The bottom line these days, from my experience, is that the majority of capital partners/suitors/potential partners, that I know, do not need/want a DFS/BFS nor do they want to be involved in a public company at the outset. They want a resource!
The sentiment expressed to me is that private company funding can be achieved in a faster timeframe without publicity and market exposure without the need for a DFS/BFS/FID via endless board meetings/market reporting etc, etc, in order to achieve a fast track to production.
So what that means is that private deals represent a much faster pathway to production at a cheaper price without the listed company reporting processes and compliance procedures. Many CEO's will tell you that up to 70% of their time is caught up with compliance reporting...instead of getting on with it.. frustrating to the N'th degree.
Unfortunately, Australia has earned the bad reputation recently for being over regulated, over priced and uncertain going forward with respect to all facets of resources mining and Oil and Gas exploration let alone production. Just look at the recent divestments in the peer group of major Resource companies...it's easier not dealing with the markets in subsidiary private companies...that's my view, misinformed as it is.
So why would the CuDeco board feel any different to the industry sentiment out there (from what I am hearing).
The system needs fixing and quickly! The Frustration is building a head of steam ..watch out!
But that's just my view and it appears to be the same amongst many of my associates.
Form your own opinion...DYOR ..no doubt the vast majority have formed one.
CDU is not alone in these market nuances (to be diplomatic)..it's endemic...and it stinks.
I think the resources sector and other sector market listings are totally sick to death of the games being played in the market.
IMO, there will come a day where the market will come to an end ..in its current "unregulated" greed wins format that will end.
The Bot wars will continue until they kill themselves off or the governments of the day kill them off permanently.
There may be a few casualties on both sides along the way.
CuDeco does have a resource ready to produce and a good one .. well advanced, regardless of delays and the product will be in demand for a long, long time .. It's a commercially viable finite resource.
Yes there are a number of massive low grade porphyry systems around the planet, but commensurate with their size is a massive cost, both financially and environmentally.
Take your investment pick, CDU or whatever analogues you care to put up. If you do not like the CDU model, then why don't you just invest or short other plays .. It seems CDU/LCY/LNC every other stock I look at is in the same boat..shorter's paradise!
I do not hold, but I like the progress. We are all allowed an opinion. Don't like it..just hit the thumbs down.
Cheers
HR
It's just too hard!
CDU Price at posting:
$1.62 Sentiment: Hold Disclosure: Not Held
