5E Advanced Materials, Inc. FEAM has chosen Fluor Corporation FLR as its engineering, procurement and construction services provider. Fluor's initial scope will be to lead FEL-2, which will directly feed into the upgrade of the company's current S-K 1300 technical document into a Pre-feasibility Study on completion.
On May 11, 2023, the company published the results of its S-K 1300 technical document for its 5E Boron Americas Complex in Fort Cady, CA. The study found measured, indicated and inferred resources of 13.97 million short tons of boric acid and 0.31 million short tons of lithium carbonate.
Per the study, in FY 2027, EBITDA is expected to reach $101.2 million, with a margin of 62.1%. Post-tax NPV is $2.4 billion with an Internal Rate of Return of 22.6%. Phase 1 aims to produce 90,000 short tons of boric acid and 1,100 short tons of lithium carbonate, with a target go-live date in the second half of 2023.
With 5E's recent successful recapitalization and the start of mining activities earlier this year, this collaboration propels 5E into the next stage of project development as the business works toward its goal of effectively constructing a large-scale Boron and Lithium enterprise.
Shares of 5E have lost 88.8% over the past year against the 17.3% rise of its industry.
Image Source: Zacks Investment Research
Zacks Rank & Other Key Picks
5E currently carries a Zacks Rank #2 (Buy).
Other top-ranked stocks in the basic materials space include The Andersons Inc. ANDE and Carpenter Technology Corporation CRS.
Andersons currently sports a Zacks Rank #1 (Strong Buy). ANDE beat the Zacks Consensus Estimate in each of the last four quarters. It delivered a trailing four-quarter earnings surprise of 64.4%, on average. The company’s shares have gained 45.7% in the past year. You can see the complete list of today’s Zacks #1 Rank stocks here.
Carpenter Technology currently sports a Zacks Rank #1. CRS beat the Zacks Consensus Estimate in each of the last four quarters, with the average earnings surprise being 14.3%. The company’s shares have gained 52.3% in the past year.
The Andersons, Inc. (ANDE) : Free Stock Analysis Report
Fluor Corporation (FLR) : Free Stock Analysis Report
Carpenter Technology Corporation (CRS) : Free Stock Analysis Report
5E Advanced Materials, Inc. (FEAM) : Free Stock Analysis Report
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