Cover Page
Cover Page - shares | 9 Months Ended | |
Mar. 31, 2022 | May 12, 2022 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Entity Registrant Name | 5E ADVANCED MATERIALS, INC. | |
Entity Central Index Key | 0001888654 | |
Document Quarterly Report | true | |
Document Period End Date | Mar. 31, 2022 | |
Document Fiscal Year Focus | 2022 | |
Document Fiscal Period Focus | Q3 | |
Current Fiscal Year End Date | --06-30 | |
Document Transition Report | false | |
Entity File Number | 001-41279 | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 87-3426517 | |
Entity Address, Address Line One | 19500 State Highway 249 | |
Entity Address, Address Line Two | Suite 125 | |
Entity Address, City or Town | Houston | |
Entity Address, State or Province | TX | |
Entity Address, Postal Zip Code | 77070 | |
City Area Code | 346 | |
Local Phone Number | 439-9656 | |
Title of 12(b) Security | Common Stock, $0.01 par value | |
Trading Symbol | FEAM | |
Security Exchange Name | NASDAQ | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | true | |
Entity Emerging Growth Company | true | |
Entity Ex Transition Period | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 42,769,315 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) | Mar. 31, 2022 | Jun. 30, 2021 |
CURRENT ASSETS: | ||
Cash and cash equivalents | $ 41,140,290 | $ 40,811,269 |
Prepaid expenses and other current assets | 3,208,198 | 158,620 |
Total current assets | 44,348,488 | 40,969,889 |
MINERAL RIGHTS AND PROPERTIES, Net | 8,247,788 | 8,080,709 |
CONSTRUCTION IN PROGRESS | 18,033,848 | 12,765,285 |
PROPERTIES, PLANT AND EQUIPMENT, Net | 2,926,305 | 1,495,436 |
RECLAMATION BOND DEPOSIT | 1,085,624 | 1,084,408 |
RIGHT OF USE ASSETS | 261,183 | 213,109 |
TOTAL ASSETS | 74,903,236 | 64,608,836 |
CURRENT LIABILITIES: | ||
Accounts payable and accrued liabilities | 6,082,044 | 1,594,909 |
Lease liabilities, current | 116,957 | 90,815 |
Total current liabilities | 6,199,001 | 1,685,724 |
LONG-TERM DEBT | 169,928 | 92,532 |
LEASE LIABILITIES | 148,010 | 124,699 |
ACCRUED RECLAMATION LIABILITIES | 467,762 | 377,292 |
Total liabilities | 6,984,701 | 2,280,247 |
COMMITMENTS AND CONTINGENCIES (Note 10) | ||
STOCKHOLDERS' EQUITY | ||
Preferred stock, $0.01 par value; 20,000,000 shares authorized; no shares outstanding | 0 | 0 |
Common stock, $0.01 par value; 180,000,000 shares authorized; 42,519,315 and 38,391,412 shares outstanding, respectively | 425,193 | 383,914 |
Additional paid-in capital | 161,373,871 | 101,179,498 |
Accumulated other comprehensive income (loss): | ||
Reporting currency translation | 248,184 | 1,416,664 |
Accumulated deficit | (94,128,713) | (40,651,487) |
Total stockholders' equity | 67,918,535 | 62,328,589 |
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY | $ 74,903,236 | $ 64,608,836 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares | Mar. 31, 2022 | Jun. 30, 2021 |
Statement of Financial Position [Abstract] | ||
Common stock, par or stated value per share | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 180,000,000 | 180,000,000 |
Common Stock, Shares, Outstanding | 42,519,315 | 38,391,412 |
Preferred stock par or stated value per share | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized | 20,000,000 | 20,000,000 |
Preferred stock shares outstanding | 0 | 0 |
Condensed Consolidated Statemen
Condensed Consolidated Statements Of Operations - USD ($) | 3 Months Ended | 9 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2022 | Mar. 31, 2021 | |
COST AND EXPENSES | ||||
Project expenses | $ 1,972,536 | $ 2,045,719 | $ 9,782,791 | $ 3,424,419 |
General and administrative | 30,983,504 | 1,828,279 | 44,616,803 | 8,121,310 |
Depreciation and amortization expense | 36,063 | 6,081 | 76,249 | 15,344 |
Total cost and expenses | 32,992,103 | 3,880,079 | 54,475,843 | 11,561,073 |
LOSS FROM OPERATIONS | (32,992,103) | (3,880,079) | (54,475,843) | (11,561,073) |
NON-OPERATING INCOME (EXPENSE) | ||||
Other income | 27,477 | 1,459 | 37,843 | 3,530 |
Interest income | 1,748 | 333 | 3,552 | 1,447 |
Interest expense | (3,275) | (468) | (7,958) | (2,117) |
Net foreign exchange gain (loss) | (3,469) | (47,245) | 965,180 | (2,060,234) |
Total non-operating income (expense) | 22,481 | (45,921) | 998,617 | (2,057,374) |
NET LOSS | (32,969,622) | (3,926,000) | (53,477,226) | (13,618,447) |
OTHER COMPREHENSIVE LOSS (INCOME) | ||||
Reporting currency translation | 338,592 | (84,626) | 1,168,480 | (2,466,052) |
NET LOSS AND OTHER COMPREHENSIVE LOSS | $ (33,308,214) | $ (3,841,374) | $ (54,645,706) | $ (11,152,395) |
Net loss per common share – basic and diluted | $ (0.79) | $ (0.11) | $ (1.33) | $ (0.41) |
Weighted average common shares outstanding — basic and diluted | 41,895,426 | 35,600,161 | 40,148,179 | 32,964,416 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements Of Cash Flows - USD ($) | 9 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Cash Flows From Operating Activities: | ||
Net loss | $ (53,477,226) | $ (13,618,447) |
Adjustments to reconcile net loss to net cash used by operating activities: | ||
Depreciation and amortization | 76,249 | 15,344 |
Interest earned on reclamation bond | (1,216) | (758) |
Share based compensation | 4,428,071 | 5,318,298 |
Common stock issued for consulting fees | 27,171,876 | 32,076 |
Accretion of reclamation liability | 6,112 | 0 |
Net foreign exchange (gain) loss | (965,180) | 2,060,234 |
Change in: | ||
Prepaid expenses and other current assets | (3,049,578) | 225 |
Accounts payable and accrued liabilities | 2,420,906 | 85,791 |
Net cash used by operating activities | (23,389,986) | (6,107,237) |
Cash Flows From Investing Activities: | ||
Construction in progress | (3,301,407) | (8,742,366) |
Mineral rights and properties | (86,608) | (112,914) |
Properties, plant and equipment | (1,221,523) | (354,025) |
Reclamation bonds | 0 | (776,650) |
Net cash used by investing activities | (4,609,538) | (9,985,955) |
Cash Flows From Financing Activities: | ||
Payments on note payable | (103,860) | (1,527) |
Proceeds from issuance of common stock | 26,309,067 | 30,109,764 |
Proceeds from exercise of stock options | 3,124,112 | 5,663,177 |
Share offering costs | (797,474) | (1,573,496) |
Net cash provided by financing activities | 28,531,845 | 34,197,918 |
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS | 532,321 | 18,104,726 |
EFFECT OF EXCHANGE RATE FLUCTUATION ON CASH | (203,300) | 405,818 |
CASH AND CASH EQUIVALENTS AT BEGINNING OF PERIOD | 40,811,269 | 26,639,953 |
CASH AND CASH EQUIVALENTS AT END OF PERIOD | 41,140,290 | 45,150,497 |
NONCASH INVESTING AND FINANCING ACTIVITIES | ||
Accounts payable change related to construction in progress additions | 2,022,294 | 560,420 |
Recognition of operating lease liabilities and right of use assets | 137,307 | 237,353 |
Construction in progress transferred to properties, plant and equipment | 55,138 | 0 |
Equipment acquired with notes payable | $ 226,570 | $ 0 |
Condensed Consolidated Statem_3
Condensed Consolidated Statements Of Changes In Equity - USD ($) | Total | Common Stock [Member] | Additional Paid-in Capital [Member] | Accumulated Other Comprehensive Income (Loss) [Member] | Accumulated Deficit [Member] |
Beginning balance, shares at Jun. 30, 2020 | 30,456,855 | ||||
Beginning balance at Jun. 30, 2020 | $ 35,485,551 | $ 304,569 | $ 57,078,757 | $ (499,456) | $ (21,398,319) |
Exercise of stock options,Shares | 1,477,685 | ||||
Exercise of stock options | 2,796,786 | $ 14,777 | 2,782,009 | ||
Consulting fees, Shares | 8,000 | ||||
Consulting fees | 32,076 | $ 80 | 31,996 | ||
Share based compensation | 3,784,076 | 3,784,076 | |||
Net loss | (5,862,764) | (5,862,764) | |||
Other comprehensive income (loss) | 1,013,002 | 1,013,002 | |||
Shares issuance costs | (40,769) | (40,769) | |||
Ending balance, shares at Sep. 30, 2020 | 31,942,540 | ||||
Ending balance at Sep. 30, 2020 | 37,207,958 | $ 319,426 | 63,636,069 | 513,546 | (27,261,083) |
Beginning balance, shares at Jun. 30, 2020 | 30,456,855 | ||||
Beginning balance at Jun. 30, 2020 | $ 35,485,551 | $ 304,569 | 57,078,757 | (499,456) | (21,398,319) |
Cash, Shares | 5,128,205 | ||||
Exercise of stock options,Shares | 2,097,685 | ||||
Exercise of stock options | $ 5,663,177 | ||||
Consulting fees, Shares | 8,000 | ||||
Net loss | $ (13,618,447) | ||||
Ending balance, shares at Mar. 31, 2021 | 37,690,745 | ||||
Ending balance at Mar. 31, 2021 | 63,882,975 | $ 376,908 | 96,556,237 | 1,966,596 | (35,016,766) |
Beginning balance, shares at Sep. 30, 2020 | 31,942,540 | ||||
