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DIGGeRs & DeALeRs

years ago, is currently in development a restart perspective with Westerns as
with Western Areas eyeing a. late-2022 a cornerstone investor. So, it should be
start for the 14,500 tpa nickel asset. very positive.”
Lougher said the opportunity to gain The move comes despite EV sales be-
access to a further 110,000t of nickel ing rocked by the economic fallout from
reserves, plus copper and cobalt credits the COVID-19 pandemic. Lougher de-
at a relatively affordable price made the clared himself comfortable with the long-
Panoramic investment compelling, par- term demand outlook for nickel and other
Dan Lougher
ticularly given the market outlook for the battery minerals.
battery ingredient. “Eventually this pandemic will come to
months to deliver on the new develop- “This is not to restart today but longer an end and we need to set up new mines
ment plan. term it is a good strategic option for West- and projects today for the inevitable up-
“From August, when development ern Areas,” he said. “We are a strong be- lift,” he said. “One of the things to come
starts, it will only take 6-7 months for in- liever in the future of the EV market and out of the lockdown is that people in cit-
vestors to see we have started to deliver Savannah has nickel, copper and cobalt. ies are noticing and enjoying the clean air
on targets, especially once the ventilation So, we look at our strategic rationale in and that could have a long-term impact.
raise is completed,” he said. terms of our own company and then look “Sales have obviously been down but
“People now know that management at the 7c placement price and it is hard to not as much in EVs as in combustion en-
has a clear, well thought out plan all about pass on.” gines. The cost of an EV must be compa-
making Savannah North the priority. We As well as a benefit for his own share- rable to a combustion engine. When that
can now go about completing the ventila- holders, Lougher believes the investment trigger happens, we’ll see a good upswing
tion raise and getting the project ready for brings rewards for Panoramic investors. in demand. It may be pushed back two
the nickel price upswing.” “If I were a Panoramic shareholder I years but that isn’t a long time in mining.
Western Areas’ arrival on the Pano- would be asking where we were going “Longer term, we have a very strong
ramic register gives it a second nickel before this deal and where are we go- view on supply chains into EVs and we
development interest as it continues with ing after it. With Westerns coming on have Odysseus coming online to meet
construction work at its Odysseus restart board, they get credibility, mining skills, that demand.”
project, also in Western Australia. good technical capacity and fundamen-
Odysseus, bought from Glencore three tally things should look a lot better from – Dominic Piper

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