We should see a resource upgrade in late June/July for MRP. The beauty of MRP is its forecast unit cost of production which is at the low end of the cost curve compared to pure play silver miners around the world.
However MRP share price is bogged down by bearish sentiment in gold and silver price and possible CR overhang and funding issues.
As stated in previous posts, what is needed is a rally in the silver price that would increase the attractiveness of the Nimbus bankable feasibility study.
I am forecasting increase in industrial demand for silver the second half 2014 and hopefully this translates to higher silver prices. According Giga Solar Materials Chairman, silver paste is in short supply. Demand for Silver for Solar PV accounts for 10% of demand in 2013.
A Bloomberg report states that the Chinese government last Friday announced that it would speed up solar power development in the country by tripling installed capacity to 70 gigawatts by 2017. If met, the goal would increase installed solar capacity in China by about 50 gigawatts, about the amount of energy it takes to power 12.8 million homes. At the end of last year, China had almost 20 gigawatts of installed solar capacity, The goal should be met if China continue with its current pace of PV solar power capacity installation.
MRP Price at posting:
15.5¢ Sentiment: Buy Disclosure: Held
