Ooooookay, so that other thread became pretty dilapidated... jeez.
Im not going to bore everyone with a "war and peace" style monologue of things (actually, I meant entertain
)... but just a few things :
1) This company has a primary focus on base metals (Zinc in particular). This has always been the case. Read the presentations.
Admiral Bay is the company's major play. Admiral Bay is an absolute monster of a resource and although it's deep, it has been shown to be technically feasible with an enormous ROI, now with lower upfront costs and sped up payback (courtesy of targetting the high grade zone first). Include the fact that directional drilling methodology planned for use will greatly reduce costs/timeframes for post PFS studies going forward..... It's fair to say that it's all been incredibly positive and heading in the right direction.
We've been reading/hearing for years that AB is too deep and zinc wont ever enter a bull market etc etc ..... Now we are post successful SS and PFS(stage 1), with a multi-billion $ entity taking a huge interest ..... in a bull market.
2) Although it'd be nice to see this stock fly like some of the other juniors (some seem to double their MC on nearology alone, regardless of the company's cash/management), this is a long term stock. Matt and the team are working towards putting the company on the map in a big way, not having the company end up as a "one pump chump".
I have to admit, the impatience of some is truly astounding (I wont deny that I get impatient too sometimes....... t'is human nature to seek that glorious instant gratification.... like those 5 minute abs).
There are plenty of other spec stocks of which, as a shorter term trader, you can ride the pump and make quick $ before they get dumped heavily and possibly even have issues raising capital..... but did I mention that MCT is a long term stock ?
Management are always looking to add value to the company and have done so with very good potential lithium and cobalt tenements IMO. They've added a brilliant possible nearer term, high grade and shallow producer in the Napier Range to our zinc portfolio and indicated that they'll be aiming to progress it synergistically with Admiral Bay. IMO, the Lennard Shelf project as a whole is a very exciting acquisition.
People also need to understand that first pass drilling RARELY comes up with something special. Exploration is a process and it takes time (again, long term investment). Sometimes you get lucky, but more often than not, the work needs to be put in.
Although it appears more work needs to be done on our lithium prospects (still plenty of good land to be drilled), I'm quite bullish on the company's cobalt prospects as per the recent ann/ info on hand. Management seem very positive too.
3) Look up the history of the company and the methods they've used to raise cash. They're not a typical "ASX speccy special" whereby they acquire, CR/dilute, move slowly whilst draining funds through admin fees then rinse and repeat as necessary.
They've made strategic placements and involved some very big players in the commodity industry (many are still holders, even the Kagara liquidators). The current share base is also VERY reasonable for the stage the company is at. I reckon they could have easily raised the $10M last SPP and diluted us at lower levels to complete the PFS stage 2...... but they're seeking other avenues and aiming to use the leverage of the resource.
4) I try to get in touch with every management team (usually MD's) of the companies I invest in. I can say in absolute honesty that Matt and his team are probably one of the best and hardest working management mob I've ever witnessed.
They do ALOT behind the scenes, they put in the work and have a great and varied expertise/skill-set on board.
If you've ever asked them about their itinerary when they travel to give presentations/meet with investors,brokers etc...... it's phenomenal. Their work ethic truly is second to none IMO.
They're consistently ticking boxes whilst exploring avenues to give the company maximum exposure and drive shareholder value.
They also have skin in the game and even bought on market not that long ago.
Personally, Im very happy with the direction the company is heading.
So, It appears I still managed to give a "war and peace" spiel..... but i'll summarise :
This really isn't a great stock for daytraders IMO.... this is more of a stock for longer term investors who want a company with an impressive zinc portfolio and intent on producing, whilst having possible upside in the lithium/cobalt sectors (and a few others too).
Many will agree that the MC is very undervalued at these levels, thus representing another great buying opportunity ..
I'd encourage you to read the Beer and Co report that was released a couple of months ago, if you haven't already or are a new investor :
http://www.metalicity.com.au/sites/metalicity.com.au/files/files/Metalicity_2017August02.pdf
For the record, I think it's pretty ludicrous to hammer management when its really just one's own impatience in many circumstances.
It's also worth giving Matt a call if you have any queries, rather than sort through HC posts and take any subjective views as gospel (mine included). I've found that he's always more than happy to give his time.
Always DYOR as these are my subjective views, combined with some great facts ;p.
Im excited to see what this quarter and 2018 bring for the company.
Cheyne
(20min delay)
