HP, I like the company geological assets and management.The first issue with all coal juniours is access to infrastructure ie rail and port. The second, especially given the credit crunch and dwindling share prices of these companies is how do you pay for development of the mine or for your slice of the rail and port. Prior to this current crisis you may have been able to do a cap raising to underpin these costs but not at current sp. There is also the choice of JV partners for projects but given the large cost of development potential JVers have great difficulty convincing their board of investing say $200m to get 50% say of a project when the market cap of the juniour might only be $50m. Its tough times for raising $s but I have always been of the opinion that good geol/minable deposits will see it through, just a long haul. My analysis only.
SMR Price at posting:
46.5¢ Sentiment: None Disclosure: Not Held
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