time to reload

Meanwhile I have reloaded my ballistic weapons and my bunker buster. Give up is not an option. Failure neither.

A lot of people around me are talking a lot of rubbish. Sorry to say so. Comparing the actual situation with 2008 (pre-subprime-crisis). Talking of the end of the commoditites supercycle. Talking of whatever.

Take a look at the 24 years copper and zinc price and you will realize that the trends are still intact. Yes, it is an up and down but nobody should start to tell me, that the economies of this world do not need copper in 5 years or 10 years....and give me one reason why copperprice should collapse.

And even if it would collapse, what do you think would the chinese do? Exactly...the same thing they have already done in 2008 and 2009. Buying...whereas our european and other colleagues were reducing their stocks probably with the aim to re-buy everything to a higher price.

You remember AIM Resources ? I do. I also remember the care and maintenance period and we have also survived this part of the story. Do we have a chance that the story will repeat? Yes...of course...everything possible but looking at the fundamentals I do not think so.

What happens when the Zinc and Copperprice would fall? Well...it easy to figure out that some mature zinc mines will just close (accelerated closing of some mines) and the supply will be reduced, the zinc price would stabilisize on a lower level and in the next run everybody would desperately look for "undervalued" zinc operations around the world. The same story as always.

Copper? Similar story and maybe in a few years lack of new and interesting projects. Would then somebody maybe be interested in something like Kitumba? Ready to go the last step towards production? Make a guess.

Okay. To make it short and crispy: I am convinced that the current SP level is a bargain. Period.

Do I believe that the SP could fall further? I have no clue.

Do I believen that Scott is bull.sh.itting us? Absolutely not.

Do I believe that Glencore is playing dirty here and that Perkoa is somekind of castle in the air? Absolute not.

Do I believe that Kitumba is some kind of day dream? No...I do not.

We all know that a lot of good news might come down the road in the next weeks, months...and we also know that everything can change very fast.

After almost 30 years in this industry I am sometimes really tired to see people buying high, selling low and buying high again. If you really want to make money then you have to believe in a story and then be really committed to it. A contrarian view sometimes helps (see Warren Buffet).