We believe that the future of the company is very positive. The partners are proceeding with the actions required to reach financial close and commence the project.
Incoming Director of Projects & Planning at NLCIL, Mr NMM Rao noted that, “The ECT project is an important project for NLCIL. We are diligently working on the finalisation of all documents and arrangements for financial close and expect this to be completed as soon as possible.
After meeting CMD Rakesh Kumar and Director Rao and discussing at length the importance of ensuring we progress this project, I am confident that the intent of all parties is to develop our project through to completion in line with the commercial terms as outlined in the Project Agreement.
Other than the request from NLCIL to extend the Project Agreement for the reasons stated in our ASX announcement on that matter, we are not aware of any new matters that may cause further delays to the current target date of 31 October 2018.
The target date of 31 October is a specified timeframe. The statement ‘as soon as possible’ refers to the intent to deliver earlier if possible.
NLCIL will take the requisite time to complete their requirements and understand our urgency to proceed. NMDC’s support for progress adds to our confidence that the partners will meet the October 31 target date.
The company isn't nervous about whether this will project will happen or not.
Please remember this is a ~$35M multi year project delivering a first of a kind technology, at the largest scale its been tested at, in an overseas location, involving 3 partners - there's a lot of challenges in delivering this and we are confident that we are on the right path.
The amount of work and effort required for the project has not changed. We’ve mentioned in our announcements that we do not expect the current extension to have a material impact on the India project and parallel activities continue in support of project commencement following financial close,
ECT Price at posting:
1.0¢ Sentiment: Buy Disclosure: Held
