IMO these metals are only starting to react to the new uses in batteries and EVs. Likewise with cobalt that for Cassini will be an extremely important by-product as the price races higher.
Both nickel and copper can change from oversupply and low prices to undersupply and high prices very quickly. I personally have a plan to kill of the largest cost being Transport, as the tyranny of distance is what has held this deposit back from being developed in the past.
Cheap onsite electricity will kill that distance problem. We can easily save 20-50% on energy prices over the long term at virtually no cost to the company, something I need to have a long talk to Richard about.
If you can destroy costs then this is viable at yesterdays prices, very profitable at today;s prices and wildly profitable at future higher prices. It will just take a bit of organising, like everything else.
Just because OzMinerals have Carapateena as the next project NOW, does not mean that they wont change their minds as circumstances change. Nebo Babel and Succoth are mineable from surface, while Carapateena is DEEP underground!!
If cost and price parameters change, or should I say as they change, we could easily become on the top of the heap of projects to develop.
I personally could easily push the SP down to below the 4.5c price of the cap raise to make people panic and sell, where I could then stand in as a buyer and pick up the cheap shares, but that would mean giving up the position I have that has taken so long to build up, and could backfire with other large buyers, so I wont be doing that.
Could this be a Disallowed from here? IMO easily in a relatively short time. Could this be a 100 bagger from here?? IMO possible, but a lot needs to go right for that to happen, but yes the MC of the company based on existing resources could go to some amazing highs with just 275M shares.
Current MC with new shares at 6c/sh = $16.5M cheap as chips with distance resolved. At 60c = $165M prices do not need to change much for Ni,Cu and Co to be worth that.
At $6/sh = MC $1,650M, yes a lot needs to go right including a producing mine without much dilution, so much harder to get to, but possible with nearly free energy, and very cheap battery solutions that are getting cheaper all the time.
I can get the cash needed for solar to crash daytime energy prices with small battery backup, for odd clouds. Wind is wrong option for a couple of reasons. I will have a long sit down conversation with Richard and work out details for scoping study. If/when you kill the energy cost, the value of the deposit goes through the roof!!
All IMO.
CZI Price at posting:
5.7¢ Sentiment: Buy Disclosure: Held
