GREY:NMKEF - Post by User
Comment by
Charleneon Jan 29, 2020 11:47am
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Post# 30614467
RE:RE:RE:Nordic trustee / NMX bonds settlement proposal
RE:RE:RE:Nordic trustee / NMX bonds settlement proposal I think they should do this in phases. They should raise enough to complete the Whabouchi mine first. So, they don't have to cover the bond shortfall. They need about $200M CAD (which was PG investment offer). They should be able to produce Spodumene Concentrate at a profit as their cost should be about $347 USD per tonne. Since its selling currently around $500 USD. That should produce some nice cash flows - $40M CAD in profit per year (200k tonnes @ $150 USD profit per tonne). That should equate to a market cap of about $600 M (at production) at a multiple of 15x earnings.
This is why PG and (hopefully many) others should be interested. They could raise more money later to complete the factory... but this can be done when the market conditions improve e.g. 2021.