History
A multi-metal explorer sold its tungsten assets, settled a dispute over its scandium project, won a feasibility study, and passed control to its largest investor.
2012-2013: Debt, a dispute and a clear-out
In 2012 the company, then called EMC Metals Corp., was funding early-stage tungsten and scandium projects through debt rather than cash flow. In February it borrowed $3 million secured against its Springer Mining subsidiary: a $2 million convertible debenture and a $1 million promissory note, with 3 million warrants going to the lender. In March its joint-venture partner, Jervois Mining, rejected its feasibility report on the Nyngan Scandium Project. Jervois said EMC had not earned its 50% interest, even though EMC said it had paid the required A$1.43 million and delivered an independent report on time. In June Jervois sued in the Supreme Court of Victoria, Australia, seeking a declaration that the agreement had ended. EMC said it would contest the claim. A later filing refers to a negotiated settlement in February 2013.
In March 2013 EMC raised $650,000 through convertible debentures secured against its Norwegian tungsten properties. In July it returned the Cosgrave Ranch property, bought in 2008 for water rights, to its original owner in exchange for cancelling a $3.75 million promissory note. In September it agreed to sell its Nevada tungsten and vanadium portfolio to Americas Bullion Royalty Corp for $5 million cash, using the money to repay the matured $3 million loan.
2014-2016: Focus on scandium
The Nevada sale closed in January 2014. It was a related-party deal, as the two companies shared a director, and it left Nyngan and Honeybugle scandium as the company's focus. In June 2014 it took a US$2.5 million loan from Scandium Investments LLC, a US private investor group, to pay off the remaining Jervois settlement obligations. The loan converts into an effective 20% interest in the two projects. In October 2014 a preliminary economic assessment of Nyngan came back positive.
By September 2015 the company had been renamed Scandium International Mining Corp. and had hired Lycopodium Minerals to prepare a definitive feasibility study. In October it sold a 0.7% royalty on future Nyngan and Honeybugle sales to Umgeni Holdings International for US$2.07 million. That raised money without issuing shares, but it permanently gave up part of the projects' revenue. In April 2016 the feasibility study results were positive, clearing the way toward seeking construction financing.
2017: Investor takes control
In July 2017 the company agreed to buy back Scandium Investments' 20% stake in the subsidiary that held the projects. It paid with 57.4 million shares, about 25% of the company, plus an adjustment payment, and gained full ownership of the projects. The deal gave Scandium Investments the right to nominate two directors while it held at least 15% of the company. It closed in October, with 58,830,645 shares issued. Scandium Investments, an Evensen family vehicle, became the largest shareholder, and Peter Evensen and Christian Evensen joined the board.
2018-2024: Quiet years and a renewed raise
The record is quiet after 2017 until May 2022, a gap of roughly three years in story-bearing filings. In May 2022 the company closed the first part of a private placement: C$2,085,250 from 23.17 million units at C$0.09. All four directors took part, two directly and two through Scandium Investments, which put in US$500,000. The raise was framed as backing a renewed focus on Nyngan amid rising interest in scandium-aluminum alloys. On 6 June 2022 the second part closed at C$1,029,850, and the offering was upsized from a C$3 million target to C$3,568,023 after strong demand. Interim CEO Peter Evensen and Chairman William Harris said the company had its best cash position in years and no debt. Shares on issue stood at about 355.9 million after the raise.
On 4 December 2024 the company deregistered its securities, ending its obligation to file reports with the SEC.
Written from the 17 story beats below (2012 to 4 Dec 2024), which come from the company's own announcements and filings.