lynas admits further output trouble, page-2

Wow, a different spin on a positive operating announcement. Why am I not surprised? I take Mr. Terry with a grain of salt. Always has been pessimistic on Lynas, missing the larger picture.

Oct 11, 2012
Lynas Slumps After Court Ruling Delays Output: Sydney Mover
“Lynas will need additional funds to get it through to first cash flows,” estimated in March, Deutsche Bank analysts led by Chris Terry said yesterday in a report. The company may need to raise A$40 million in equity to meet a shortfall of about A$80 million, said the analysts. They also lowered the 12- month price target on the stock to 65 cents from 82 cents.

October 15, 2012
Lynas Corporation: The End of the Road?
“We believe Lynas will need additional funds to get it through to first cash flows given a likely three month minimum commissioning period,” said Deutsche Bank analyst Chris Terry in a note to clients. “We forecast that Lynas requires $120 million and, given a debt cap of a further $80m, we assume the remaining $40m is sourced through equity.”

December 11, 2012
Lynas Keeps Options Open for Malaysia Plant Waste
"Resolving the residue disposal is a risk down the track," said #analyst Chris Terry, adding that the company's priority in the coming months should be on getting the plant up and running and completing its first sales.

February 18, 2013
Mining Firm, Ex-Teacher Battle Over Rare Earths
The upshot: Lynas's outlook "is still very uncertain," said analyst Chris Terry.

July 18, 2013
Deutsche Bank downgrades Lynas
Deutsche analyst Chris Terry said Lynas and Colorado-based Molycorp expected to have 40,000 tonnes of annual capacity available by 2014, greatly increasing supply in a global market that was currently about 110,000 tonnes per annum. He said the 2011 prices had evaporated with global economic uncertainty, adding that current prices were the “new reality”.
“We believe Lynas is in a tough position with sales uncertainty and possible capital issues while it waits for a market recovery,” Terry said. He was concerned about Lynas’s ability to repay of one of its debt facilities and said there was a “risk that Lynas will need to restructure its balance sheet over the coming 12-24 months”.