reference
LITHIUM: Nemaska Lithium files for creditor protection Up until the end of September, Nemaska had invested $392 million at the two sites with an estimated $187 million remaining to be spent at the mine and $690 million remaining to be spent at the plant.
Based on an updated technical report released in July,
capital costs for the mine and plant would total $1.3 billion with operating costs at $5,223 per tonne of lithium hydroxide. The associated
after-tax net present value estimate, at an 8% discount rate, stands at $2.3 billion with a 27.4% internal rate of return
what does that mean for shareprice which is at 16 cents now while market cap is at 140 million
charlene please ?
if we earn the costs (1.3 bn $) what would the shareprice then reasonably be ?
and if we reach the 2.3 bn $ mark where would the shareprice be ?
the value of the transforming plant doesnt disappear .it is a permanent enduring asset .
the value of the mine too has modules that can be deployed elsewhere ?.so the investment is not a total loss neither even after the mine ceases to exist .
if we pay back the costs would then the value of the company be around */- 1.2 bn $ .
= capital invested in mine and plant .
how much money do we now need just to continue ?i lost count . is it around 1bn $?
i assumet he shareprice wont budge at all if we reach the costprice assuming the financing is done entirely with share emissions at 25 cents . .the only way out of this would be to emit shares at a higher price .40 or 50 cents for instance .
the numbers dont allow great upside for the shareprice no matter what in the short run .
only if we expand and grow the business is there hope for our investment in my opinion .
.more plants ,more mines
alleluiah mr fitzgibbon
the harbinger of progress