Jim
PMET shares have been cut in nearly half since their June peak, but remain ~100% higher than they were a year ago. Still not producing, the company has $35M cash, but continued losses and negative cash flow. But cash flow is not hugely negative, only by $8.4M in the last 12 months. PMET's Corvette project in James Bay Quebec has significant lithium resources, with significant exploration potential. It is believed to be the largest deposit in the Americas. That being said, there is still plenty of work to be done here, and lots of capital is going to be needed. It is no doubt a good asset, but is still years from being a mine, and that is assuming all goes well. In the interim, the stock will move with the lithium sector, which has been on a roller coaster ride of late. We do not think it is a bad company, but there are big risks still here, and we would prefer to see it with more cash, further development or positive cash flow. We think at current levels it can be held, but only for those very bullish on the lithium sector in general. Giant lithium player ALB owns 6% of the company, which is a good endorsement.