Lithium project developer Nemaska Lithium has made “good progress” during the past months on the construction at its Whabouchi mine and the detailed engineering at its Shawinigan plant, president and CEO Guy Bourassa reported on Thursday.
The Quebec-focused junior, which had been forced to set a new pace for construction at the mine after a project cost blow-out left it short of cash, said that 55% of the detailed engineering of the Shawinigan electrochemical plant was completed at the end of last month.
The detailed engineering work would add considerable knowledge to the project that Nemaska said could translate into cost savings in the subsequent bidding and procurement process that would start once project financing has been completed.
Bourassa noted in a statement that Nemaska was continuing to review its financing opportunities and strategic alternatives, with the assistance of its financial advisers.
“We are diligently proceeding one step at a time towards achieving our ultimate goals within the best possible timeframe in the best interest of all our stakeholders.”
At March 31, the company had on hand C $262.3-million in unrestricted cash and cash equivalents and the equivalent in C$522-million of restricted cash and in-trust deposits (mainly bond proceeds).
Nemaska has already spent C$190.1-milion on the Whabouchi mine, and C$111.4-million on the Shawinigan electrochemical plant.
The TSX-listed revealed in February that it needed another $375-million to complete the mine and electrochemical plant projects.