As a LT SH my take on the 1/2 yearly is that it is extreamly underwhelming to say the least. The simple facts that they sneak this through after market on a Friday and the ridiculous quartly production updates does not convey confidence in that things are going well. If they are kicking goals why are they not screaming it from the roof.
Just looking at the half yearly they are still fluffing over the main concerns and that to me is how much they can produce, is the plant working as expected? The way I read the report is we sold 15000t for the year and only had 1000t approx left as inventory at the end of year but we reached name plate early in the last quarter. I know there was the monsoon to deal with but I could not find any significant rainfall in Kurnool after the middle of October leaving 10 weeks of dry weather to only have 1000t of inventory at end of quarter is to me below par. Why are we never given production figures?
Xinhai have nearly been involved for a year and are still testing. This is not new technology!!, i thought we would of had some joy out of this relationship by now but still we wait.
We got the usual cut and past of " steel mill is progressing" with no new details.
I am prepared to give them the benefit of the doubt but this quarterly at end of april is crucial to my continual faith in NSL. We apparently finished the last quarter at 80% capacity heading towards 100% but I'm not greedy and happy with a consistent 80% so we should produce approx 40000t of product and we have a customer in Minera wanting 15000t a month we are continual told so there should be no problems in selling it so this first quarter result is very interesting to how things are traveling.
Time wii tell
NSL Price at posting:
1.7¢ Sentiment: Hold Disclosure: Held
