A google translation... Fearful of losing their money, shareholders of Nemaska Lithium are asking the state to further help this company, which has sheltered itself from its creditors, even if Investissement Qubec risks losing its $ 130 million already invested.
In a letter to Quebec Premier Franois Legault, the Nemaska Shareholder Group would like the Quebec government to use the Pan-Canadian Framework on Clean Growth and Climate Change while requesting $ 400 million in Ottawa funding for this business . Nemaska Lithium wants to mine spodumene at the Whabouchi mine in the Nord-du-Qubec region and process this mineral to extract lithium which is used for electric car batteries at its Shawinigan, Mauricie, facilities.
Due to cost overruns that pushed the bill up by about $ 500 million to reach $ 1.5 billion, the company took shelter from its creditors before Christmas and suspended operations on December 31. .
The Nemaska Shareholders' Association would also like Investissement Qubec (IQ), one of the largest shareholders of this mining company, to put even more money on the table even if IQ risks losing its initial stake during the restructuring of the 'business.
Potential buyers have until July 10 to make an offer. As part of the restructuring process taking place in the Superior Court of Quebec, eight bidders qualified to submit a bid.
The shareholders of Nemaska are however afraid of losing all their balls as a result of this process and they would like Quebec to intervene in their favor.
Nemaska Lithium's stock has not been listed on the Toronto Stock Exchange since February.
After peaking in 2017, the price of lithium has plummeted ever since, making it more difficult to attract new investors.