1. Your $100m burn per qtr includes all funded construction works which are budgeted for out side of the Lynas cash on hand. Closer to $50 m per qtr than $100. Cap raising has given them sufficient funds for all of 2013. If they go past that date before income then we all have a lot more to think about than cash raising.
2. MK have bought in and the conditions have been adhered to by Lynas. Mt Kellet discussed with Lynas whether a possible rest event was possible if the TOL was deferred due to the Kuantan residents court case at that time. This did not eventuate so no drama, move on (i did post the context of the Lynas reply to my email on this subject at the time when this was relevant)back.
3. They are a lot less ignornat than they were 12 months ago that is for certain BFM. I do not think they will ever treat anyone with the disdain they did last year again.
The "repected institut came up with" that essentially sums that up BFM.
The Oeko-Institut report was commissioned and paid for by the Save Malaysia Stop Lynas (SMSL) organisation. Lynas was not contacted by the Oeko-Institut during the preparation of its report, nor did any of its researchers request information or permission to visit the Lynas Advanced Materials Plant (LAMP) for inspection. Lynas was not afforded an opportunity to review the report prior to its release.
A thorough and diligent process was undertaken by all relevant authorities prior to the issuance of the TOL, in accordance with all applicable regulatory requirements. The Malaysian Department of Environment, the International Atomic Energy Agency, the Malaysian Atomic Energy Licensing Board, the Minister of Science, Technology and Innovation and a Parliamentary Select Committee have all scrutinised various aspects of Lynas’ plant and Lynas’ compliance with the required domestic and international standards, and all have found in favour of Lynas. Importantly, all of these reviews were independent and none were commissioned by Lynas.
So, this report will get possibly a little more traction than the NTN one but not much imo. The SMSl commissioned this report for two reasons in my opinion, 1 they were told to find scientific eveidence if they want any further consideration to their arguments in court. Sadly for SMSL, this isn't scientific, it is supposition (and i believe i am being kind with that opinion) and secondly so they have something to protect them in the courts when the defamation case is heard. Good luck with that SMSL.
4. Well clearly commercial in confidence is at play here. You will get no joy there BFM. My response from Lynas on that subject was
"No contracts have been cancelled. Contract terms with our customers are, and will remain, commercial in confidence"
yeah there is an election due but the chances of BN going out are next to none. SMSL themselves are open in admitting they are just hoping to win seats in there area.
You did leave out a key concern of mine in your post BFM, which is why so little news on production progress? I am sure if Lynas had some good news they would have said something. Their wording from their previous announcement of "production" to "production samples" yesterday which concerns me somewhat.
Have they had a slow down or has a new condition has been set by customers? That or Lynas missed a point in the contract negotiations where they had to provide samples before firm orders submitted? Who knows. Not a lot of clarity on that but i would rather postulate on production supply than some of the old stuff above.
GLTA
If these four points are clear and BN is reelected in the secound Q of 2013 we can have a brilliant FY2014. Directors would have every reason to buy just as everybody else.
LYC Price at posting:
64.5¢ Sentiment: Hold Disclosure: Held
(20min delay)