imo its alll about appearances when dealing / making business in India. IRL if they have the great relationship they say they have with HCL and others (i.e. receiving numerous offers to do business every month) will firstly imo be able to renegotiate successfully with HCL on Surda contract price and expansion and secondly will most likely be prefered candidate for other HCL mines.
HCL will do themselves no favours in allowing IRL and Surda to shutdown again. HCL needs the copper concentrate. Also in regards to Surda's performance they have successfully ramped it up to a point were the metal output is far greater than HCL were ever able to do. Profitability? I'm prepared to wait on that.
Also IRL is becoming more than Surda. "appearances when dealing / making business in India" is my point here. Build trust you make bridges, make bridges and business will come your way. IRL has reached out and now has a strategic relationship with Pebble Creek who have some damn good assets. Also IRL may make inroads in other aquisitions such as coal and iron ore.
Personally I wouldnt write them off just yet with Surda or any other business they are doing. They are capable imo.
There is huge over hang from the damage MK has done. He has wrecked the markets confidence in IRL. Also the remaining directors havent helped there cause as imo they allowed the DH to rampage like a wild elephant in a glass works.
There arent many companies who meet their targets, especially in a foriegn land with a foreign workforce who need to be modernised.
yes Im pissed off with IRL sp and even the directors but imo IRL has value not yet realised - its potential value, a gamble and a wait and see.
IRL Price at posting:
4.6¢ Sentiment: Buy Disclosure: Held
