Not many analysts covering WSA of late have been particularly bullish on the long term nickel price and is weighing on their valuations of WSA. SIR has used a long term consensus nickel price assumption of US$10/lb (presumably from 2016)and a 0.90 exchange rate in its Scoping Study released yesterday (they also refer to a Wood Mackenzie price assumption of $13/lb). Now that there are some more tangible numbers in the market for SIR it would be great to see a comparative analysis done on these two companies to provide better visibility on the quality of WSA's assets and leverage it has to the nickel price. With such a disparity in nickel assumptions, my fear is that WSA will remain overshadowed by SIR which shouldn't be the case.
WSA Price at posting:
$3.05 Sentiment: None Disclosure: Held