Ann: PFS confirms Wingellina as a Tier 1 Nickel-Cobalt Project, page-19

That's funny i revisited this Co last night and was wondering when this might come out.

It's what everyone thought, the numbers and ratios are good there's no doubt it could be a great project.

They need a unicorn for funding though:

• Capex for other Nickel laterite deposits with existing infrastructure is a fair bit lower
• It doesn't have first quartile productions costs, if you commit to a multi generation asset and spend 3 billion you want lowest quartile costs unless it has some other saving grace special attribute, in majors eyes its unacceptable risk to build a project that could be not making money while their competitors do if commodity prices slump.

When you consider how low the amount of Nickel capex spend globally and see how intensely it is projects have to compete for capital these things make all the difference.


All that being said i can see the appeal in holding from a risk to reward point of view.