Good News & Bad News, page-1186

After due consideration I jumped back in today for 1m units @33.5. I am hoping to increase my exposure over the coming weeks. The positives imo outweigh the negatives…cash is king and there is enough now to see us into clear sky..whilst we burn some cash over the next quarter we are given time to improve recoveries and generally improve product quality…CATL doesn’t get involved unless they see a good deal ahead..I HOPE KB starts to cut costs as quickly as possible, get any fat out of the system, stop showing photos of lizards and Pilbara sunsets on instagram but rather sweat running off the brow of scientists in the lab…KB has his heart and reputation tied to the success of PLS and for me the concern he shows is genuine and from a decent person who wants to get it right…imo the Chinese converters have had over 9 months to modify plant and their processes generally so I accept KB’s comments that stockpiles at Chinese converters will soon reduce and overall demand for concentrate down the line will increase, this I also accept will happen in the Dec qtr…Imo the Chinese government will stimulate their economy shortly as they are feeling pain and fear social unrest out of Hong Kong may lead to mainland social discontent…therefore all resource stock SPs will pick up accordingly….IMo opinion we will see a significant fall off in shorting the company after the instos take advantage of their CR placements to cover….the investment in PLS is still a punt because the Pilbara is an iron ore region, as opposed to Greenbush, and we need to get the Fe content down to acceptable limits to move forward and at an opex level that makes us better than competitive….All those retail shareholders who take up their entitlement (not me as I held zero) look like making an instant 15% gain due to strong support over the last couple of days… The T20 is strengthened with the addition of CATL making opportunistic TO at this level improbable..My investment at 33.5 cents is based on the above and down at this end of the ASX you can’t have everything….there is a high probability we will do ok from here.