Financial Data and Key Metrics Changes - The company ended the quarter with total cash of approximately $3 million [23] - The net loss for Q3 2024 was approximately $5.2 million or a negative $0.76 per share, compared to a net loss of $4.5 million or a negative $0.89 per share for the same quarter in 2023 [28] - The net loss for the nine months ended September 30, 2024, was approximately $17 million or a negative $2.77 per share, compared to a net loss of $13.9 million or a negative $3.12 per share for the same period in 2023 [29] Business Line Data and Key Metrics Changes - Costs related to plant operations were approximately $1.6 million for the quarter, representing a 9% decrease due to a reduction in payroll and payroll-related fees [25][26] - General and administrative expenses were little changed compared to the prior year, with expectations for a decrease in Q4 and into 2025 [27] Market Data and Key Metrics Changes - The pilot facility has consistently achieved 24-hour operational capacity, producing high-purity battery-grade lithium carbonate with over 99.5% purity [10] - The design capacity of the pilot facility is between 50 tons and 100 tons per year, with materials being sent to various OEMs for evaluation [61] Company Strategy and Development Direction - The company is focused on three main objectives: demonstrating the repeatability of its lithium AquaRefining processes, securing long-term financing, and establishing commercial partnerships [9] - The company aims to become the first truly commercial scale lithium battery recycler in the U.S. and is preparing for commissioning of the Sierra ARC facility within two to three quarters [19][46] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about future opportunities for grant funding despite not being selected for the latest round of the MESC grant [32] - The company is having great discussions with multiple parties regarding long-term financing and expects to report more on these activities soon [34][37] Other Important Information - A reverse stock split was implemented at a ratio of 1 post-split share for every 20 pre-split shares to meet NASDAQ listing requirements [23][24] - The company is advancing additional customer partnerships to secure feedstock supply and has established agreements with battery manufacturers [20] Q&A Session Summary Question: Status of the DOE grant for Phase 2 - The company was not selected for the latest round of the MESC grant but remains optimistic about future opportunities [32] Question: Status and structure of long-term financing - The company is in discussions with multiple parties regarding financing and prioritizing strategic capital for Phase 1 and Phase 2 of the Sierra ARC [33][34] Question: Monthly expenses and plant operations - Monthly expenses are expected to be about $500,000 to $600,000, including G&A and operations [38] Question: Commissioning schedule for the Sierra ARC - The company projects commissioning within two to three quarters, pending funding [46] Question: Current status of processed materials - Processed materials are being sent to OEMs for evaluation, with a focus on developing commercial relationships rather than generating immediate revenue [61]
Aqua Metals(AQMS) - 2024 Q3 - Earnings Call Transcript