okay thank you for that. So my next question is so it’s interesting you’re able to hold your full year guidance range exactly the same in the last few months you’ve seen obviously quite volatile pricing right, we’ve seen carbonate and hydroxide prices move up a fair bit from April to June and start your road lower and I know you’ve got a lot of fixed pricing this year majority of your volume, but it’s interesting that you didn’t have to change your range at all. Can you just talk about that despite all the volatility in price — you weren’t — you didn’t have to — your range is exactly the same.
Paul Graves: So look, I’d like to think that we’re not completely blind to what might happen in the market. And while no longer predict it perfectly. I think directionally, we are not too bad at predicting what we think is going to happen in the market. If you actually follow what the logical flow behind what we’ve assumed in there and you look at what our EBITDA is for the first half of the year and then what the assumption might be for the second half of the year, given we have an expectation of more volumes coming in, in Q4, you can see that we’ve factored in what we think the pricing environment is in fact going to look like it’s not — we’ve never claimed — we don’t take a Q4 price back the model for the following four quarters and use that as our guidance.
Didn’t take a Q1 price deck and so on and so forth. We do look forward — we look at our customer mix. Our customer mix is by portion vary meaningfully. We have a lot of predictability because of where we know pricing is in those hydroxide contracts and in our Bell and other specialties customer base. So we can probably more than most today, at least, will debate whether this survives many more years. But today, at least, we can have a reasonable degree of confidence as to what the sort of base profitability of our business is likely to be. Now you’ll also recognize that we didn’t change our guidance, but we didn’t change the range either, right? And so we recognize with half the year left the range is still as wide as it was before. And that is designed to at least capture some concept that there will be some variability in pricing, which while we’re not linearly related to it, will, of course, impact us if prices are significantly higher than the and our assumption is significantly lower.
The price — the guidance range is designed to help us capture that.
Joel Jackson: Thank you.
Operator: Your last question comes from the line of Corinne Blanchard with Deutsche Bank. Your line is open
Corinne Blanchard: Hey good afternoon. Thanks for taking the time and the question. Could you just help me or help us understand maybe the cost profile into 3Q and 4Q. I believe you had mentioned expecting a gross margin of 52% or 53% for the year. So just trying to understand when will the cost increase hit? Is it 3Q and 4Q like or is it more towards the end of the year?
