I just wanted to create a new thread to discuss any information that could contribute to MGU's growth potential, especially as we are approaching more and more studies being released from the company.
As a reiteration to any new investors, Rodney Hooper released an independent report in June 2021 of a hypothetical production scenario for MGU (search on Google "Rodney Hooper Magnum: Company Overview LinkedIn"), it is an interesting read and gives a solid summary of the company's production intentions (obviously the $$ amounts for prices and costs have changed considerably so play around with them if you want).
I personally am also quite new to MGU (~2 months) however after some research I noticed that the company is quite interesting from an operational standpoint, as it has the flexibility of going through a multi-staged expansion starting from a low capex DSO operation to DRI concentrate and eventually Pig iron in a way that could quite realistically maintain full ownership and reasonable stock dilution (unless the economy truly craps itself).
On the flip side, recent events show management is reallllly pushing for DRI optimization (shallow drilling samples and stockpile drilling for early DRI, flowsheet cost cutting, etc). Also, my interpretation of the July 14 announcement was that the 500,000tpa was meant to be the 68% DRI concentrate for the scoping study, not DSO, so management interestingly increased it to a more specific 1.6mpta operation (I could be wrong and it is for DSO?).
Also, the push for a NASDAQ dual-listing to increase company liquidity and credit accessibility, and financier discussions in the US seem to show that there is plenty going on behind the scenes to suggest management is confident in securing any necessary financing within a reasonable timeframe.
To speculate, I wouldn't be surprised if some entity takes a % of the company in order to keep reasonable dilution in order to catapult us to DRI production and pig iron production asap.
Anyways this is just some Friday night rambling and I am looking forward to more company news. Have a good weekend and GLTAH
not financial advice, DYOR
Turul
(20min delay)