Beginning balance at Sep. 30, 2020 | 37,207,958 | $ 319,426 | 63,636,069 | 513,546 | (27,261,083) |
Exercise of stock options,Shares | 25,000 | ||||
Exercise of stock options | 55,877 | $ 250 | 55,627 | ||
Share based compensation | 600,513 | 600,513 | |||
Net loss | (3,829,683) | (3,829,683) | |||
Other comprehensive income (loss) | 1,368,424 | 1,368,424 | |||
Ending balance, shares at Dec. 31, 2020 | 31,967,540 | ||||
Ending balance at Dec. 31, 2020 | 35,403,089 | $ 319,676 | 64,292,209 | 1,881,970 | (31,090,766) |
Cash, Shares | 5,128,205 | ||||
Cash | 30,109,764 | $ 51,282 | 30,058,482 | ||
Exercise of stock options,Shares | 595,000 | ||||
Exercise of stock options | 2,810,514 | $ 5,950 | 2,804,564 | ||
Share based compensation | 933,709 | 933,709 | |||
Net loss | (3,926,000) | (3,926,000) | |||
Other comprehensive income (loss) | 84,626 | 84,626 | |||
Shares issuance costs | (1,532,727) | (1,532,727) | |||
Ending balance, shares at Mar. 31, 2021 | 37,690,745 | ||||
Ending balance at Mar. 31, 2021 | 63,882,975 | $ 376,908 | 96,556,237 | 1,966,596 | (35,016,766) |
Beginning balance, shares at Jun. 30, 2021 | 38,391,412 | ||||
Beginning balance at Jun. 30, 2021 | 62,328,589 | $ 383,914 | 101,179,498 | 1,416,664 | (40,651,487) |
Exercise of stock options,Shares | 302,667 | ||||
Exercise of stock options | 1,085,595 | $ 3,027 | 1,082,568 | ||
Consulting fees, Shares | 150,000 | ||||
Consulting fees | 1,539,347 | $ 1,500 | 1,537,847 | ||
Share based compensation | 1,777,055 | 1,777,055 | |||
Net loss | (9,469,055) | (9,469,055) | |||
Other comprehensive income (loss) | (1,605,989) | (1,605,989) | |||
Ending balance, shares at Sep. 30, 2021 | 38,844,079 | ||||
Ending balance at Sep. 30, 2021 | 55,655,542 | $ 388,441 | 105,576,968 | (189,325) | (50,120,542) |
Beginning balance, shares at Jun. 30, 2021 | 38,391,412 | ||||
Beginning balance at Jun. 30, 2021 | $ 62,328,589 | $ 383,914 | 101,179,498 | 1,416,664 | (40,651,487) |
Cash, Shares | 1,760,236 | ||||
Exercise of stock options,Shares | 1,267,667 | ||||
Exercise of stock options | $ 3,124,112 | ||||
Consulting fees, Shares | 1,100,000 | ||||
Net loss | $ (53,477,226) | ||||
Ending balance, shares at Mar. 31, 2022 | 42,519,315 | ||||
Ending balance at Mar. 31, 2022 | 67,918,535 | $ 425,193 | 161,373,871 | 248,184 | (94,128,713) |
Beginning balance, shares at Sep. 30, 2021 | 38,844,079 | ||||
Beginning balance at Sep. 30, 2021 | 55,655,542 | $ 388,441 | 105,576,968 | (189,325) | (50,120,542) |
Cash, Shares | 1,760,236 | ||||
Cash | 26,309,067 | $ 17,602 | 26,291,465 | ||
Exercise of stock options,Shares | 865,000 | ||||
Exercise of stock options | 1,822,030 | $ 8,650 | 1,813,380 | ||
Consulting fees, Shares | 150,000 | ||||
Consulting fees | 1,868,683 | $ 1,500 | 1,867,183 | ||
Share based compensation | 1,310,409 | 1,310,409 | |||
Net loss | (11,038,549) | (11,038,549) | |||
Other comprehensive income (loss) | 776,101 | 776,101 | |||
Shares issuance costs | (797,474) | (797,474) | |||
Ending balance, shares at Dec. 31, 2021 | 41,619,315 | ||||
Ending balance at Dec. 31, 2021 | 75,905,809 | $ 416,193 | 136,061,931 | 586,776 | (61,159,091) |
Exercise of stock options,Shares | 100,000 | ||||
Exercise of stock options | 216,487 | $ 1,000 | 215,487 | ||
Consulting fees, Shares | 800,000 | ||||
Consulting fees | 23,763,846 | $ 8,000 | 23,755,846 | ||
Share based compensation | 1,340,607 | 1,340,607 | |||
Net loss | (32,969,622) | (32,969,622) | |||
Other comprehensive income (loss) | (338,592) | (338,592) | |||
Ending balance, shares at Mar. 31, 2022 | 42,519,315 | ||||
Ending balance at Mar. 31, 2022 | $ 67,918,535 | $ 425,193 | $ 161,373,871 | $ 248,184 | $ (94,128,713) |
Description of Company and Summ
Description of Company and Summary of Significant Accounting Policies | 9 Months Ended |
Mar. 31, 2022 | |
Policy Text Block [Abstract] | |
Description of Company and Summary of Significant Accounting Policies | 1. Description of Company and Summary of Significant Accounting Policies Nature of Business 5E Advanced Materials, Inc. (“5E,” “we,” “our,” “us,” or the “Company”) is an exploration stage company focused on becoming a vertically integrated global leader in boron specialty advanced materials and lithium with a focus on enabling decarbonization. Redomiciliation 5E Advanced Materials, Inc. (the “Company”) acquired all of the issued and outstanding shares of American Pacific Borates Limited (“ABR”), our Australian predecessor and wholly owned subsidiary, pursuant to a Scheme of Arrangement (“Scheme”) under Australian law, which was approved by ABR’s shareholders on December 2, 2021, and the Supreme Court of Western Australia on February 24, 2022. As part of the Scheme, the Company changed its place of domicile from Australia to the S In accordance with the Scheme, all ordinary shares of ABR have been transferred to the Company and pursuant to the Scheme, the Company issued to the shareholders of ABR, either one share of the Company’s common stock for every ten ordinary shares of ABR or one CHESS Depository Interest (“CDIs”) over the Company’s common stock for every one ordinary share of ABR, in each case, as held on the Scheme record date. The Company maintains an Australian Stock Exchange (“ASX”) listing for its CDIs, with each CDI representing 1/10th of a share of common stock. Holders of CDIs are able to trade their CDIs on the ASX under the symbol “5EA” and holders of shares of the Company’s common stock are able to trade their shares on Nasdaq under the symbol “FEAM.” All share and per share data presented in the Company’s condensed consolidated financial statements have been retroactively adjusted to reflect a one for ten (1:10) exchange ratio of all of its issued and outstanding common stock. As a result of the reorganization, the Company became the parent company of ABR, and for financial reporting purposes the historical financial statements of ABR have become the historical financial statements of the Company as a continuation of the predecessor. Basis of Presentation The accompanying interim unaudited condensed consolidated financial statements have been prepared in accordance with generally accepted accounting principles for interim financial information and with the instructions to Form 10-Q S-X. Basis of Consolidation The consolidated financial statements comprise the financial statements of 5E and its wholly owned subsidiaries, American Pacific Borates Limited and Fort Cady (California) Corporation. Subsidiaries are those entities over which the Company has the power to govern the financial and operating policies so as to obtain benefits from their activities. The existence and effect of potential voting rights that are currently exercisable or convertible are considered when assessing whether a Company controls another entity. In preparing the consolidated financial statements, all intercompany balances and transactions, income and expenses and profit and losses resulting from intra-company transactions have been eliminated in full. Our fiscal year ends on June 30 of each calendar year. Our reporting currency is in United States dollars (“USD”), and unless otherwise indicated, all references to “$” are to USD. Risk and Uncertainties We are subject to a number of risks similar to those of other companies of similar size in our industry, including but not limited to, the success of our exploration activities, need for significant additional capital (or financing) to fund operating losses, competition from substitute products and services from larger companies, protection of proprietary technology, patent litigation, and dependence on key individuals. We have accumulated deficits of $94.1 million, as of March 31, 2022 and June 30, 2021, respectively. We have incurred net losses and utilized cash in operations since inception, and expect to incur significant additional losses in the future. We have cash available on hand and believe that this cash will be sufficient to fund operations and meet our obligations as they come due within one year from the date these consolidated financial statements are issued. In the event our cash requirements change during the next twelve months, management believes it has the ability and commitment to reduce operating expenses, as necessary. Until commercial production is achieved from our planned operations, we will continue to incur operating and investing net cash outflows associated with, among other things, maintaining properties, construction and operation of our Small-Scale