miner urges tennant creek-mt isa rail link , page-15

Though MAK does have multiple tenements it will not be a multifaceted producer for some time, if ever.

I think the point was that for BHP, if Nickel prices are low they close the nickel operation temporarily (eg Ravensthorpe) and continue to sell iron ore, aluminium, uranium, gold, copper, oil from the other operations that remain highly profitable. Then in a years time when, maybe, zinc price falls they suspend zinc operations and restart Nickel after price has risen etc.

MAK only have the resources to push in one direction so will be a single commodity producer (if they get that far) and would be unlikely to be a multi-commodity producer for at least 6-7 years (if at all) - that is unless they farm out one of their tenements to a major on a gate royalty only basis.

I was worried the SP would plumb these depths. Looking at the buy-sell spread which has remained at about 1.3M buy to 5M sell for weeks now contributing to the ongoing decline. I expected lots more buyers to have come in around this price level though given the large overhang I would not expect buyers to see any need to jump in just yet, as with that overhang this is going nowhere north in a hurry and they can sit and wait for it to bottom, at which point I would expect a more symmetrical buy/sell spread.