Actually, they are guaranteed the $12 per pound, but this is not necessarily the price that the cobalt will be sold for. That is just the terms of the off-take agreement so the company could get the financing required to get the mine up and running. (According to the PR this estimated capital expenditure will be $125 million) The current spot price of $44 is a more accurate picture of how much it will be sold for, which should put the sales at around $2 billion.
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