Not great. But not that surprising really. The global outlook...

Not great. But not that surprising really. The global outlook has gone down hill at breakneck speeds and levers that can be pulled to improve the situation are not being pulled.

I had hoped HIO would be protected by being a potential supplier for the green steel sector. And it appears from many news items about steel producers investing billions into green steel production that this industry will still grow substantially...And they will require high grade IO.

But the pull down is now so extreme that hardly anything will escape in the short to mid-term.

So yes HIO should raise some cash, continue with the BFS in a more thorough and cost-effective manor, and make every attempt to keep the capex in check. They should also make sure to have enough cash to be able to get by for a reasonable period in case the storm last longer then expected.

Then when inevitably the world's economy starts to improve (could be months, could be years) and those billions invested in green steel production actually start to translate in higher demand HIO will be in prime position. The fundamental for high grade IO are still very good and HIO has one of the best projects (The best IMO) out there so will be first in line. And in those conditions, it might be much easier and less dilutive to raise the capital needed. In the long run that is a better option then just trying to row upstream against an ever-increasing flow.

But the short term might be painful. The again I think this has already been somewhat priced in, as said this isn't that surprising.