Even if NAL is not making money Moblan still has a chance of...

Even if NAL is not making money Moblan still has a chance of being built. Here are a few things to think about.

First off Moblan is a much higher grade project. I will be eager to see what the DFS shows for grades, they could go for lower tones and higher grade or higher tones and lower grades but in either case the grade will be much higher than that at NAL.

Moblan also has the possibility of being concentrated using DMS only, this will cut down the complexity of the processing and reduce the building cost as well as the production costs.

Below are 2 processing flow sheets, the first is NAL and the 2nd is for James Bay (Arcadium project) you can see how much noise is removed from the process when you are not trying to deal with the impurities.

NAL flowsheet


James Bay flowsheet


The DFS for James bay shows a CAPEX of 285 Million. This DFS was published in 2021 and is quoted in USD, I believe if quoted today would be about 60 to 70% more to build.


So 285 Million and lets say today it is 70% higher cost to build so that's about 485 Million to build. Sayona owns 60% of the project so the cash needed from Sayona would be 291 Million.

Last year the government of Quebec granted Nemaska 250 million for their project

At the time of this deal Investment Quebec was 50% owner of Nemaska, much in the same way as SOQUEM is 40% owner in Moblan.

So I could see Sayona receiving similar or higher funds to build the Moblan project. If the funds issued do not cover completely the cost of construction we have to fund the remaining, but I believe that if we get that close we will find a way to finance the remaining portion.

I believe once the DFS is revealed the Moblan project will move quickly to OTA and funding. By September we should have many of the puzzle pieced in place.