NMG Advances Toward Additional EV Battery Material Offtakes, Details Capital Strategy For Phase-2 Financing, Reports $88M Cash On Hand
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- Following multiyear offtakes and strategic investments from Panasonic Energy and GM, reinforced commercial engagement with tier-1 EV and battery manufacturers toward additional offtake agreement(s) for the remainder of NMG's Phase-2 active anode material production.
- Assisted by Société Générale and BMO Capital Markets, continued discussions with multiple governmental agencies and programs, strategic investors, and lenders to refine the targeted capital structure for the Phase-2 project financing.
- Project execution strategy outlined for the construction of Phase-2 facilities with an integrated project team model to ensure greater control over the project's direction as well as reduced project management and engineering costs.
- Active engineering to update production parameters of the Phase-2 Bécancour Battery Material Plant in line with Anchor Customers' specifications.
- Issuance of NMG's 2023 ESG Report demonstrating advancement on climate action, biodiversity management, Indigenous relations, governance, and stakeholder engagement.
- Closing of US$37.5-million private placements by Mitsui and Pallinghurst for the surrender and cancellation of their convertible notes dated November 8, 2022, as amended and restated.
- Tree clearing activities started at the Phase-2 Bécancour Battery Material Plant site in advance of preparatory work.
- Global EV sales continuing to grow – 21% increase quarter-on-quarter over the period (Rho Motion, April 2024) – with more than 1 in 5 cars sold worldwide set to be electric in 2024 (IEA, April 2024).
- NMG's Annual General Meeting of Shareholders scheduled for June 27, 2024, via webcast.
- Twelve-month rolling OSHA recordable incident rate of 4.30 and severity rate of 0 at the Company's facilities; and 0 at contractors' work sites. No major environmental incidents.
- Period-end cash position of $88 million.