Stockwatch June 17, 2021 Diamond & Specialty Minerals Summary for June 17, 2021
2021-06-17 20:14 ET - Market Summary
by Will Purcell
https://www.stockwatch.com/News/Item?bid=Z-C:*MKTDIAM-3100143&symbol=*MKTDIAM®ion=C
Eric Desaulniers and Arne Frandsen's Nouveau Monde Graphite Inc. (NOU), down $1.08 to $11.20 on 375,000 shares, is offering seven million shares through an underwritten offering and another 1.75 million shares in a non-brokered offering on the same terms. (The larger placement also comes with a 15-per-cent greenshoe option.) The pricing of the share sales is not yet set, but if fully subscribed the offerings will add several tens of millions of dollars to Nouveau Monde's treasury.
The cash, says Mr. Desaulniers, president and CEO, is for development of the Matawinie graphite mine and a plant in Becancour. A feasibility study, completed in 2018, called for a 25-year, $276-million operation that was based on a resource of 120 million tonnes measured and indicated at 4.26 per cent graphite. At last report, Mr. Desaulniers was touting a 2023 start for production, but he will need considerably more cash, it appears. Meanwhile, a new feasibility study is getting under way.
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