Boron Facility (“SSBF”) and undertaking ongoing exploration activities and project expenses. Our long-term success is dependent upon our ability to successfully raise additional capital or financing or enter into strategic partnership opportunities. Our long-term success is also dependent upon our ability to operate the SSBF, develop our planned injection and recovery wells and processing facility, develop and commercialize the full-scale Fort Cady Borate Project, earn revenues, and achieve profitability. Our consolidated financial statements have been prepared on a going-concern basis, which contemplates the realization of assets and the satisfaction of liabilities in the normal course of business. Use of Estimates The preparation of consolidated financial statements in conformity with GAAP requires management to make estimates, assumptions, and allocations that affect amounts reported in the consolidated financial statements and related notes. Significant items that are subject to such estimates and assumptions include, but are not limited to, estimated useful lives and valuation of properties, plant and equipment, mineral rights and properties, deferred tax assets, reclamation liabilities, and fair value of stock-based compensation. Actual results could differ due to the uncertainty inherent in the nature of these estimates. Significant Accounting Policies There have been no material changes in the significant accounting policies followed by us during the nine months ended March 31, 2022 from those disclosed in the financial statements included in our amended Form 10. Recently Issued and Adopted Accounting Pronouncements In December 2019, Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2019-12—Income Taxes (“ASU 2019-12”). ASU 2019-12 is ASU 2019-12 does In August 2020, FASB issued ASU No. 2020-06–Debt–Debt with (Subtopic 470-20) and (Subtopic 815-40): Accounting In May 2021, FASB issued ASU No. 2021-04—Earnings Per 470-50), (Subtopic 815-40) Issuer’s |
Mineral Rights and Properties,
Mineral Rights and Properties, Net | 9 Months Ended |
Mar. 31, 2022 | |
Mineral Properties, Net [Abstract] | |
Mineral Rights and Properties, Net | 2. Mineral Rights and Properties, Net The Company owns surface properties and the associated mineral rights for the Fort Cady Borate Project. The Company has capitalized the cost of drilling hydrology wells, which provide water for the P The hydrology income is recognized in the Consolidated Statements of Loss and Comprehensive Loss in Other income. On October 1, 2011, Fort Cady (California) Corporation executed 10-year net royalty lease agreement with Elementis Specialties, Inc. (“Elementis”) to explore, develop and mine boron and lithium on claims held by Elementis. On September 16, 2021, the Company extended its mineral lease agreement with Elementis until July 1, 2022. Amounts paid prior to production are considered advanced royalty payments and capitalized. For the nine-month period ended March 31, 2022 and 2021, the Company paid Elementis advanced royalty payments of respectively. Asset retirement costs represent the carrying value of capitalized costs associated with asset retirement obligations discussed in Note 5. Mineral Interests and Properties as of March 31, 2022 and June 30, 2021 consisted of the following: March 31, June 30, 2022 2021 Mineral properties – Fort Cady Borate Project $ 6,732,562 $ 6,732,562 Hydrology wells 547,258 547,258 Mineral interest – Elementis lease 808,202 721,594 Asset retirement cost, net of accumulated amortization of $3,887 and zero at March 31, 2022 and June 30, 2021, respectively 159,766 79,295 $ 8,247,788 $ 8,080,709 |
Construction in Progress
Construction in Progress | 9 Months Ended |
Mar. 31, 2022 | |
Construction In Progress [Abstract] | |
Construction in Progress | 3. Construction in Progress Construction work in progress represents the equipment which has been acquired and is not in use and prepayments for design, engineering, and construction services in relation to the development of the Fort Cady Borate Project. As of March 31, 2022 and June 30, 2021, Construction in Progress consisted of the following: March 31, June 30, 2022 2021 Crystallizer $ 6,825,453 $ 5,544,359 Engineering services 5,064,014 3,182,279 Injection and recovery wells 1,304,043 — Electric infrastructure 1,182,663 643,445 Filter system 634,986 634,986 Centrifuge system 382,683 382,683 Air compression 348,410 344,054 Boiler 287,613 287,613 Conveyor system 284,535 — Scrubbers 265,605 235,063 Water treatment 232,108 232,108 Pumps 121,795 67,273 Other 1,099,940 1,211,422 Total Construction in Progress $ 18,033,848 $ 12,765,285 |
Properties, Plant and Equipment
Properties, Plant and Equipment, Net | 9 Months Ended |
Mar. 31, 2022 | |
Property, Plant and Equipment [Abstract] | |
Properties, Plant and Equipment, Net | 4. Properties, Plant and Equipment, Net Properties, plant, and equipment, net as of March 31, 2022 and June 30, 2021 consisted of the following: March 31, June 30, 2022 2021 Land $ 1,533,312 $ 658,245 Buildings 873,410 717,253 Vehicles 297,127 73,202 Plant and equipment 339,979 91,897 3,043,828 1,540,597 Less accumulated depreciation (117,523 ) (45,161 ) Properties, plant and equipment, net $ 2,926,305 $ 1,495,436 For the nine-month periods ended March 31, 2022 and 2021, the Company recognized depreciation expense of $72,362 and $15,344, respectively. |
Reclamation Liabilities
Reclamation Liabilities | 9 Months Ended |
Mar. 31, 2022 | |
Reclamation Liabilities Non Current [Abstract] | |
Reclamation Liabilities | 5. Reclamation Liabilities The liabilities accrued for reclamation and closure costs as of March 31, 2022 and June 30, 2021 were as follows: March 31, June 30, 2022 2021 Accrued reclamation costs $ 297,997 $ 297,997 Asset retirement obligation 169,765 79,295 $ 467,762 $ 377,292 Accrued reclamation costs of $297,997 relate to land disturbance for the Fort Cady Borate Project. On June 30, 2021, the Company established an asset retirement obligation (“ARO”) relating to water monitoring wells and injection recovery wells as required by the Company’s Underground Injection Permit. Total estimated reclamation and closure costs for wells completed was $597,420 as of March 31, 2022 and $298,710 as of June 30, 2021. These estimated costs were discounted using credit adjusted, risk-free interest rates of 6.6 – 6.9% from the time the Company incurred the obligation to the time the Company expects to pay the retirement obligation. During the nine-month period ended March 31, 2022, the Company incurred additional obligations relating to water monitoring and injection recovery wells with the total estimated costs of $298,710. These estimated costs increased the balance of the asset retirement obligation by $84,358. The following is a reconciliation of the aggregate retirement obligation asset associated with our reclamation plan for the Company’s mining projects for the nine months ended March 31, 2022. There was no comparable activity for the nine months ended March 31, 2021: 2022 Retirement obligation asset — beginning of period $ 79,295 Obligation incurred during the period 84,358 Accretion 6,112 Retirement obligation asset — end of period $ 169,765 Exploration and evaluation activities are subject to various federal and state laws and regulations governing the protection of the environment. These laws and regulations are continually changing and generally have become more restrictive. The Company believes that its operations are materially in compliance with all applicable laws and regulations. The Company has made, and expects to make in the future, expenditures to comply with such laws and regulations. The ultimate amount of reclamation and other future site-restoration costs to be incurred for existing mining interests is uncertain. |
Leases
Leases | 9 Months Ended |
Mar. 31, 2022 | |
Leases [Abstract] | |
Leases | 6. Leases The Company leases offices in Hesperia, CA and Houston, TX under operating lease agreements, which expire in February 2024 December 2024 f m 0.04% to 1.04% to discount the future rent payments. The remaining lease term for our office in Hesperia, CA is 1.90 years and 2.75 years for our office in Houston, TX. During the nine-month period ended March 31, 2022, operating cash flows included cash payments o f $ related to lease liabilities. Future minimum annual lease payments under these existing lease agreements are as follows as of March 31, 2022: For the year ending June 30, $ 35,883 2023 117,690 2024 92,051 2025 21,257 Total 266,881 Less imputed interest (1,914 ) Net lease liability 264,967 Current portion 116,957 Long-term portion $ 148,010 Expense under operating leases, including short-term leases, for the nine-month periods ended March 31, 2022 and 2021 were $134,699 and $36,112, respectively. This expense is included in General and Administrative expense on the Consolidated Statement of Operations and Comprehensive Loss (Income). |
