This is an absolutely huge punt for shareholders. Who knows what the economic and political climate will be like in 5 years by when AKM intends to produce.
The capex involved is huge.
Why take north mongolia with $1b+ of capex and 600kms of transportation costs, when for 4x the market cap you can have an operation running at 5mtpa+ (of mainly coking) within a matter of weeks, 60kms transportation to the China border, and with a capex of about $10m (not $1B) per 2.5mt?
AKM is cheap for a reason and I'm afraid will drift down over the next 12 to 24 months as there are simply no price drivers.
Cash is king in this market. Not debt!
negative investors, page-7
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Last
36.0¢ |
Change
0.010(2.86%) |
Mkt cap ! $182.7M | |||
| Open | High | Low | Value | Volume |
| 36.0¢ | 36.0¢ | 35.0¢ | $29.71K | 84.04K |
Buyers (Bids)
| No. | Vol. | Price($) |
|---|---|---|
| 2 | 30086 | 35.0¢ |
Sellers (Offers)
| Price($) | Vol. | No. |
|---|---|---|
| 36.5¢ | 54742 | 1 |
View Market Depth
| Last trade - 15.42pm 08/07/2024 (20 minute delay) ? |
| AKM (ASX) Chart |