Blame Game, page-9

PAN is still producing and no change in guidance
Shipments still ongoing as from what I can see.
Trafigura contract is for 5 years so if they breach that then the loan is also breached, lose lose.
I doubt they will cease supply or stop loan payments to Trafigura as that would be an act of insolvency so no option but to carry on and cut costs and seek Trafigura or IGO/AF to take shares.

Market already told us with the SP dump from 17c to 10c then that lowball 5.0c CR then down to 3.5c that it was loss producing and would be shuttered unless bid for.
Its value is 5-15 multiples higher based on WSA MCR takeover valuations plus a large built MILL.

The irony is that only the last few months have costs been slashed to profitable levels yet the NP has dropped right on the hammer at the same time from 11 to 7.
DFS needed a NP of 8.00 and its below that but marginal profit now.

Still BHP WSA IGO/Nova Glencore/MM all kept producing when NP was at 4.00 in 2016-2018 so why shutter it now? If the NP stays low which i doubt maybe good reason but seems like a panic set in as NP went below the DFS figure.

Loss producing temporarily is better than shuttering and then having to restart and losing $100M on all that with new staff etc.
Victor could just find a way to cut costs as they have at BHP IGO/WSA Glencore and Wyloo/MCR

This knee jerk reaction as to the NP drop is unwarranted unless they think this might stay like this for a while which I doubt.

If I was IGO, AF or even Gina I would be rubbing my hands in glee at this cheap valuation & massive mill which would cost them $900M to build themselves taking 4 years all at a paltry $100M currently on market.

I think a corporate deal is incoming.