SCY’s new strategyIMO, the new planning of activities/programs roughly looks like this (without timelines). There are 3 phases.
1. Focus on getting the critical metals recovery from copper waste streams business up and running (economic demonstration). Sales of critical metals (other than Sc) and earning money.
After 1 has completed, start the following 3 programs in parallel:
2.a Build a facility to produce AlSc master alloy and start sales of scandium; develop a customer base – probably starting with the LOI partners
2.b Expand earnings from IX-technology by targeting other copper miners (this also extends the production of scandium from copper waste streams)
2.c Find LIB manufacturer, start R&D program to incorporate scandium in LIBs (assume patents have granted)
Once they have a customer base, after 2.a (and maybe 2.b)
3. Getting scandium offtakes signed, finance and construct Nyngan
The new strategy will only be announced once SCY has signed a deal with a copper miner. This is how GP works. The old strategy, which starts with phase 3, is ‘dead’.
SCY has to file a 10-K before March 31, and I think it is risky to communicate the old strategy, like the waste stream recovery initiative has no impact on it. IMO, that would be misleading. This is what I found: ‘A 10-K filing also includes signed letters from the company’s chief executive officer and chief financial officer. In it, the executives swear under oath that the information included in the 10-K is accurate. These letters became a requirement after several high-profile cases involving accounting fraud following the dot-com bust.’
This is why I believe we will have a NR on a deal with a copper miner (shortly), before the 10-K gets filed (before March 31, 2021).
What do you think?