I use mien mathematical physics formulaz to illustrate the universal power of gravity based on large bank debt and to hypothesize and examine discussion comparing Nova Deposit and POS =
well known facts - Nova's Sirius deposit is a wunderbar example to all WA Nickel mines and a great development with which to compare POS - it has no infrastructure, big debt soon of ~$500M [but may blowout to $1.5B], no open pit or underground mine operating or anywhere near operating (let alone 4 mines being 2 underground at silver swan, windarra and 2 open pit mines at cerberus and black swan), has no existing minie at this site (its a sandpit currently) and is stranded well away from a large town centre like kalgoorlie. It will be a fly in fly out workforce unlike at black swan for POS.
new facts = Sirius has no concentrator/processing plant which make $250M -$750M pa income from any mine anywhere, they will have to truck the ore to an offtake plant like at black swan, or build their own processer, they have no machinery, no buildings, no toilets, no roads, no mining infrastructure, no DFS, no local workforce, no underground mine, no water pumps even - all this POS now has or has had since 1969.
Some peasants say - but it is a "world class deposit", it has good grade, it is big, yes it make me fortune already when it went 5c to 50c then $2.50 then $5 then back to $2 then back up to $3.60 now. I think it go to mars soon once it gets new NASA rocket with big debt from generous US bondholders or friendly Australian bankers who helped many Perth businessmen since 1983. Bah Humbug
Poseidon mine done all this 3 times already, had biggest nickel mine in Australia in 1969, shares went 5c to $250 in 1969 before many of you born - forget $5 - and again 5c to $3 in 2000 and 2007, had and still has "world class deposit" mined by western mining (now BHP) for 20 years to only 500m below ground at windarra and now has ruskies black swan mines, massive infrastructure, 4 bunker site, ready local motivated workforce with anaconda nickel team on board plus 4 legends of WA mining - Robert Dennis, Twiggy "AF", Cathy of BHP & neil hutchinson.
"world class deposit" - heard all this before since 1969, infrastructure is the key as with all mines - if its stranded in outback with large debt to build it then it looks more like windarra in 1968 - at least POS has DFS, processing plant, 4 mine sites, very low debt.
POS is today 4 years ahead of the Nova Deposit - Must be good reason why Robert Dennis of Sirius and Cathy of BHP joined POS this year.
"Bankers falling over themselves to fund it:- bah humbug,
bankers help you when all good and pay bills, but when not so good when income lower and profits lower they put you in straightjacket and use you in the mine shaft to test power of gravity and move on you quicker than earth gravity at 9.8m per second, We shall see how friendly your "banker" friends are - like they were to other Perth entrepenuers since 1983 - maybe you will then see the power of gravity from the comfort of that straightjacket. Build with low debt and high cash is always better, large debt makes the banker your master and you his slave.
The power of gravity is free and very strong and will make anything that go up go down again unless it reaches escape velocity from earth gravity at 110mpersecond or at speed of light at 390,000 kmpersecond. The power to reach this velocity is beyond normal human comprehension or capacity to oppose it - many tried but failed.
Northern Star NST shows the way of how to beat the power of gravity by buying defunct working WA mines from desperate sellers at cheap prices just like POS has done with old ruskie soyuz rockets -tick - once escape velocity is achieved with low debt for the petrol cost for $50M not $500m- $1.5B using cheaper more powerful ruskie rockets then you can easily escape earths gravity. You need good pilot and ground control team who have and can fly it. All there for last 8 years already. tick
I concur that bankers should be falling over themselves to lend to a project with 4 world class NI deposits with $400M of existing infrastructure, 2nd largest NI processing plant in Australia, fully functional, with low debt, with AF as major shareholder, with ready mines, cheap ready local WA workforce and compelling DFS completed a year ago which was at a mere 50% of the resource and capacity that it has now,
Ja sorry, im not talking about the Nova project but the POS project
POS Price at posting:
16.5¢ Sentiment: Buy Disclosure: Held
(20min delay)