"We may yet see more high quality down-ramping opportunities as it all plays out."... Hey @VinceS2, please help me understand what you mean by this statement?
Since before the 18c CR TH you have been very bullish on the quality team fixing their production problems (ie the old team, long time before the new team) and what a buying opportunity STA presented all the way down since the CR. "Downramping" as I understand the term on HC, means sowing unreasonable and unsubstantiated fear and doubts to suck in people to sell, dissuade buyers all with the desired effect of pushing the share price well below fair value...
Who and where has this stock been downramped, when the share price basically fell in a straight line over 12 months before being suspended at 9c? I mean, wasn't every poster warning of risk and failure spot on, and every decision to sell not buy demonstrably correct?
HC is a discussion for stock investment right, not for company employment or potential clients looking for their next lucrative contract... so must you expecting not just STA shares to relist, but to re-list and rise to say 18c whereby the last CR investors and maybe the average long term investor might "at least getting to a break-even outcome"? (I'm assuming even you don;t think those buying on the way down from 50's are ever getting to breakeven?)
I might be overly pessimistic on the chance of Coburn becoming operationally cash-flow positive, but the maths of compounding interest on rising debt and elevating risks of equity wipeout to support creditors required support it trying to save their investment just makes STA shares becoming worthless that much more likely regardless of whether they sort out enough of the laundry problems list to make cash margins...
"Effective operation of the MCS (what, not the MSP as well?) and achieving forecast / required margins is their focus. Iron and clay content in the ore is the main issue (red sands, yellow is fine), and regular rocky outcrops exacerbate it. I am told this is all commonly known and not regarded as confidential at any level."... honestly, I don;t remember ever reading that iron staining was a product quality issue risk, or that regular rocky outcrops were exacerbating the MCS preformance? Certainly not in the DFS... so could you please link the ASX release that made these situations known?
Thanks in advance, cheers
STA Price at posting:
9.5¢ Sentiment: None Disclosure: Held
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