KPO 33.3% 0.4¢ kalina power limited

the only issues with this stock are the timeframes for the EPC...

  1. 1,429 Posts.
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    the only issues with this stock are the timeframes for the EPC sector!
    - We have the absolute cream in terms of BOD
    - The investor in Akira/Grafton are really well credentialed and because the are mid tier, the size of the opportunity to them is very meaningful so they are heavily motivated to do whatever is required to make it work.
    - The numbers on the project are supposed to be great giving double digit returns.
    - The broader landscape is very favourable because of the retirement of the coal assets in the region (this has bi-partisan support) so this energy is required.

    So my conclusion is this is going to be a company making project. It is piece one of the jigsaw that demonstrates what we have and we will quickly see subsequent projects (probably before this one even starts), that will identify this is our Ormat moment. what is their MC again???

    But, as outlined at the start, the EPC sector requires so much patience because big $$ investments require a lot of due diligence and time. @BrayWyatt i do think that we see plenty in the next 18 months whilst we are waiting for the first build to start. There are a lot of activities in the preparatory phase of the project scheduling that will see big $$ spent, permits granted, funds coming back to KPO that will make this all very real.

    I can't help but think that anyone buying in the 2s is going to be very very pleased with their investment sooner rather than later.

    ps IMO there is no way there will be a low ball capital raise. I think the company has multiple options to get access to the working capital they need. One obvious one to me is placing some in the hands of a strategic investor such as Grafton/Akira which will be a most excellent sign of things to come.
 
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