They want to DIVEST - but we are the ugly girl at the dance. We...

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mudguts

11,635 Posts.

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25/01/22

09:21

Post #: 59106698
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Originally posted by PBlonde ↑

@mudguts (for some reason HC not letting me respond to your post) If current management thought that this resource would never be viable, why are they re-visiting the mets and doing further drilling? Wouldn't that just be sinking money into a doomed project? They would only continue to spend, if this additional work would further entice a purchaser or JV partner. Ergo, the resource has value and that value will only increase if the underlying resource price increases.

I'm not suggesting that the cobalt resource is what is likely to make the company, but to dismiss the effect on the share price of cobalt's price rising is foolish and devoid of any logic. Whether you agree with it or not, a rising cobalt price is good for CLA, the same can be said for copper/gold.

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They want to DIVEST - but we are the ugly girl at the dance.

We need lipstick & a frilly dress (maybe a boob job)to attract suitors...that means money to be spent.

Spent $15m to stll not know the viability...just a prospective resource.doesn't get any better than that.

They HAVE to get to a some sort of SS in order to be able to sell/ JV....but after $15m this should NOT be happening & is definately NOT the driver of our SP.

How much do you think we will get for the sale?

Last edited by mudguts: 25/01/22

CLA Price at posting: 3.0¢ Sentiment: Buy Disclosure: Held
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0 Great analysis

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