Bacanora Lithium Plc accepted offer at approx £260m25 Aug 2021 17:44
Anyone seen this. I know it is Lithium, but interesting nevertheless to see what is offered and at post FS. Offtake and cornerstone also in place . Only 384m shares in issue
Bacanora Lithium Plc, the London traded lithium company, is pleased to announce the results of the NI 43-101 Feasibility Study ('FS') for the Zinnwald Lithium Project in Germany ('Zinnwald' or 'the Project') which confirm the positive economics and favourable operating costs for the production of 5,112 tonnes per annum ('tpa') (~7,285 tpa LCE) of battery grade Lithium Fluoride ('LiF'), a high value, downstream product used in the manufacture of lithium battery electrolytes for the European electric vehicle industry.
Highlights
Confirmed strong economic potential
· Estimated Project pre-tax IRR of 27.4%; NPV of €428 million (8% discount rate)
· Estimated Project post-tax IRR of 21.5%, NPV of €270 million with a project payback of 6.1 years
· Average LOM annual earnings before interest, taxes, depreciation and amortisation ('EBITDA') estimated at €58.5 million per annum
· Long life project with the 30 year FS mine plan equating to less than 50% of the current identified mineral resources
· Base case 30 years revenue and EBITDA estimated at €3.86 billion and €1.75 billion respectively