cdu likelyup soon in senate inquiry into asic, page-49

Rather than ask "Ask yourself what does the company have to do for the price to double. Is it easily achievable or not?" I think a more relevant question is:

"What does the company have to have for the price to double? Is it more than likely that they have it, or not?"

I don't think getting the loan approved by itself would do it. Just having the money to complete the plant wouldn't be enough (if, indeed, $70m would be enough to get it up, running and cash flow +ve). DSO sales? That would depend on how much detail is given. Grades, volumes and profitability. The market isn't stupid. It knows that companies can front load grades, and CDU have said that they'll do that anyway to maximise initial cash flows - IMO the question would be the sustainability of the DSO and to what extent it depletes the balance of the deposit.

I believe the key is whether they have the volumes and grades. They must know by now, surely, after all the mining and stockpiling they've done. And if they DO have the stockpiles sufficiently rich to double the share price, then are they not in breach of ASX regulations by not disclosing it to the market? As I don't think they would be in such a breach, then I can only conclude that they don't have what it takes to double the sp.

There is nothing they can actually DO to double it, it's what they HAVE.