The market is rightly wary of derisking claims. How do you derisk for labour shortages? All well and good to say you have contracts in place but fulfilling contracts on time is currently very challenging. The other issue is lead time on plant components, ball mill, crushing equipment, screens, agitators and leach and tailings thickeners etc. I was talking to a contact at Gecko Systems earlier this week and the lead times he quoted me were astonishing 12m, 18m etc. BGL is wise to be ordering long lead items well before they come into production but even so their timelines won't be met imo. With a market valuation at a whopping $660m the smallest delay or risk will cause a lot of damage to the SP. By contrast RXL hasn't had its run yet. Relative to BGL it is more risky but compare the market caps. RXL is 1/15 the valuation of BGL and has a bigger and higher grade resource.
RXL Price at posting:
25.5¢ Sentiment: Buy Disclosure: Held
