clear winner for worst share on asx

I became aware of this company when friends on the West Coast of Tasmania mentioned that the Renison Tin mine was scheduled to reopen again, and they expressed the view that that the particular company involved had earned itself such a poor reputation that it would be difficult to recruit workers.

When I posted this on the site I was greeted with abuse and some pretty wild claims.

I was told that MLX has a substantial tin mine in QLD and to get on this company because tin was going up in price.

I looked up the last quarterly report. Some amazing facts about MLX Collingwood tin project became apparent.

1) Projected production cost $3500/tonne
2) Actual Production Cost $22960/tonne
3) Tin Price $16750/tonne.

WOW thats the most expensive tin thats ever been produced!

I was aware MLX had to close Renison down 2 years ago after only 6 months of production because they didnt achieve anywhere near estimated production costs.

MLX does have large nickel deposits near Wingallena in the most remote location in Australia- and probably the world. Anyone pinning hopes on these deposits being economic would need to subscribe to the theory that in 10-20 years time nickel will be more expenive than it is now.

Jinchuan have invested a modest sum to lock up this resource.

With around 20 large projects around the world in the same boat, a decision probably wont be made till towards the middle of the next decade- it will require a huge investment ($5 Billion?) and probably take 5-7 years to build. So it will be one of the last of the known deposits to be developed.

Given MLXs record of underperforming one would wonder whether the company will loose control of this project in the future. The answer probably lies in whether they can make a success of the Tasmanian tin operations.

Aside from the labour problems which may be unsurmountable, the type of project they are undertaking is slow to start up and difficult to achieve projected results. Nearby Intec is struggling with its project of reprocessing old tailings to extract zinc- it too looked good on paper.

With over 1.1 BILLION shares + options its difficult to undestand how this company isnt a 10c share. It only takes a whiff of nickel, no matter how remotely located or expensive and we get stupidity in the market!