Many holders of both companies, judging by recent posts on both threads, assume that the Converter is profitable. It is my opinion that for this to be true it would be the only profitable independent converter currently operating. Doubtful. A40 holders are posting highlights of that converter's performance without any reference to the financials and suggesting it is doing great. Doubtful It would appear that there are bargains to be had, however don't underestimate the costs involved in nursing potential acquisitions through the current climate. An interest in a converter will do more in the short to medium term in regards to supply chain surety than operating margins. In the medium term GXY needs to be out of the independent mining operation and become an integrated Li Chemicals producer. Whether this happens through acquisition of a converter as suggested during the AGM or development of SDV is the strategic question going forward. Fortunately GXY is cashed up in a market full of distressed operators. AIMHO
GXY Price at posting:
$1.14 Sentiment: Buy Disclosure: Held
