Management have had numerous opportunities to hedge part of the book over a long period of time....
A 20% hedge at above $3.50 to $4 would of had saved us from all the bull in the last 12 months.
I am not against management as they have done some GREAT things with our little mine but I AM NOT WITH MANAGEMENT on the hedging! The LACK OF CONTINGENCY planning forced us to accept the Goldman refi, capital raising with suppressed share prices and to finally take a hedge at $1.45. All of these have hurt our pockets heavily!
Copper has a history of wild swings. A little partial hedge to ensure survival in good times should of been an easy obvious decision.... regardless of hindsight... GFC or not.... simply due to the historical nature of the beast.
Again regardless of hindsight they acted stupidly with no prudence.
In the end what has saved us and should serve us well in future is that we have a good asset. In my opinion we do have good management but lets not defend them on every issue. Many members on this blog slag every down ramper in a milli second. I think maybe we should have the up rampers pull their heads in just the same.
PNA Price at posting:
$1.85 Sentiment: LT Buy Disclosure: Held
