Neo Lithium Corp V.NLC

RE:RE:RE:RE:RE:Capital Raise for Production Plant

[pone]

SnowyWindows wrote: You are ignoring the $490.2M of capital expenditures already baked into the1.45M NPV.

Plus we are expecting better economics in the updated assessment.

How am I ignoring the capex?  That's what the $500M+ capital raise we are modeling is financing! 

To derisk the investment they need to finance their plant.  In the proposed thumbsketch calculation - which might be wrong at many levels since I did not research it carefully - they are finding a partner who gives them $250M, takes 40% of the production and takes some number of shares in exchange for the financing.  Some of the capex requirement is raised as debt.

I was not trying to develop a precise model.  I was trying to quickly show that $2.30/share did not seem to correspond to an economic reality, given the NPV and likely amounts of dilution.