Strong Recovery and Exploration Success at NAL
NAL achieved a record 72% recovery in March due to process optimization. The 2024 exploration program confirmed mineralization outside the existing mineral resource estimate, indicating significant potential to expand the resource base and extend mine life.
Progress in Merger with Sayona Mining
Regulatory clearance has been received from Investment Canada and Hart-Scott-Rodino in the United States, and CFIUS has completed their review. The merger is expected to close in mid-2025, creating a larger, simpler, and stronger company named Elevra Lithium.
Positive Long-term Lithium Demand Outlook
Despite current low pricing, the demand for lithium is expected to grow due to increased EV adoption and grid storage applications. This is anticipated to create tighter market conditions and stronger pricing in the future.
Cost Savings and Improved Financial Management
Operating cash flows improved by $9 million from the first quarter of 2024 due to cost savings plans. The company reduced its capital expenditures outlook and expects to maintain a stable cash balance.