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NextSource Materials Inc ( (TSE:NEXT) ) has provided an update.
NextSource Materials Inc. announced positive results from a technical and economic study for a proposed battery anode facility in the UAE, with a production capacity of 30,000 tonnes per annum. The facility, to be developed in two phases, will initially produce 14,000 tpa to meet Mitsubishi Chemical’s requirements, with full production expected by early 2028. The project, with a capital cost of US$291 million, is expected to generate annual revenues of US$195 million and an EBITDA of US$76 million. The company has secured an industrial site in Abu Dhabi, strategically located for rapid installation and expansion, and is in discussions with potential partners for funding. This development is a significant step in NextSource’s strategy to achieve full vertical integration and expand its global presence.
Spark’s Take on TSE:NEXT Stock
According to Spark, TipRanks’ AI Analyst, TSE:NEXT is a Underperform.
NextSource Materials Inc. faces significant financial challenges, including persistent losses and high leverage. Technical indicators show a bearish trend, and valuation metrics are unfavorable due to negative earnings. Despite strategic partnerships and liquidity improvements highlighted in the earnings call, the company faces market oversupply and operational delays, resulting in a low overall stock score.
To see Spark’s full report on TSE:NEXT stock, click here.
More about NextSource Materials Inc
NextSource Materials Inc. is a company involved in the production of battery anode materials, with a focus on expanding its operations globally. The company aims to become the largest anode producer outside of Asia by constructing battery anode facilities in key geographic locations to meet the demand from automotive manufacturers.
Average Trading Volume: 139,012
Technical Sentiment Signal: Sell
Current Market Cap: C$81.36M
Find detailed analytics on NEXT stock on TipRanks’ Stock Analysis page.