Its been a while since I last looked at IBG! Interesting market capitalization of only circa $29m. Although it potentially is a world class resource this means high capital costs. From last update capital costs of $469m with a lot of cost exclusions. You don't rush big projects so expect long waits with a low stagnant share price. However these type of situations do present opportunities to trade price large price fluctuations when a seller wants to get out. Yes I do believe we are in a commodities super cycle but I cant see Zinc and lead prices coming close to 2007 prices. Zinc is tied to steel production and paint production as well. Will China slow down its construction spend? Would have been nice to see loose NPV and IRR figures from management. Definitely more capital raisings in the future but at what price?
IBG Price at posting:
7.8¢ Sentiment: None Disclosure: Not Held
