Interesting AFR piece on ORE that the company just shared via email.
TBH, I am lukewarm about ORE sharing articles like this as it looks a bit "small time" and it opens you up to claims of inconsistency when you don't also share negative press.
Anyway ... the most interesting thing to me in it was the public support for the company from AustralianSuper - comments pasted below.
Gut feeling only, but I think under the new CEO the under-promise over-deliver approach is being bedded in and will eventually result in a stronger share price.
''We invested in that asset because it makes money even at the bottom of the cycle in lithium prices,'' said AustralianSuper's small caps portfolio manager Luke Smith, when asked why the nation's biggest pension fund had chosen Orocobre as one of its two exposures in the lithium sector, along with Piedmont Lithium.There are some structural headwinds that face the spodumene concentrates market, including meaningful oversupply and weak chemical pricing.— Reg Spencer, Canaccord Genuity analystSmith's team first visited Olaroz in 2013, and invested in the company in 2015.Aside from its low production costs, Smith says his team likes Orocobre's strong links with Japanese customers and lenders. Those links are currently being deepened with construction of a lithium hydroxide processing facility in the Japanese province of Fukushima.''We like it, (Olaroz) is a good strategic asset, it has got a very good strategic partner in Toyota Tsusho, it has Japanese government debt guaranteed, the cost of debt is very low and it is an asset that will be here for multiple decades," said Smith.
ORE Price at posting:
$2.74 Sentiment: Buy Disclosure: Held
