{"id":819738,"date":"2018-07-03T20:18:23","date_gmt":"2018-07-03T20:18:23","guid":{"rendered":"http:\/\/juniorminingnews.com\/?p=819738"},"modified":"2018-07-03T20:18:23","modified_gmt":"2018-07-03T20:18:23","slug":"quebec-lithium-stock-jumps-on-korea-deal-2","status":"publish","type":"post","link":"https:\/\/juniorminingnews.com\/?p=819738","title":{"rendered":"Quebec lithium stock jumps on Korea deal"},"content":{"rendered":"

By Frik Els<\/a><\/span> <\/p>\n

Shares in Canada’s Nemaska Lithium (TSX:NMX, OTC:NMKEF) swung wildly on Tuesday after the company inked a supply deal with a South Korean battery maker that all but ties up full production from its Quebec project until after 2025.<\/p>\n

Nemaska sank more than 5% on US over the counter markets in morning trade, only to bounce higher in Toronto as US markets closed early for July 4 holidays. Near the close of trading in Toronto the Quebec City-based company’s shares had gained 3.5% for a market value of US$560m.<\/p>\n

Under the agreement with LG Chem, Nemaska will supply on a take-or-pay basis 7,000 tonnes per year of lithium hydroxide produced at its commercial plant in Shawinigan north of Montreal, for an initial 5-year period scheduled to start in October 2020.<\/span><\/p>\n

Nemaska said it “has now committed or has agreement in principle in place for over 90% of its anticipated 33,000 tonnes\/y LCE capacity.”<\/p>\n

Nemaska is building the Whabouchi hard rock lithium mine in the James Bay region and Shawinigan processing plant for a capital outlay of roughly $620m (up to $825m including working capital and reserves).<\/p>\n

In April, the company signed an off-take deal with private equity firm Orion for 14.5% on all lithium hydroxide and lithium carbonate produced at the plant up to a maximum of 5,000 tonnes per year.<\/p>\n

That deal came just a week after a $100 billion technology fund controlled by Japan’s Softbank bought a 10% stake in Nemaska for $77m on top of an option for 20% of production. Nemaska has also received funding from the Quebec and Canadian governments.<\/p>\n

Nemaska is targeting production of 23kt of lithium hydroxide and 11kt of lithium carbonate from the spodumene mine per year.<\/p>\n

In its March corporate presentation the company said it can produce lithium carbonate from its plant for $3,403 per tonne and lithium hydroxide for $2,811 making it one of the lowest cost producers anywhere in the world.<\/p>\n

Prices have softened this year but at around $19,000 for battery grade carbonate exports and nearly $20,000 for hydroxide last week according to Metal Bulletin data, today Nemaska would have no problem operating Whabouchi profitably.<\/p>\n

The post Quebec lithium stock jumps on Korea deal<\/a> appeared first on MINING.com<\/a>.<\/p>\n

…read more<\/a> <\/p>\n

From:: Infomine<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

By Frik Els Shares in Canada’s Nemaska Lithium (TSX:NMX, OTC:NMKEF) swung wildly on Tuesday after the company inked a supply deal with a South Korean battery maker that all but ties up full production from its Quebec project until after 2025. Nemaska sank more than 5% on US over the counter markets in morning trade, […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"site-sidebar-layout":"default","site-content-layout":"","ast-site-content-layout":"","site-content-style":"default","site-sidebar-style":"default","ast-global-header-display":"","ast-banner-title-visibility":"","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","theme-transparent-header-meta":"","adv-header-id-meta":"","stick-header-meta":"","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":"","astra-migrate-meta-layouts":"default","ast-page-background-enabled":"default","ast-page-background-meta":{"desktop":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"tablet":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"mobile":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""}},"ast-content-background-meta":{"desktop":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"tablet":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"mobile":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""}},"footnotes":""},"categories":[360],"tags":[],"_links":{"self":[{"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/posts\/819738"}],"collection":[{"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=819738"}],"version-history":[{"count":0,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/posts\/819738\/revisions"}],"wp:attachment":[{"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=819738"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=819738"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=819738"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}