Let me confuse you further:
His friend thought he recieved solid insider tips that a thermometers company will be making a new range of thermometers. Several months ago, they announced that raw materials will be required (see the link in kaldera4's post). Thinking that this must be mercury, his friend borrowed huge sums of money to buy up stockpiles of mercury. He made this gamble based on that outdated insider tip several months ago in anticipation that mecury prices will go up, then he can sell the mercury for mad profits.
Unfortunately, after some careful thought and feedback from users of thermometers, the company has now decided that the thermometers will use alcohol instead. It is much friendlier to use.
His friend now is sitting on a gazillion barrels of toxic mercury, which would not be in demand afterall. He is also heavily in debt and has no way of replaying his loan if he doesn't sell the mercury. But even normally, it sells slowly, with release of the new thermometers, it will sell even slower. So it will be a while before he clears his stockpile. Even if he does sell it, he might not be able to repay the loan as he might have bought them at a higher price than normal.
Because of a bad investment he has made himself, he is now comtemplating to "quit" if the company continues to make their thermetors using alcohol. No mention of whether he intends to repay his loan. Some suspect that this is a conspiracy by the thermometer company to lead people into buying mercury and cause gamblers to lose their money.
It's pretty unfortunate, but that's part of the risk of investing.