Equity
Equity | 9 Months Ended |
Mar. 31, 2022 | |
Stockholders' Equity Note [Abstract] | |
Equity | 7. Equity In accordance with the Scheme, all ordinary shares of ABR have been transferred to the Company and pursuant to the Scheme, the Company issued to the shareholders of ABR, either one share of the Company’s common stock for every ten ordinary shares of ABR or one CHESS Depository Interest (“CDIs”) over the Company’s c s On the effective date of the Scheme, the number of ordinary outstanding shares was reduced from 418,693,150 to 41,869,315 shares of common stock. All share and per share amounts in these condensed consolidated financial statements and related notes for the periods prior the Scheme have been retroactively adjusted to reflect the effect of the exchange ratio. We are authorized to issue up to 180,000,000 shares of common stock, par value $0.01 per share, and 20,000,000 shares of preferred stock, par value, $0.01 per share. We have no outstanding shares of preferred stock. During the nine-month periods ended March 31, 2022 and 2021, the Company issued the following shares of common stock: • Issued 1,760,236 and 5,128,205 shares of its common stock for cash proceeds of $26,309,067 and $30,109,764 during the nine months ended March 31, 2022 and 2021, respectively. Share issue costs of $797,474 and $1,573,496 were incurred. • Issued 1,267,667 and 2,097,685 shares of its common stock upon exercise of stock options for $3,124,112 and $5,663,177 during the nine months ended March 31, 2022 and 2021, respectively. • Issued 1,100,000 and 8,000 shares of its common stock with a fair value of $27,171,876 and $32,076 for consulting fees during the nine months ended March 31, 2022 and 2021, respectively. |
Net Loss Per Common Share
Net Loss Per Common Share | 9 Months Ended |
Mar. 31, 2022 | |
Earnings Per Share [Abstract] | |
Net Loss Per Common Share | 8. Net Loss Per Common Share Basic loss per share is computed by dividing net loss available to common stockholders by the weighted average number of shares of common stock outstanding during the period. Diluted loss per share reflects the potential dilution that could occur if stock options, warrants, and convertible securities were exercised or converted into common stock. Diluted loss per share equals basic loss per share as the effect of including dilutive securities in the calculation would be antidilutive. For the nine-month periods ended March 31, 2022 and 2021, respectively, stock options of 5,510,000 and 5,925,000 were excluded from the computation of diluted loss per share as our reported net losses for those periods would cause their exercise to have no effect on the calculation of loss per share. |
Share Based Compensation
Share Based Compensation | 9 Months Ended |
Mar. 31, 2022 | |
Share-based Payment Arrangement [Abstract] | |
Share Based Compensation | 9. Share Based Compensation Stock Incentive Plans In March 2022, our Board of Directors adopted the 5E Advanced Materials, Inc. 2022 Equity Compensation Plan (the “Incentive Plan”). A total of 2,500,000 shares of common stock are reserved for issuance under the Incentive Plan. The Incentive Plan authorized the grant of stock options, restricted share units, performance share units, director share units, performance cash units and other equity-based awards. Our Compensation Committee determines the exercise price for stock options and other equity-based awards, which may not be less than the fair market value of our common stock on the date of grant. As of March 31, 2022, 2,500,000 shares of common stock were available for issuance under the Incentive Plan. The Company established an employee share option plan (“ESOP”) under its predecessor parent company ABR. The objective of the ESOP was to assist in the recruitment, reward, retention and motivation of employees and contractors. Individual may receive the options or nominate a relative or associate to receive the options. The plan was open to executive officers, employees, and eligible contractors of the Company. Additionally, the board authorized the awards of ABR 3-year one replacement option for every ten ABR The fair value of stock option awards granted to directors, officers, employees and/or consultants of the Company are estimated on the grant date using the Black-Scholes option valuation model and the closing price of our common shares on the grant date. The significant assumptions used to estimate the fair value of 1,700,000 and 1,350,000 stock option awards granted during the nine-month periods ended March 31, 2022 and 2021, respectively, using the Black-Scholes option valuation model are as follows: Average for nine-month periods ended March 31, 2022 2021 Exercise price $14.62 –$18.27 $6.58 - $11.69 Share price $12.43 $8.49 Volatility 85% 85 – 110% Expected term in years 0.9 to 3.9 1.9 to 4.0 Risk free interest rate 0.01 – 0.1% 0.75% Dividend rate Nil Nil The share-based compensation cost recognized in the Consolidated Statements of Loss and Comprehensive Loss in General and administrative expense was $4,428,071 and 5,318,298 for the nine-month periods ended March 31, 2022 and 2021, respectively. 2022 2021 Number of Weighted Number of Weighted Outstanding at beginning of the period 5,554,333 $ 5.19 6,742,379 $ 3.36 Granted 1,700,000 $ 15.39 1,350,000 $ 7.02 Exercised (1,267,667 ) $ 2.48 (2,097,685 ) $ 2.67 Expired/forfeited (476,667 ) $ 5.48 (69,694 ) $ 6.29 Outstanding at end of period 5,510,000 $ 8.94 5,925,000 $ 4.55 Vested at the end of the period 3,870,000 $ 6.39 5,905,000 $ 4.53 Options outstanding and vested as of March 31, 2022, have a weighted average remaining life of 2.03 years and 1.52 years, respectively. As of March 31, 2022, there was $6.1 million of unrecognized compensation cost related to 1,640,000 unvested stock options. This cost is expected to be recognized over a weighted-average remaining period of approximately 2.41 years. As of March 31, 2022, the intrinsic value of both the outstanding stock options and vested options was $54.3 million and $48.0 million, respectively. The intrinsic value of stock options exercised during the nine-month periods ended March 31, 2022 and 2021 was $14.4 million and $9.9 million, respectively. Consulting Stock Awards Pursuant to an agreement ABR had in place with its U.S.-based advisory board Blue Horizon Advisors LLC (“BHA”), the Company issue d 400,000 shares of common stock upon the listing of the Company’s shares on Nasdaq during the three-month period ended March 31, 2022. The fair value of these shares of $13.2 million was recognized as stock based compensation and included in general and administrative expenses in the consolidated statements of operations for the three and nine month period ended March 31, 2022. The agreement also includes a provision enabling BHA to potentially meeting ten All services required for the awards have been fulfilled as of March 31, 2022, and due to the market-based milestones of the awards, the fair value of these awards is determined using the Monte Carlo Simulation valuation model. Monte Carlo Simulation valuation models incorporate assumptions as to stock price volatility, the expected life of awards, a risk-free interest rate and dividend yield. The assumptions used to estimate the fair value of the market-based stock grants under the Monte Carlo Simulation model for the period ended March 31, 2022 are as follows: Hurdle stock price $ 21.94 $ 29.25 $ 36.57 $ 43.88 Volatility 76.82 % 76.82 % 76.82 % 76.82 % Expected term in years 1.12 1.12 1.12 1.12 Risk-free interest rate 0.22 % 0.22 % 0.22 % 0.22 % Expected dividend yield 0 % 0 % 0 % 0 % Estimated fair value per share $ 10.68 $ 9.01 $ 6.63 $ 4.88 The Company recorded stock based compensation of $7.8 million in general and administrative expense in the consolidated statements of operations for three and nine month periods ended March 31, 2022. |
Commitments and Contingencies
Commitments and Contingencies | 9 Months Ended |
