Toro is an interesting stock.Like most juniors, it's difficulty...

Toro is an interesting stock.

Like most juniors, it's difficulty will be funding to get it's product to market. Since the GFC, funding is just that little bit more difficult. HGO took a long time to get it's funding (for copper - the base metal of the moment) and the bankers took them to the cleaners.

One option is for OZL to provide funding. It has the bal sheet strength and spare cash. Whether it is a loan or a JV, don't know. Whether OZL thinks it would be a good move is also problematic. In my simple spreadsheet, the NPV on the Wiluna project is not great. (My data could be wrong on this one though.)

I think any more share dilution would not be a good move.

IMO, the stock is a bit of a gamble currently. Until funding is known and the impact of that funding on the company is known, the sp could go either way.

In answer to your question, IMO, Toro will not be a major supplier for the forseeable future. Why? BHP's O Dam is a major supplier, Paladin is a major supplier. OZL bought Carrapateena that has more U in it as a by product to the copper than Toro's U mine has. When another mine has more u as a by product, you know that you are not a major supplier.

HT1