Proactive Investors - Run By Investors For Investors

Neometals looks to have timed Mt Marion exit well

The sale price for March quarter shipments is 15% lower than December quarter shipments.
aus cash bank notes
The company plans to integrate vertically and build a refinery

Neometals Ltd (ASX:NMT) has timed the divestment of its 13.8% ownership in the Mt Marion Lithium Project well as product prices have taken a tumble.

The sale price for 6% spodumene concentrate shipments for the March 2019 quarter will be $US791.84 per dry metric tonne (dmt), compared with US$930.80/dmt for the prior quarter.

READ: Neometals closer to completing $103.8 million sale of Mt Marion lithium interest

Neometals is in the process of divesting its equity interest in the lithium operation for $103.8 million cash.

Earlier this week, purchaser Ganfeng Lithium Co Ltd advised that it had obtained clearance from the Australian Foreign Investment Review Board (FIRB) for its part of the transaction.

The only remaining condition to satisfy for the acquisition is confirmation by Chinese regulatory authorities of their acceptance of Ganfeng’s necessary filings.

The sale agreement with co-shareholders Ganfeng and Mineral Resources Limited (ASX:MIN) will see Neometals retain a life-of-mine annual offtake of 57,000 tonnes of spodumene concentrate.

View full NMT profile View Profile

Neometals Ltd Timeline

Related Articles

Vast Resources
January 04 2019
Chief executive Andrew Prelea said Vast Resources is focused on improving results in its core operations in Romania and Zimbabwe.
October 04 2018
Mkango's rare earths projects have already attracted significant interest, and cash
Project map showing two JORC resources
January 22 2019
The project has upside potential for larger porphyry copper‐gold discoveries.

© Proactive Investors 2019

Proactive Investors Australia PTY LTD ACN:132787654 ABN:19132787654.

Market Indices, Commodities and Regulatory News Headlines copyright © Morningstar. Data delayed 15 minutes unless otherwise indicated. Terms of use