Mar. 31, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | 10. Commitments and Contingencies Purchase Obligations As of March 31, 2022, the Company has purchase order commitments of $18,888,000 in respect of construction works in progress, drilling, and technical reports. Mineral Lease Payments The Company has a mineral lease agreement for the purposes of obtaining exclusive rights to exploration at the Fort Cady Project. The mineral lease agreement requires the Company to make an annual minimum royalty payment of $75,000, escalated annually based on inflation, until the expiration date of the lease, October 1, 2021. On September 16, 2021, the Company extended its mineral lease agreement with Elementis until July 1, 2022. Payments made during the nine-month period ended March 31, 2022 and 2021 were $86,608 and $107,502, respectively. Salt Wells Earn-in The Company has funding commitments under its Earn-in Agreement of |
Income Taxes
Income Taxes | 9 Months Ended |
Mar. 31, 2022 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | 11. Income Taxes The Company did not record a U.S. federal or state income tax benefit for losses incurred during the three and nine months ended March 31, 2022 and 2021. The Company concluded that it is more likely than not that its deferred tax assets will not be realized which resulted in recording a full valuation allowance during those periods. |
Subsequent Events
Subsequent Events | 9 Months Ended |
Mar. 31, 2022 | |
Subsequent Events [Abstract] | |
Subsequent Events | 12. Subsequent Events On April 12, 2022, the Company issued 150,000 shares to Blue Horizon Advisors LLC, pursuant to the terms of the Advisory Agreement dated April 16, 2021 and as consideration for advisory board services provided, including services related to assessment of the Project, recruiting a U.S. based management team, and advising in connection with the U.S. listing. not receive any proceeds in connection with the issuance. |
Description of Company and Su_2
Description of Company and Summary of Significant Accounting Policies (Policies) | 9 Months Ended |
Mar. 31, 2022 | |
Policy Text Block [Abstract] | |
Nature of Business | Nature of Business 5E Advanced Materials, Inc. (“5E,” “we,” “our,” “us,” or the “Company”) is an exploration stage company focused on becoming a vertically integrated global leader in boron specialty advanced materials and lithium with a focus on enabling decarbonization. |
Redomiciliation | Redomiciliation 5E Advanced Materials, Inc. (the “Company”) acquired all of the issued and outstanding shares of American Pacific Borates Limited (“ABR”), our Australian predecessor and wholly owned subsidiary, pursuant to a Scheme of Arrangement (“Scheme”) under Australian law, which was approved by ABR’s shareholders on December 2, 2021, and the Supreme Court of Western Australia on February 24, 2022. As part of the Scheme, the Company changed its place of domicile from Australia to the S In accordance with the Scheme, all ordinary shares of ABR have been transferred to the Company and pursuant to the Scheme, the Company issued to the shareholders of ABR, either one share of the Company’s common stock for every ten ordinary shares of ABR or one CHESS Depository Interest (“CDIs”) over the Company’s common stock for every one ordinary share of ABR, in each case, as held on the Scheme record date. The Company maintains an Australian Stock Exchange (“ASX”) listing for its CDIs, with each CDI representing 1/10th of a share of common stock. Holders of CDIs are able to trade their CDIs on the ASX under the symbol “5EA” and holders of shares of the Company’s common stock are able to trade their shares on Nasdaq under the symbol “FEAM.” All share and per share data presented in the Company’s condensed consolidated financial statements have been retroactively adjusted to reflect a one for ten (1:10) exchange ratio of all of its issued and outstanding common stock. As a result of the reorganization, the Company became the parent company of ABR, and for financial reporting purposes the historical financial statements of ABR have become the historical financial statements of the Company as a continuation of the predecessor. |
Basis of Presentation | Basis of Presentation The accompanying interim unaudited condensed consolidated financial statements have been prepared in accordance with generally accepted accounting principles for interim financial information and with the instructions to Form 10-Q S-X. |
Basis of Consolidation | Basis of Consolidation The consolidated financial statements comprise the financial statements of 5E and its wholly owned subsidiaries, American Pacific Borates Limited and Fort Cady (California) Corporation. Subsidiaries are those entities over which the Company has the power to govern the financial and operating policies so as to obtain benefits from their activities. The existence and effect of potential voting rights that are currently exercisable or convertible are considered when assessing whether a Company controls another entity. In preparing the consolidated financial statements, all intercompany balances and transactions, income and expenses and profit and losses resulting from intra-company transactions have been eliminated in full. Our fiscal year ends on June 30 of each calendar year. Our reporting currency is in United States dollars (“USD”), and unless otherwise indicated, all references to “$” are to USD. |
Risk and Uncertainties | Risk and Uncertainties We are subject to a number of risks similar to those of other companies of similar size in our industry, including but not limited to, the success of our exploration activities, need for significant additional capital (or financing) to fund operating losses, competition from substitute products and services from larger companies, protection of proprietary technology, patent litigation, and dependence on key individuals. We have accumulated deficits of $94.1 million, as of March 31, 2022 and June 30, 2021, respectively. We have incurred net losses and utilized cash in operations since inception, and expect to incur significant additional losses in the future. We have cash available on hand and believe that this cash will be sufficient to fund operations and meet our obligations as they come due within one year from the date these consolidated financial statements are issued. In the event our cash requirements change during the next twelve months, management believes it has the ability and commitment to reduce operating expenses, as necessary. Until commercial production is achieved from our planned operations, we will continue to incur operating and investing net cash outflows associated with, among other things, maintaining properties, construction and operation of our Small-Scale Boron Facility (“SSBF”) and undertaking ongoing exploration activities and project expenses. Our long-term success is dependent upon our ability to successfully raise additional capital or financing or enter into strategic partnership opportunities. Our long-term success is also dependent upon our ability to operate the SSBF, develop our planned injection and recovery wells and processing facility, develop and commercialize the full-scale Fort Cady Borate Project, earn revenues, and achieve profitability. Our consolidated financial statements have been prepared on a going-concern basis, which contemplates the realization of assets and the satisfaction of liabilities in the normal course of business. |
Use of Estimates | Use of Estimates The preparation of consolidated financial statements in conformity with GAAP requires management to make estimates, assumptions, and allocations that affect amounts reported in the consolidated financial statements and related notes. Significant items that are subject to such estimates and assumptions include, but are not limited to, estimated useful lives and valuation of properties, plant and equipment, mineral rights and properties, deferred tax assets, reclamation liabilities, and fair value of stock-based compensation. Actual results could differ due to the uncertainty inherent in the nature of these estimates. |
Significant Accounting Policies | Significant Accounting Policies There have been no material changes in the significant accounting policies followed by us during the nine months ended March 31, 2022 from those disclosed in the financial statements included in our amended Form 10. |
