They can, they just need to set up more grow house's, have more clinical trails and release a formula that is better than synthetic pharmaceuticals. With 13 mill in the bank if they can stay afloat in the euro zone they are going to make mad cash going long. Even without the cosmetics kicking off.
I think the company may take 2-3 years to have a break even point revenue over operations costs.
At max capacity, currently, mxc state can produce 3000kg of bud a year... approx only 10 - 15%% of that is going to be oil @ $50,000 US / kg.
I think with their growing spaces 3000kg is bullish, if they can produce 1000kg/yr which i still think is optimistic, but achievable (1000kg 10% that's 100kg of oil at 50k/kg) potentially 5Mil per year in oil.
Alot of this oil is going to be used for more trails which cost 100's of thou for each one and some maybe sold along the way.
Going short next 2 months, unless they get a license on the asx soon or do a acquisition, it may drop further between 6-7c.
But I am confident the plant formula/ strains they are working on is better than the synthetic versions & the price will get back into the 8's soon, if they get to double blind trails then commercial production in the 2 - 3 years they can be huge!
MXC Price at posting:
7.1¢ Sentiment: Hold Disclosure: Held
