While I see the production downtime affecting cashflow, it appears to be short term pain for long term gain (ie. time to enable tweaking of the process / maintenance) ......
.... This section did raise my eyebrows though for a couple of reasons:
Partnering Process Update
As previously announced, Pilbara Minerals expects to be able to provide an update and a potential outcome from the partnering process (subject to a satisfactory outcome being agreed) in the September 2019 quarter.
Parties participating in the process are continuing with due diligence and have also expressed interest in securing available offtake from Pilgangoora’s Stage 1 and 2 production, in addition to the proposed Stage 3 production.
1. We were told this in the original Partnering Process Announcement :
Pilbara Minerals does not intend to provide any further updates until the conclusion of the partnering process.
.... and yet we got a whole section in the announcement on this topic ? That rhetoric appears to have changed ?
2. Offtake is now available from Stages 1 and 2, which were originally sold out ?
Sure as some have said we are entitled to sell this product to others if some are unable to take their quota at this time, however the statement "securing available offtake from Pilgangoora’s Stage 1 and 2 production" suggests to me that the situation isn't one of a temporary nature and that they are looking to replace one or more of the current companies ?
Who knows ... bring on the partnership announcement to ensure $ and stability I say .... GLTAH
PLS Price at posting:
60.5¢ Sentiment: Hold Disclosure: Held
(20min delay)