Hi HotCopper42, Thanks for the welcome. My comment concerning 50 years refers back to someone else's claim. I am surprised at that length of minelife and wonder where it came from.
Hi HT. Read the article. Couple of points. By 2016 current PH will be just about exhausted, and any extensions or other mines will mean that the C1 costs will rise perhaps making even OZL in danger.
Second. The article seems to imply that we are likely to see greater instability as a result of interventions in a normal supply and demand market for a consumable. These interventions take two forms. Directional ie Chinese Government (and possibly others) stockpiling and releasing copper as it sees fit. Financial in the form of investors buying up supplies of copper as an investment. These interventions may cause widely fluctuating price variations and make predictions of price both of copper and shares hard. May also make a liar of the theory that prices of copper will always be rising as demand in China and India picks up with the economy.
Throw in the restarting of large copper mines like Bouganvilleand start up of large mines like IAU appear to have, expansion of Olympic Dam and we may have some very interesting times in the future.
Mind you I don't expect many changes in the short term (< 1 year) but in the medium term (3 - 6 years). I expect the long term (10 + years)to be good for copper, but OZL need to find or buy more reserves.
Just some idle thoughts to pass the time.
OZL remains a very solid company likely to ride through all this instability, provided it stays out of debt and doesn't do stupid acquisitions. Thankfully the previous Board has departed and this Board appers more cautious
Regards
OZL Price at posting:
$17.00 Sentiment: Hold Disclosure: Held
