Bouncing, page-18

@stja Rather than assumptions about UBS' motivations would you like to add some analysis/comments on their valuation, assumptions etc. Personally I hold, but thought the report was interesting and not that far off the mark. However I also have a view that the long term nickel price will rise more than the estimates used in UBS' report as the price is notoriously volatile and have a belief set that there is more upside risk to downside risk. As such when running reasonable assumptions about production/sales volumes, OPEX and sustaining/development CAPEX necessary to deliver production I have taken a view on risk reward when investing at the current price. For the same reason I have a view (perhaps just hope) the unsubstantiated projects will be value accretive beyond what the market might imply is currently priced in. What I don't doubt is that if the Nickel price remains where it is for more than a year or so then the current investment thesis is poor, the shorts would likely win over the longs and the value UBS state is probably not that unreasonable and one should have a stop loss to deal with that possibility.