EQN has been knocked down hard this morning.. down 4% while others in industry are only down 1-2%. Might be a case of the way this stock usually trades... down hard on the open then moves up through the day. But I think some big boys are trying to force this down so that they can top up before the UFS is released next week.
I have loaded up big time in last couple days... much harder than I usually go at something, in expectation of something big from the UFS, plus something positive about tax rates. Might not have quite got timing right but don't think it will matter next week.
I think it is clear from the fact that the Zambian Government has decided to issue Uranium Licences in June that Equinox has been in discussions with them about the UFS. They would have shown them the benefits that will flow to Zambia from the UFS, and obviously the Zambian governments eye's say $$$$ and have come out and approved the issue of licences.
Also the main reason I am backing the retention of EQN's tax stability program is because EQN would have used the UFS as leverage to ensure that prior agreements were met. From all accounts EQN is a very responsible corporate citizen in Zambia and I am sure that the government isn't that short sighted not to see that working with EQN, and encouraging further investment is much more beneficial for them in the long run than sticking the hand in and taking as much $$$ as possible.
Should be a good week next week!
Add to My Watchlist
What is My Watchlist?
