Speaking of Math's.....
Unfortunately , I reckon the 'Bookkeeping ' somewhere is still a little bit dubious to say the least. Particularly when you compare Piedmont's March QTR and YTD June 2023 statements.
So on the one hand while it appears that Sayona has received $24.137 million from JV partners , I would suggest that this would almost certainly be from SOQUEM and NOT Piedmont.
And her's why I say this. Firstly while it appears through the representation made in the Sayona cashflow statement at 2.5 " Other – Reclassification of restricted depositsfrom cash to financial assets " of a favorable $12.694 million being ' re-classed ' as a receipt in the June QTR under from / ( used ) in Investing activities , there was a offsetting $14.453 million unfavorable or payment in this category in the March QTR.
So clearly this would indicate that there are some ' Timing ' issues of perhaps the usage of various previous deposit monies given in advance by Piedmont or others ., but its still doesn't explain the ' Matching ' of cost incurred in the June QTR on production which couldn't have been known in advance by Piedmont and therefore we come back to this question of how much does Piedmont still owe SYAQ venture that is in ' arrears ' of being incurred.
Because if you examine the Piedmont Quarterly accounts , especially the cashflow statement ( see below at bottom of post ) , nowhere do you see a sizable representation of say the 25% of Sayona's production and development costs at ( b) & (c) which would equal $11,972 million BEFORE any accrued expenses are taken into account - ie these are ONLY cash amounts for the June QTR.
So then when you observe Piedmont's Cashflow you see nothing to this extent , but do see an accounts payable amount of USD$12,149,805 as well as well as a corresponding ' Admin and Administrative expenses figure of USD $11,986,634.
What's concerning though for me from a Piedmont perspective is that anything negative that is perceived on them from the Markets vis a vis its ability to contribute too its ventures etc..... is that , this will also have a knock on effect on Sayona as well.
And you can see by the cashflow statement of Piedmont's that had they NOT had the net amount from $75 million funds raised from LG that in fact they would only have around USD$12 million or so left in the kitty ...., and which more or less correlates with the amount they owed others at balance date. So nothing really and would explain why we are perhaps carrying them on what they owes us on the production side of the ledger . And that seems to amount to potentially at least 5 months worth unless they rob peter from the LG proceeds to pay US. Very concerning really . Wonder how LG would view these monies being spent ahead and ' line bore ' with the snapshot of Piedmont's cash and liabilities.
So while on the surface of Sayona's cashflow statement , it looks as though they have paid - and which is why I felt reasonably good on first reviews that Piedmont had been contributing its share......, now I'm not so sure. On the PLUS side if they are not and still owe us a FULL quarter of their share at 30 June , then at least we know that SOQUEM and Quebec are indeed tipping in and funding Sayona's Moblan project substantially.
And so you're WELCOME Piedmont for the Quebec venture to be carrying the can financially.....
, .and for the obvious burden that has come at perhaps a Sayona shareholders expense at the moment - ie the ' Raise ' we had to have. Maybe if they were actually paying their way , this wouldn't have been required. And obviously the Directors knew and are award of this hence their ' possible ' tipping in of near $6 million. I say possible because we still have yet to see who actually took those options up and how they were paid for in Directors holding movements. ie no ASX Directors change of notice for at least Brown & Buckler sighted as yet......
(20min delay)