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13:23
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Originally posted by Scarpa:
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This Ann answers some questions around current cashflow and where they are at. It also provides some information around Industry Experts and how their reports will be used in any upcoming documents, which is how I thought they would do it. It also clarifies what the Feb 2019 with the IE report was all about. It also appears they have been testing the blend, albeit it is not clear the extent of testing and how this is been used in the Offtake negotiations - certainly, understanding the blend to meet specifications are a key, but suspect the min ore of 1% Co an 2.5% Cu is aimed at ensuring that you can tweak the blend from the various supply sources to meet specifications at all times in the least cost method. The easiness of been able to do that in practice is the key, but suspect having ore feed capability greater than plant feed capability is designed to source product from those suppliers that makes achievement of the blend more easier.
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Just to touch on this point ScarpaWhen the market turns my view is the price of any tenements will increase, and opportunities to buy good acreage reduce, and certainly my view all along is WFE acting as akin to a Toll Processor or Contract Manufacturer only works if your .profitability is squeezed because if you seek too much profit then the resource owner will simply build their own facilities I think by having 7 different ore supply agreements WFE somewhat mitigates this risk a little. Individually it probably isn't cost effective for them to build their own facilities. If WFE were buying from a single buyer than I agree as there would be no leverage
