Nemaska Lithium Achieves Phase 1 Plant Milestone and Triggers $3M Installment Payment from Johnson Matthey Battery Materials
February 13, 2017 (Source) — Nemaska Lithium Inc. (“Nemaska Lithium” or the “Corporation”)
(TSX:NMX)(OTCQX:NMKEF) announced today that it has received a $3M installment payment from Johnson Matthey Battery Materials Ltd (“JMBM”) of Candiac, Québec, a wholly owned subsidiary of Johnson Matthey Plc (LSE:JMAT) (www.matthey.com). The installment payment was made after JMBM’s review and acceptance of the Operation Manuals for the Phase 1 Plant and receipt by Nemaska Lithium of the certificate of authorization to operate the Phase 1 Plant. The existing agreement between JMBM and Nemaska Lithium, announced on May 11, 2016, provides for an aggregate $12M advance payment for goods and services. The final $3M milestone installment will be payable by JMBM following receipt of battery grade lithium hydroxide from Nemaska Lithium.
Commenting, Neil Collins, Managing Director of Johnson Matthey’s global Battery Materials business said: “We continue to closely monitor the construction and commissioning of the Phase 1 Plant through our active participation on the Steering Committee and are looking forward to receiving the first samples.”
“We are making excellent progress on our Phase 1 Plant installation and commissioning,” said Guy Bourassa, President and CEO of Nemaska Lithium. “I am excited to start delivering product to JMBM and establishing a long term supplier relationship with this important cathode material producer.” Bourassa continued, “The market for lithium salts is very tight and will continue to be so for the coming years, as 14 megafactories come on line around the world between now and 2020. We are well timed with new supply to meet this growing demand.”
About Johnson Matthey
Johnson Matthey is a global speciality chemicals company underpinned by science, technology and its people. A leader in sustainable technologies, many of the group’s products enhance the quality of life of millions through their beneficial impact on the environment, human health and wellbeing. The group focuses on clean air, clean energy and low carbon technologies and is an expert in the application and recycling of precious metals. Johnson Matthey has operations in over 30 countries and employs around 13,000 people. Its products and services are sold across the world to a wide range of advanced technology industries.
About Nemaska Lithium
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Nemaska Lithium intends to become a lithium hydroxide and lithium carbonate supplier to the emerging lithium battery market that is largely driven by electric vehicles, cell phones, tablets and other consumer products. The Corporation is developing in Quebec one of the most important spodumene lithium hard rock deposit in the world, both in volume and grade. The spodumene concentrate produced at Nemaska Lithium’s Whabouchi mine will be shipped to the Corporation’s lithium compounds processing plant to be built in Shawinigan, Quebec. This plant will transform spodumene concentrate into high purity lithium hydroxide and carbonate using the proprietary methods developed by the Corporation, and for which the Corporation holds four granted patents and several patent applications that are pending in different countries, covering different aspects and improvements of its proprietary technology for preparing high purity lithium hydroxide and carbonate.
All statements, other than statements of historical fact, contained in this press release including, but not limited to, (i) the delivery by the Corporation of battery grade lithium hydroxide samples to JMBM and ensuing payment of a final $3M milestone installment, (ii) the commencement of deliveries of battery grade lithium hydroxide to JMBM and establishing of a long term supplier relationship between the Corporation and JMBM, and (iii) the market’s tightness and growing demand for lithium salts in the coming years, and the Corporation’s timing to come on line to meet such demand, constitute ”forward-looking information” or ”forward-looking statements” within the meaning of certain securities laws, and are based on expectations, estimates and projections as of the time of this press release. Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable by the Corporation as of the time of such statements, are inherently subject to significant business, economic and competitive uncertainties and contingencies. These estimates and assumptions may prove to be incorrect.
Many of these uncertainties and contingencies can directly or indirectly affect, and could cause, actual results to differ materially from those expressed or implied in any forward-looking statements. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Forward-looking statements are provided for the purpose of providing information about management’s expectations and plans relating to the future. The Corporation disclaims any intention or obligation to update or revise any forward-looking statements or to explain any material difference between subsequent actual events and such forward-looking statements, except to the extent required by applicable law.
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