At this point I wouldn’t be surprised to see another pivot in...

At this point I wouldn’t be surprised to see another pivot in strategy.

I don’t think a slow ramp-up of production is viable at all in the current environment as for one, they would have a terrible interest coverage ratio initially, and two, the time taken to self-fund our final PRM production plant will probably take us close to 2040.

They are supposedly very confident in signing up the remaining KCM output, and credit to them if they follow through and pull it off, but I suspect they may be just throwing out this line whilst they explore their options.

I wonder if it would be possible to discard the KCM idea and instead go straight to producing CRM/PRM. Potentially a plant could be scaled up in the same way as our KCM plant but it may be easier to lock in BOAs for these products. Noting that we already have quite a large PRM BOA signed already.

This would bring forward the higher value product sales and hence revenue which could make our economics stack up better. The downside is higher initial CAPEX but if additional BOAs are signed for CRM/PRM it may be a more attractive opportunity than present.

May be off here, but just my musings.