The streaming finance is a $22 million 'LOC' based on contracted sales. There's the CR brigade headed off at the pass. Of course this is all only about Ross.
Karoo will need a quid or two spent on it, but forward contrtacted revenue approaching half a $billion looks pretty sexy on the resume does it not. I expect a highly circumspect approach to funding it, based on identical forward-contracting methodology as Ross.
Another base covered at face value it would appear. Gotta be looking tasty by now for a US punt methinks.
Can't think of a single U minor (in the universe), that has forward sales to this level, and no high-cost inventory to liquidate first. As previously stated. We could just close the gate and flog $29-$33 spot material into $56 contracts all day long. Not saying they would...but they could. Show me another U-operator in this position.
And watch out for that Chinese checkbook. They've gone through Africa like a dose of Kinshasa clap.
PEN Price at posting:
86.0¢ Sentiment: Buy Disclosure: Held
