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Electra Battery Materials Corp V.ELBM

Alternate Symbol(s):  ELBM

Electra Battery Materials Corporation is a Canada-based processor of low-carbon, ethically sourced battery materials. The Company is focused on building a supply of cobalt, nickel and recycled battery materials. It is engaged in the business of battery materials refining, including refining material from mining operations and from the recycling of battery scrap and end of life batteries. It owns two main assets: the refinery located in Ontario, Canada and the Iron Creek cobalt-copper project located in Idaho, United States. Its projects include Ontario Refinery, Recycling, Becancour, North American Nickel and Iron Creek. It is in the process of constructing its expanded hydrometallurgical cobalt refinery, assessing the various optimizations and modular growth scenarios for a recycled battery material (known as black mass) program, and exploring and developing its mineral properties. The Iron Creek Project consists of mining patents and exploration claims over an area of 3,300 hectares.


TSXV:ELBM - Post by User

Comment by stockdoc73on Sep 21, 2021 10:07am
239 Views
Post# 33891781

RE:RE:RE:RE:RE:FCC Working Capital

RE:RE:RE:RE:RE:FCC Working CapitalEveryone needs to take a deep breath, again. Anyone should know that there are substantial capital requirements involved in manufacturing operations. Of course FCC will need working capital. When the refinery comes online they will need capital for raw material acquisition, labor, operating overhead, ect. and there will be a signifcant time between material conversion and receipt of accounts receivable for the shipped goods. Count on at least a 90 day lag time. Working capital lines of credit are generally run through a bank or other financial institution and are collateralized with hard assets, such as the refinery. Also, just because you have a working capital line of credit, it does not mean that you are going to draw it down completely. It is available to smooth out rough patches between payables and receivables. When I owned my manufacturing business I always maintained a $500K line of credit but some years never even touched it.
Bottom line, do not expect further dilution caused by working capital. The only potential for near term dilution might come from cost overruns commissioning the refinery.
Enjoy your day and be patient. 
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