Nemaska Lithium Inc NMKEF

Nemaska Lithium Inc is a Canada based lithium company. It is engaged in exploring and evaluating lithium properties and processing of spodumene into lithium compounds in Quebec, Canada. The company supplies lithium hydroxide and lithium carbonate to the lithium battery industry used in electric vehicles, cell phones, tablets, and other consumer products.

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Nemaska Lithium Inc > PWC assignment page

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Comment by Calgary_ABon Dec 30, 2019 11:40pm

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Post# 30504010

RE:RE:RE:RE:RE:RE:PWC assignment page

Mick, all off takes can be viewd as and not classified as Streams
NMX collected money, spent the money and now they have to deliver to pay back...contracts never specified the price they promissed to deliver at....is there profit left?
Based on what I know so far, GB was not smart enough to make sure there is profit, he only cared about getting the money in at the time when he needed the funds...Pay later/or nevermind

mick1888 wrote: CalAB, could you please confirm which Streams (BAD) you have an issue with? As far as I can make out, at the moment there is only one BAD Stream which is the Orion first tranche $75m, the second tranche $75 will not come into affect tomorrow. This entitles Orion to roughly 7% of future sales. NOT THAT BAD?

Please confirm others?

Thanks.... ;-)

Calgary_AB wrote: Lets assume:
1. Nordic bond will be resolved at no extra cost.
2. Management changed to capable one.

3. the past damage made by bad management decisions will be a burden...
streams, penalties and cash burned already by bad management this can not be undone.

To refinance the already burned cash is the hardest. To undo bad streams and deals also very hard to refinance.

and all that assuming the first 2 are easilly done...third one makes it impossible.

Charlene wrote: It is the Nordic's bond trustee's secured first claim of $100M US that is impeding efforts to raise capital. If that is thrown away, then it makes it a lot easier to invest.... this is true for Pallinghurst and/or other investors. If it isn't, then the situation gets more grim. My investment and other retail investments go down the toilet.

The DD done by Palinghurst did not point to any technical weaknesses. The two bad financial decisions 1) Nordic bond 2) poor project management. If and when 1) is resolved, any smart investor will ask for serious management changes as part of any new investment.

At that point, NMX becomes a great stock again. It would also help if the Li market condidtions improve in the next 3 months or so. There is a path to great returns. There is also path to bankrupcy. Good luck all.