Recently Issued and Adopted Accounting Pronouncements | Recently Issued and Adopted Accounting Pronouncements In December 2019, Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2019-12—Income Taxes (“ASU 2019-12”). ASU 2019-12 is ASU 2019-12 does In August 2020, FASB issued ASU No. 2020-06–Debt–Debt with (Subtopic 470-20) and (Subtopic 815-40): Accounting In May 2021, FASB issued ASU No. 2021-04—Earnings Per 470-50), (Subtopic 815-40) Issuer’s |
Mineral Rights and Properties_2
Mineral Rights and Properties, Net (Tables) | 9 Months Ended |
Mar. 31, 2022 | |
Mineral Properties, Net [Abstract] | |
Summary of Mineral Interests and Properties | Mineral Interests and Properties as of March 31, 2022 and June 30, 2021 consisted of the following: March 31, June 30, 2022 2021 Mineral properties – Fort Cady Borate Project $ 6,732,562 $ 6,732,562 Hydrology wells 547,258 547,258 Mineral interest – Elementis lease 808,202 721,594 Asset retirement cost, net of accumulated amortization of $3,887 and zero at March 31, 2022 and June 30, 2021, respectively 159,766 79,295 $ 8,247,788 $ 8,080,709 |
Construction in Progress (Table
Construction in Progress (Tables) | 9 Months Ended |
Mar. 31, 2022 | |
Construction In Progress [Abstract] | |
Summary of Construction in Progress | As of March 31, 2022 and June 30, 2021, Construction in Progress consisted of the following: March 31, June 30, 2022 2021 Crystallizer $ 6,825,453 $ 5,544,359 Engineering services 5,064,014 3,182,279 Injection and recovery wells 1,304,043 — Electric infrastructure 1,182,663 643,445 Filter system 634,986 634,986 Centrifuge system 382,683 382,683 Air compression 348,410 344,054 Boiler 287,613 287,613 Conveyor system 284,535 — Scrubbers 265,605 235,063 Water treatment 232,108 232,108 Pumps 121,795 67,273 Other 1,099,940 1,211,422 Total Construction in Progress $ 18,033,848 $ 12,765,285 |
Properties, Plant and Equipme_2
Properties, Plant and Equipment, Net (Tables) | 9 Months Ended |
Mar. 31, 2022 | |
Property, Plant and Equipment [Abstract] | |
Summary of Properties, Plant and Equipment | Properties, plant, and equipment, net as of March 31, 2022 and June 30, 2021 consisted of the following: March 31, June 30, 2022 2021 Land $ 1,533,312 $ 658,245 Buildings 873,410 717,253 Vehicles 297,127 73,202 Plant and equipment 339,979 91,897 3,043,828 1,540,597 Less accumulated depreciation (117,523 ) (45,161 ) Properties, plant and equipment, net $ 2,926,305 $ 1,495,436 |
Reclamation Liabilities (Tables
Reclamation Liabilities (Tables) | 9 Months Ended |
Mar. 31, 2022 | |
Reclamation Liabilities Non Current [Abstract] | |
Summary of the Liabilities Accrued for Reclamation and Closure Costs | The liabilities accrued for reclamation and closure costs as of March 31, 2022 and June 30, 2021 were as follows: March 31, June 30, 2022 2021 Accrued reclamation costs $ 297,997 $ 297,997 Asset retirement obligation 169,765 79,295 $ 467,762 $ 377,292 |
Summary of Reconciliation of the Aggregate Retirement Obligation Asset | The following is a reconciliation of the aggregate retirement obligation asset associated with our reclamation plan for the Company’s mining projects for the nine months ended March 31, 2022. There was no comparable activity for the nine months ended March 31, 2021: 2022 Retirement obligation asset — beginning of period $ 79,295 Obligation incurred during the period 84,358 Accretion 6,112 Retirement obligation asset — end of period $ 169,765 |
Leases (Tables)
Leases (Tables) | 9 Months Ended |
Mar. 31, 2022 | |
Lessee Disclosure [Abstract] | |
Summary of Future minimum annual lease payments | Future minimum annual lease payments under these existing lease agreements are as follows as of March 31, 2022: For the year ending June 30, $ 35,883 2023 117,690 2024 92,051 2025 21,257 Total 266,881 Less imputed interest (1,914 ) Net lease liability 264,967 Current portion 116,957 Long-term portion $ 148,010 |
Share Based Compensation (Table
Share Based Compensation (Tables) | 9 Months Ended |
Mar. 31, 2022 | |
Share-based Payment Arrangement [Abstract] | |
Summary of share-based payment award, stock options, valuation assumptions | Average for nine-month periods ended March 31, 2022 2021 Exercise price $14.62 –$18.27 $6.58 - $11.69 Share price $12.43 $8.49 Volatility 85% 85 – 110% Expected term in years 0.9 to 3.9 1.9 to 4.0 Risk free interest rate 0.01 – 0.1% 0.75% Dividend rate Nil Nil |
Summary of share-based payment arrangement, activity | The number of options have been adjusted for the exchange ratio and exercise prices reflect the AUD prices in USD based on the exchange rate that existed on the date prior to implementation of the Scheme: 2022 2021 Number of Weighted Number of Weighted Outstanding at beginning of the period 5,554,333 $ 5.19 6,742,379 $ 3.36 Granted 1,700,000 $ 15.39 1,350,000 $ 7.02 Exercised (1,267,667 ) $ 2.48 (2,097,685 ) $ 2.67 Expired/forfeited (476,667 ) $ 5.48 (69,694 ) $ 6.29 Outstanding at end of period 5,510,000 $ 8.94 5,925,000 $ 4.55 Vested at the end of the period 3,870,000 $ 6.39 5,905,000 $ 4.53 |
Summary of share based compensation by share based compensation fair value assumptions of equity instruments other than options granted to consultants | The assumptions used to estimate the fair value of the market-based stock grants under the Monte Carlo Simulation model for the period ended March 31, 2022 are as follows: Hurdle stock price $ 21.94 $ 29.25 $ 36.57 $ 43.88 Volatility 76.82 % 76.82 % 76.82 % 76.82 % Expected term in years 1.12 1.12 1.12 1.12 Risk-free interest rate 0.22 % 0.22 % 0.22 % 0.22 % Expected dividend yield 0 % 0 % 0 % 0 % Estimated fair value per share $ 10.68 $ 9.01 $ 6.63 $ 4.88 |
Description of Company and Su_3
Description of Company and Summary of Significant Accounting Policies - Additional Information (Detail) - USD ($) | 9 Months Ended | |
Mar. 31, 2022 | Jun. 30, 2021 | |
Policy Text Block [Abstract] | ||
Accumulated deficit | $ (94,128,713) | $ (40,651,487) |
Business combination exchange ratio basis | one for ten |
Mineral Rights and Properties_3
Mineral Rights and Properties, Net - Additional Information (Detail) - USD ($) | Sep. 16, 2021 | Oct. 01, 2011 | Mar. 31, 2022 | Mar. 31, 2021 |
Mining Properties and Mineral Rights [Member] | ||||
Mineral Properties Net [Line Items] | ||||
Hydrology income | $ 36,020 | $ 0 | ||
Advance Royalties | $ 86,608 | $ 107,502 | ||
Elementis Specialties Inc [Member] | ||||
Mineral Properties Net [Line Items] | ||||
Mineral lease agreement extended date | Jul. 1, 2022 | |||
Elementis Specialties Inc [Member] | Mining Properties and Mineral Rights [Member] | ||||
Mineral Properties Net [Line Items] | ||||
Royalty lease agreement Term | 10 years |
Mineral Rights and Properties_4
Mineral Rights and Properties, Net - Summary of Mineral Interests and Properties (Detail) - USD ($) | Mar. 31, 2022 | Jun. 30, 2021 |
Mineral Properties Net [Line Items] | ||
Asset retirement cost, net of accumulated amortization of $3,887 and zero at March 31, 2022 and June 30, 2021, respectively | $ 159,766 | $ 79,295 |
Mineral Properties | 8,247,788 | 8,080,709 |
Fort Cady Borate Project [Member] | ||
Mineral Properties Net [Line Items] | ||
Mineral Properties, Gross | 6,732,562 | 6,732,562 |
Hydrology Wells [Member] | ||
Mineral Properties Net [Line Items] | ||
Mineral Properties, Gross | 547,258 | 547,258 |
Elementis Lease [Member] | ||
Mineral Properties Net [Line Items] | ||
Mineral Properties, Gross | $ 808,202 | $ 721,594 |
Mineral Rights and Properties_5
Mineral Rights and Properties, Net - Summary of Mineral Interests and Properties (Parenthetical) (Detail) - USD ($) | Mar. 31, 2022 | Jun. 30, 2021 |
Mineral Properties, Net [Abstract] | ||
Asset retirement cost, net of accumulated amortization | $ 3,887 | $ 0 |
Construction in Progress - Summ
Construction in Progress - Summary of Construction in Progress (Detail) - USD ($) | Mar. 31, 2022 | Jun. 30, 2021 |
Construction In Progress [Line Items] | ||
Construction in Progress, Gross | $ 18,033,848 | $ 12,765,285 |
Crystallizer [Member] | ||
Construction In Progress [Line Items] | ||
Construction in Progress, Gross | 6,825,453 | 5,544,359 |
Engineering services [Member] | ||
Construction In Progress [Line Items] | ||
Construction in Progress, Gross | 5,064,014 | 3,182,279 |
Injection and recovery wells [Member] | ||
Construction In Progress [Line Items] | ||
Construction in Progress, Gross | 1,304,043 | 0 |
Electric infrastructure [Member] | ||
Construction In Progress [Line Items] | ||
Construction in Progress, Gross | 1,182,663 | 643,445 |
Filter system [Member] | ||
Construction In Progress [Line Items] | ||
Construction in Progress, Gross | 634,986 | 634,986 |
Centrifuge system [Member] | ||
