Nano One Materials Corp (TSX:NANO, OTC:NNOMF) wrapped up its first quarter with generous new program funding from Sustainable Development Technology Canada (SDTC), working capital of roughly $35.7 million and cash of $40.1 million.
On February 13, 2023, the company first revealed that it had been awarded up to $10 million from SDTC. The clean technology company said the funds will support the conversion of its recently acquired Candiac facility to the patented One-Pot Process for industrial-scale pilot production of lithium iron phosphate (LFP).
According to the company, the SDTC award includes financial support for the design, construction, and operation of a multi-cathode piloting hub (MCPH) to help customize and advance Nano One's One-Pot and metal-direct-to-CAM (M2CAM) processes for the industrial scale pilot production of next-gen LFP, NMC and LNM cathode active materials (CAM).
Nano One highlighted that during the quarter it has successfully completed the evaluation of its process, cathode materials and techno-economic modeling, under a cathode evaluation agreement with a global automotive original equipment manufacturer (OEM). The parties now have a new cathode evaluation agreement that adds lithium ferro-phosphate to the program, expanding their collaboration to target performance, cost and environmental specifications of cathode materials to meet the needs of OEMs.
Commercial plans
Nano One said that to expedite commercial sampling and offtake, it is retrofitting its newly acquired Candiac facility in Québec with its One-Pot reactors and technology, which will be commissioned at 200 tons per annum in 3Q 2023, ramping up to as much as 2,000 tons per annum.
1Q financial results
For the period ended March 31, 2023, Nano One reported total assets of approximately $56.9 million, compared to 56.1 million in the fourth quarter of 2022.
The company reported total liabilities of around $7.5 million with no debt and positive net cash flows of approximately $625,000 during the quarter.
Nano One reported proceeds from government programs, interest income, and exercises of stock options and warrants of roughly $7.6 million, which more than offset the use of cash during the quarter.
The company reported capitalized investments in equipment, facilities, and construction activity of $1.1 million, in addition to net investments in research of $1.9 million.
Burnaby, British Columbia-based Nano One has developed patented technology for producing low-cost, high-performance battery materials and advanced nanostructured composites used in electric vehicles, energy storage and electronics.
Contact the author Uttara Choudhury at uttara@proactiveinvestors.com
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