OTCQX:SREMF - Post by User
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Oregonduckon Apr 15, 2015 1:53pm
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Post# 23632794
RE:RE:RE:RE:The Plan
RE:RE:RE:RE:The Plannookiewookie wrote: Oregon
Lundin personally lost $60 mill in the finance deal Sirocco way. They way they abandoned ship made me think they won't be back. This has been a scab on their face so I doubt they will have another go. Enough has been thrown at it, it seems the plan was battery grade but Tech grade is the limit within the realms of opex.
The Lundins will surely have spotted what others are doing in the sector. I anticpate SQM will take out the iodine mine and mothball it.
Nookie: I'm not so sure Lukas Lundin & Richard Clark will let this ship sink to the bottom of the sea & not attempt to salvage it. They didn't before because of the large debts that RBI couldn't service with no production & revenue source. They ran out of money. Don't forget shareholders (Canada Lithium & Sirocco Mining) had sunk around $300 million into the combined operation. Lukas Lundin can pump another $25/30 million into the business wiping out all legacy debts, i.e., with creditors converting their debts into shares of RBI (Newco) on a pro-rata basis, and gets the assets for a song. RBI's business model could be viable given extra time to produce battery-grade lithium with no debts to service. The Quebec plant could be up and running with no cap. costs to incur, and the iodine plant could be disposed of when prices recovered.