Construction In Progress [Line Items] | ||
Construction in Progress, Gross | 382,683 | 382,683 |
Air compression [Member] | ||
Construction In Progress [Line Items] | ||
Construction in Progress, Gross | 348,410 | 344,054 |
Boiler [Member] | ||
Construction In Progress [Line Items] | ||
Construction in Progress, Gross | 287,613 | 287,613 |
Conveyor system [Member] | ||
Construction In Progress [Line Items] | ||
Construction in Progress, Gross | 284,535 | 0 |
Scrubbers [Member] | ||
Construction In Progress [Line Items] | ||
Construction in Progress, Gross | 265,605 | 235,063 |
Water treatment [Member] | ||
Construction In Progress [Line Items] | ||
Construction in Progress, Gross | 232,108 | 232,108 |
Pumps [Member] | ||
Construction In Progress [Line Items] | ||
Construction in Progress, Gross | 121,795 | 67,273 |
Other [Member] | ||
Construction In Progress [Line Items] | ||
Construction in Progress, Gross | $ 1,099,940 | $ 1,211,422 |
Properties, Plant and Equipme_3
Properties, Plant and Equipment, Net - Summary of Properties, Plant and Equipment (Detail) - USD ($) | Mar. 31, 2022 | Jun. 30, 2021 |
Property, Plant and Equipment [Line Items] | ||
Properties, plant and equipment, Gross | $ 3,043,828 | $ 1,540,597 |
Less accumulated depreciation | (117,523) | (45,161) |
Properties, plant and equipment, net | 2,926,305 | 1,495,436 |
Land [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Properties, plant and equipment, Gross | 1,533,312 | 658,245 |
Buildings [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Properties, plant and equipment, Gross | 873,410 | 717,253 |
Vehicles [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Properties, plant and equipment, Gross | 297,127 | 73,202 |
Plant and equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Properties, plant and equipment, Gross | $ 339,979 | $ 91,897 |
Properties, Plant and Equipme_4
Properties, Plant and Equipment, Net - Additional Information (Detail) - USD ($) | 9 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Property, Plant and Equipment [Abstract] | ||
Depreciation expense | $ 72,362 | $ 15,344 |
Reclamation Liabilities - Addit
Reclamation Liabilities - Additional Information (Detail) - USD ($) | 9 Months Ended | 12 Months Ended |
Mar. 31, 2022 | Jun. 30, 2021 | |
Reclamation Liabilities Non Current [Line Items] | ||
Costs asset retirement obligation incurred | $ 298,710 | |
Asset retirement obligations liabilities incurred | 84,358 | |
Fort Candy Barate [Member] | ||
Reclamation Liabilities Non Current [Line Items] | ||
Accrued reclamation costs of land disturbance non current | 297,997 | |
Underground Injection And Permit [Member] | ||
Reclamation Liabilities Non Current [Line Items] | ||
Estimated closure and reclamation costs for wells | $ 597,420 | $ 298,710 |
Maximum [Member] | Underground Injection And Permit [Member] | ||
Reclamation Liabilities Non Current [Line Items] | ||
Estimated closure and reclamation costs for wells discount rate | 6.90% | 6.90% |
Minimum [Member] | Underground Injection And Permit [Member] | ||
Reclamation Liabilities Non Current [Line Items] | ||
Estimated closure and reclamation costs for wells discount rate | 6.60% | 6.60% |
Reclamation Liabilities - Summa
Reclamation Liabilities - Summary of the Liabilities Accrued for Reclamation and Closure Costs (Detail) - USD ($) | Mar. 31, 2022 | Jun. 30, 2021 |
Reclamation Liabilities Non Current [Abstract] | ||
Accrued reclamation costs | $ 297,997 | $ 297,997 |
Asset retirement obligation | 169,765 | 79,295 |
Total | $ 467,762 | $ 377,292 |
Reclamation Liabilities - Sum_2
Reclamation Liabilities - Summary of Reconciliation of the Aggregate Retirement Obligation Asset (Detail) | 9 Months Ended |
Mar. 31, 2022USD ($) | |
Reclamation Liabilities Non Current [Abstract] | |
Retirement obligation asset — beginning of period | $ 79,295 |
Obligation incurred during the period | 84,358 |
Accretion | 6,112 |
Retirement obligation asset — end of period | $ 169,765 |
Leases - Additional Information
Leases - Additional Information (Detail) - USD ($) | Mar. 31, 2022 | Mar. 31, 2022 | Mar. 31, 2021 | Feb. 28, 2021 |
Operating lease payment | $ 88,285 | |||
CA | ||||
Lessee, operating lease, remaining lease term | 1 year 10 months 24 days | 1 year 10 months 24 days | ||
Lease expire period | 2/1/2024 | |||
TX | ||||
Lessee, operating lease, remaining lease term | 2 years 9 months | 2 years 9 months | ||
Lease expire period | 12/1/2024 | |||
Maximum [Member] | ||||
Lessee, operating lease, discount rate | 1.04% | |||
Minimum [Member] | ||||
Lessee, operating lease, discount rate | 0.04% | |||
General and Administrative Expense [Member] | ||||
Operating lease, expense | $ 134,699 | $ 36,112 |
Leases - Summary of Future Mini
Leases - Summary of Future Minimum Annual Lease Payments (Detail) - USD ($) | Mar. 31, 2022 | Jun. 30, 2021 |
Lessee Disclosure [Abstract] | ||
For the year ending June 30, 2022 (April 1 – June 30) | $ 35,883 | |
2023 | 117,690 | |
2024 | 92,051 | |
2025 | 21,257 | |
Total | 266,881 | |
Less imputed interest | (1,914) | |
Net lease liability | 264,967 | |
Current portion | 116,957 | $ 90,815 |
Long-term portion | $ 148,010 | $ 124,699 |
Equity - Additional Information
Equity - Additional Information (Detail) | 3 Months Ended | 9 Months Ended | |||||||
Mar. 31, 2022USD ($)$ / sharesshares | Dec. 31, 2021USD ($) | Sep. 30, 2021USD ($) | Mar. 31, 2021USD ($) | Dec. 31, 2020USD ($) | Sep. 30, 2020USD ($) | Mar. 31, 2022USD ($)$ / sharesshares | Mar. 31, 2021USD ($)shares | Jun. 30, 2021$ / sharesshares | |
Class of Stock [Line Items] | |||||||||
Common stock number of shares issuable for each share in the predecessor company. | 1 | 1 | |||||||
Common stock shares outstanding before the efective date of merger scheme | 418,693,150 | 418,693,150 | |||||||
Common stock shares outstanding on the date the merger scheme became effective | 41,869,315 | 41,869,315 | |||||||
Common stock, shares authorized | 180,000,000 | 180,000,000 | 180,000,000 | ||||||
Preferred stock, shares authorized | 20,000,000 | 20,000,000 | 20,000,000 | ||||||
Preferred stock shares outstanding | 0 | 0 | 0 | ||||||
Common stock, par or stated value per share | $ / shares | $ 0.01 | $ 0.01 | $ 0.01 | ||||||
Preferred stock par or stated value per share | $ / shares | $ 0.01 | $ 0.01 | $ 0.01 | ||||||
Stock shares issued during the period new issues | 1,760,236 | 5,128,205 | |||||||
Proceeds from issuance of common stock | $ | $ 26,309,067 | $ 30,109,764 | |||||||
Payment of stock issuance costs | $ | $ 797,474 | $ 1,573,496 | |||||||
Exercise of stock options,Shares | 1,267,667 | 2,097,685 | |||||||
Stock issued during the period value stock options excercised | $ | $ 216,487 | $ 1,822,030 | $ 1,085,595 | $ 2,810,514 | $ 55,877 | $ 2,796,786 | $ 3,124,112 | $ 5,663,177 | |
Stock issued during the period shares issued for services | 1,100,000 | 8,000 | |||||||
Stock issued during the period value issued for services at fair value | $ | $ 27,171,876 | $ 32,076 | |||||||
Chess Depositry Interest [Member] | |||||||||
Class of Stock [Line Items] | |||||||||
Depository receipt ratio | 10 | 10 |
Net Loss Per Common Share - Add
Net Loss Per Common Share - Additional Information (Detail) - shares | 9 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Share-based Payment Arrangement, Option [Member] | ||
Earnings Per Share [Line Items] | ||
Antidilutive securities excluded from computation of earnings per share | 5,510,000 | 5,925,000 |
Share Based Compensation - Summ
Share Based Compensation - Summary Of Share-Based Payment Award, Stock Options, Valuation Assumptions (Detail) - Black Scholes [Member] - $ / shares | 9 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Share price | $ 12.43 | $ 8.49 |
Volatility, Mininmum | 85.00% | |
Volatility, Maximum | 110.00% | |
Volatility | 85.00% | |
Risk free interest rate, Minimum | 0.01% | |
Risk free interest rate, Maximum | 0.10% | |
Risk free interest rate | 0.75% | |
Dividend rate | 0.00% | 0.00% |
Minimum [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Exercise price | $ 14.62 | $ 6.58 |
Expected term in years | 10 months 24 days | 1 year 10 months 24 days |
Maximum [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Exercise price | $ 18.27 | $ 11.69 |
Expected term in years | 3 years 10 months 24 days | 4 years |
Share Based Compensation - Su_2
Share Based Compensation - Summary Of Share-Based Payment Arrangement, Activity (Detail) - $ / shares | 9 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Share-based Payment Arrangement [Abstract] | ||
