As expected, the company's interest has been pricked by the news...

As expected, the company's interest has been pricked by the news of the Cameroon Government taking over financing and development of the transport infrastructure passing Badondo.

JW was always of the opinion that the transport infrastructure needed to be consolidated more towards group usage rather than SDL carrying the load.

Interesting times with $37m in the bank. EQX expects about $500k of expenditure in the September quarter, but will receive another $350k interest as well, leaving net expenditure of only $150k for the 3 months.

This is further proof that the company isn't going to have any issues staying afloat while IO remains depressed.

IMO it'll be a few years at least before IO demand catches up to supply, leaving prices depressed. I wouldn't expect much action on Badondo over the next 12 months while everyone sees if this Cameroon/Chinese SOE partnership actually looks as though it'll develop the infrastructure near Badondo.

EQX is well positioned to capitalize on any positive news though, a maiden JORC of 200mt+ DSO and access to port/rail sounds positive, depends on macro issues too though.

Patience needed on this one.

Cheers!