some good discussions happening. Alot i do agree with
There were alot of positives to take out of the SS. it was a good report, but not smashed out of the park great.
16yr LOM is okay and theres lots of room for resource growth, but 4 year payback is a long time for a small project like this.
The resource could be x100 bigger and it wouldnt matter as
@2ic mentioned, the garnet market can only absorb X amount of supply without affecting price. The study tried addressing this showing the widening supply shortage.
i just compared the price used in the SS (in AUD $) vs the price info the company used in its preso 3 months ago (in USD $).
We can see refined Garnet has a substantial premium to bulk unrefined product, and that HVY are looking to add value by supplying a refined product.
vs
Lots of facts needing to be checked but at the end of the day its still early stages and you have to make up your own mind on buying/holding for the long term
Other facts are a solid company capital structure (cash is prob about $2m by now), as well as other assets (inhambane Mineral Sands Project).
Also the company has been pretty good with timelines. a few short slippages here and there but generally have delivered what they've said, with exploration drilling expected to start now the SS is done
Whats raised Reg flag with me is the timing of the director resignation. doesnt sit well and the lack of clarity is whats disturbing. Theres very little info provided.
Id imagine this wasnt out of the blue. Ie: it was known within the company. Maybe Nick was forced out (unlikley) or maybe he got a better job elsewhere and was asked to stay until he delivered the SS (seems more plausible to me given the timing)
Nothing is coming up on LinkedIn yet:
https://www.linkedin.com/in/nic-matich-79044891/
