I just watched a webinar where EMN CEO Marco Romero sums things up in about 15 minutes. This comes just before the AGSM planned for the 24th of February. Btw, the documents show Romero increased his holdings from 7 mil shares to 12 mil shares...
What really struck me is they already have a 100 million Euro (!!!) tax credit secured from the Czech government and they are already active in finding further support on the European level.
In Canada, there are many companies simply given state/province money to pursue carbon reduction agenda (such as FCC I recently sold after a great ride). Considering EU conditions, the most likely target of negotiations is low-cost debt financing for the final plant. Any holder of the stock knows, what that implies for a future share value, lol. Insiders (including CEO) own a considerable portion of the company, so they DO mind, too...
High purity manganese prices are set to significantly decouple from other manganese metal products due to a lack of production capacity (93% of which is in China). Here I realized the price of manganese can go much higher without substantially increasing the price of the batteries - it is a low-cost part, so if Mn price doubles, I am sure Elon would be still happy to pay for it
And the Gigafactory in Berlin is some 400-500 km either by car or by train...
Now, look at those modest numbers in the PEA. Increase the price of the product, decrease the tax burden, add a high possibility of cheap credit with no need (and no will) to dilute shares much. For a further outlook, you can top this by adding the new EU green requirements, China's return to green policy, US return to green policy - all of which were not known when PEA was prepared.
If there is any concern at all, it may be the quality of the product. The pilot plant produced probably the purest Mn there is, so they know pretty well, how to process the tailings. The resource is extremely homogenous as their 98% measured survey clearly demonstrates - no fluctuations in the resource. The supreme purity achieved is not just the skill of the team, but also thanks to the nature of the resource, which is very favorable. The DP plant has been designed a long time ago and they are working on the design of the final factory already, which certainly shows confidence.
What comes out of this? A continentally unique company set to explode this very year with a market cap of 173mil AUD (112 mil EUR)? A market cap roughly equal just to tax credits already secured? C'mon people...
don't be mean to me and share the info that makes you happy selling this stock at today's prices...
GLTAH! ....and as always: everything is IMO so DYOR
