Hi Waiken, Definately agree with your sentiments , a much better...

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bluesamurai

8,724 Posts.

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17/01/20

11:00

Post #: 42430547
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Originally posted by waiken: ↑

Hi Robbo
I see this as a ten bagger for 2020. We are in much better shape than in 2017.
I have posted on other BPL threads re rare earths. La Paz is a big partially explored resource which was abandoned in another economic universe. Trump and Co have said the USA needs to be independent in rare earths. Billions will be thrown at decoupling from China who has a stranglehold on the rare earths vital to defence and many hi tech products. Articles out of the USA show the defence Dept is taking a lead. The economics of total vertical production from mine to magnets will only be considered once the USA is safe. Even then subsidies and direct funding to mines may continue until China is forced to remove their own subsidies and total disregard of environmental issues re rare earth production. The market hasn't yet grasped that classical economics wont apply to USA rare earth production for some years so its a lolly scramble where the first movers will reap huge rewards.
The BPL Sep 2019 quarterly states - 'Demonstrates the potential to be the largest rare earth project in North America.' This statement excites me for two reasons. One - It must be factual as the board are too experienced to issue a naked spruik. Secondly it demonstrates BPLs capacity to sell themselves boldly and courageously. That spirit was evident in the battle with COB. Salesmanship is everything in the USA. BPL has also mentioned a name change to American Rare Earths. That is an inspired bit of marketing when operating in a place where patriotism rules and there are billions of dollars in the hands of punters.

Also the market has totally discounted the investment in COB as you have mentioned Robbo, not just the upcoming 6m cashflow but the royalty stream.

Also the market has placed no value on the substantial holdings in the Murray Basin of many metals including the possibility of much more cobalt.

Once the rights are gone a lot of indecision will be lifted as the dual pricing always confounds investors.

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Hi Waiken, Definately agree with your sentiments , a much better year ahead full of surprises , BPL is unique , holding a range of the most critical metal commodities at a time of great strategic importance as the landscape of the world’s business & defence capabilities are being evaluated by the US & Australian governments into the future IMO

ARR Price at posting: 1.6¢ Sentiment: Buy Disclosure: Held
5 Upvote

0 Great analysis

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