Number of Options, Outstanding at beginning of the period | 5,554,333 | 6,742,379 |
Number of Options, Granted | 1,700,000 | 1,350,000 |
Number of Options, Exercised | (1,267,667) | (2,097,685) |
Number of Options, Expired/forfeited | (476,667) | (69,694) |
Number of Options, Outstanding at end of period | 5,510,000 | 5,925,000 |
Number of Options, Vested at the end of the period | 3,870,000 | 5,905,000 |
Weighted Averaged Exercise Price, Outstanding at beginning of the period | $ 5.19 | $ 3.36 |
Weighted Averaged Exercise Price, Granted | 15.39 | 7.02 |
Weighted Averaged Exercise Price, Exercised | 2.48 | 2.67 |
Weighted Averaged Exercise Price, Expired/forfeited | 5.48 | 6.29 |
Weighted Averaged Exercise Price, Outstanding at end of period | 8.94 | 4.55 |
Weighted Averaged Exercise Price, Vested at the end of the period | $ 6.39 | $ 4.53 |
Share Based Compensation - Su_3
Share Based Compensation - Summary Of Share Based Compensation By Share Based Compensation Fair Value Assumptions Of Equity Instruments Other Than Options Granted To Consultants (Detail) - Consulting Stock Awards [Member] - $ / shares | 3 Months Ended | 9 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2022 | Mar. 31, 2021 | |
Disclosure Of Share Based Compensation By Share Based Compensation Fair Value Assumptions Of Equity Instruments Other Than Options Granted To Consultants [Line Items] | ||||
Hurdle stock price | $ 21.94 | $ 36.57 | $ 29.25 | $ 43.88 |
Volatility | 76.82% | 76.82% | 76.82% | 76.82% |
Expected term in years | 1 year 1 month 13 days | 1 year 1 month 13 days | 1 year 1 month 13 days | 1 year 1 month 13 days |
Risk-free interest rate | 0.22% | 0.22% | 0.22% | 0.22% |
Expected dividend yield | 0.00% | 0.00% | 0.00% | 0.00% |
Estimated fair value per share | $ 10.68 | $ 6.63 | $ 9.01 | $ 4.88 |
Share Based Compensation - Addi
Share Based Compensation - Additional Information (Detail) | 3 Months Ended | 9 Months Ended | ||||||
Mar. 31, 2022USD ($)shares | Dec. 31, 2021USD ($) | Sep. 30, 2021USD ($) | Mar. 31, 2021USD ($)shares | Dec. 31, 2020USD ($) | Sep. 30, 2020USD ($) | Mar. 31, 2022USD ($)$ / sharesshares | Mar. 31, 2021USD ($)shares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Stock issued during the period shares issued for services | 1,100,000 | 8,000 | ||||||
Adjustment to additional paid in capital share based compensation | $ | $ 1,340,607 | $ 1,310,409 | $ 1,777,055 | $ 933,709 | $ 600,513 | $ 3,784,076 | ||
Consulting Stock Awards [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Common stock shares subscribed but not issued | 1,000,000 | 1,000,000 | ||||||
Number of days for determining the volume weighted average price | 10 days | |||||||
Consulting Stock Awards [Member] | Blue Horizon Advisors LLC [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Stock issued during the period shares issued for services | 400,000 | |||||||
Consulting Stock Awards [Member] | Volume Weighted Average Price One [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Common stock shares subscribed but not issued | 250,000 | 250,000 | ||||||
Volume weighted average price per share | $ / shares | $ 21.94 | |||||||
Consulting Stock Awards [Member] | Volume Weighted Average Price Two [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Common stock shares subscribed but not issued | 250,000 | 250,000 | ||||||
Volume weighted average price per share | $ / shares | $ 29.25 | |||||||
Consulting Stock Awards [Member] | Volume Weighted Average Price Three [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Common stock shares subscribed but not issued | 250,000 | 250,000 | ||||||
Volume weighted average price per share | $ / shares | $ 36.57 | |||||||
Consulting Stock Awards [Member] | Volume Weighted Average Price Four [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Common stock shares subscribed but not issued | 250,000 | 250,000 | ||||||
Volume weighted average price per share | $ / shares | $ 43.88 | |||||||
Consulting Stock Awards [Member] | General and Administrative Expense [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Allocated share based compensation | $ | $ 7,800,000 | $ 7,800,000 | ||||||
Adjustment to additional paid in capital share based compensation | $ | $ 13,200,000 | $ 13,200,000 | ||||||
Two Thousand And Twenty Two Equity Compensation Incentive Plan [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Common stock shares reserved for future issuance | 2,500,000 | 2,500,000 | ||||||
Share based compensation by share based award number of shares available for issuance | 2,500,000 | 2,500,000 | ||||||
Share based compensation by share based award number of options granted during the period | 1,700,000 | 1,350,000 | ||||||
Share based compensation by share based award options outstanding and unvested | 1,640,000 | 1,640,000 | ||||||
Share based compensation by share based award unvested options unrecognized compensation | $ | $ 6.1 | $ 6.1 | ||||||
Share based compensation by share based award non vested options intrinsic value | $ | 54.3 | 54.3 | ||||||
Share based compensation by share based award options vested and expected and to vest aggregate intrinsic value | $ | $ 48 | $ 48 | ||||||
Share based compensation by share based award aggregate instrinsic value of stock options excercised | $ | $ 9.9 | |||||||
Two Thousand And Twenty Two Equity Compensation Incentive Plan [Member] | Fully Vested [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Share based compensation by share based award options vested and expected to vest weighted average remaining contractual term | 2 years 10 days | 1 year 6 months 7 days | ||||||
Share based compensation by share based award aggregate instrinsic value of stock options excercised | $ | $ 14.4 | |||||||
Two Thousand And Twenty Two Equity Compensation Incentive Plan [Member] | Share-based Payment Arrangement, Option [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Share based compensation by share based award number of options issuable for every option in the predecessor company | 0.1 | 0.1 | ||||||
Share based compensation by share based award total compensation not yet recognized period for recognition | 2 years 4 months 28 days | |||||||
Two Thousand And Twenty Two Equity Compensation Incentive Plan [Member] | Share-based Payment Arrangement, Option [Member] | General and Administrative Expense [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Allocated share based compensation | $ | $ 4,428,071 | $ 5,318,298 | ||||||
Two Thousand And Twenty Two Employee Stock Option Plan Of The Predecessor Company [Member] | Share-based Payment Arrangement, Option [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Share based compensation by share based award number of shares authorized for issuance as a percentage of common stock | 5.00% | |||||||
Share based compensation by share based award term of award | 3 years |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Detail) - USD ($) | 9 Months Ended | 12 Months Ended | ||||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2025 | Mar. 31, 2024 | Mar. 31, 2023 | Mar. 31, 2022 | |
Commitments and Contingencies [Line Items] | ||||||
Purchase commitments | $ 18,888,000 | $ 18,888,000 | ||||
Operating lease payment | 88,285 | |||||
Mineral Lease Agreement [Member] | ||||||
Commitments and Contingencies [Line Items] | ||||||
Royalty expense | $ 75,000 | |||||
Lease expiration date | Oct. 1, 2021 | |||||
Operating lease payment | $ 86,608 | $ 107,502 | ||||
Salt Wells Earn In Agreement [Member] | ||||||
Commitments and Contingencies [Line Items] | ||||||
Funding commitment year one | $ 300,000 | |||||
Funding commitment year two | $ 600,000 | |||||
Funding commitment year three | $ 800,000 | |||||
Funding commitment year four | $ 1,200,000 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2022 | Mar. 31, 2021 | |
Foreign Tax Authority [Member] | ||||
Operating Loss Carryforwards [Line Items] | ||||
Income tax expense | $ 0 | $ 0 | $ 0 | $ 0 |
State and Local Jurisdiction [Member] | ||||
Operating Loss Carryforwards [Line Items] | ||||
Income tax expense | $ 0 | $ 0 | $ 0 | $ 0 |
Subsequent Events - Additional
Subsequent Events - Additional Information (Detail) - Private Placement [Member] | Apr. 12, 2022USD ($)shares |
Subsequent Event [Line Items] | |
Proceeds in connection with issuance in private palcement | $ | $ 0 |
Subsequent Event [Member] | Blue Horizon Advisors LLC [Member] | |
Subsequent Event [Line Items] | |
Shares issued | shares | 150,000 |