the illusion of the Co swapJust as I was complaining about at the end of last quarter when they advanced $15 million to the JV, they advanced another 15 this quarter. And then they clearly state that this $30 million hole must be paid back prior to the cobalt swap money. And then they say the cobalt swap in 2024 will be insufficient and will be punted to 2025. read this paragraph. :
Advances to the Moa JV are interest bearing, at the Corporation’s borrowing rates, and are expected to be repaid during the first half of 2024. Sherritt does not expect to advance further amounts to the Moa JV in 2024. Upon repayment of the amounts outstanding by the Moa JV, and subject to the Moa JV’s available liquidity to support operations and expected liquidity requirements, the joint venture will be eligible to commence payment of cobalt dividends pursuant to the Cobalt Swap. At current spot nickel prices, and given the prioritization of the joint venture to repay its outstanding advances, the Corporation expects that under the Cobalt Swap the cobalt dividends anticipated to commence in the second half the year will not meet the annual maximum amount in 2024. As previously disclosed and as defined by the agreement, any short fall in the annual minimum payment amount will be added to the following year.