GREY:NMKEF - Post by User
Comment by
Haiabusaon Jul 03, 2018 6:38pm
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Post# 28264623
RE:Question on the news
RE:Question on the newsI don't think it is safe to assume that because there isn't really a defined "market price" for lithium.. There are a number of contracts between suppliers of lithium and spodumene and manufacturers who use the lithium in bulk.
The prices paid defined in those agreements are instructive of what the market will tolerate but I think it's more likely that NMX will be breaking new ground in setting a price for FOB (Free On Board) Lithium Hydroxide/Carbonate (+Spodumene for a short time) out of Shawinigan.
Eventually if the QC Spodumene play becomes big enough (with the other miners producing input material) and NMX continues to have the only conversion plant in the area, they will need to establish a marketing division to research and market product internationally.
That's best case scenerio phase 3/4 type stuff and assumes NMX becomes an intermediary for processing/marketing between other miners in the region and their end manufacturer. That would depend on NMX LiOH conversion process working at the assumed low cost.