I don’t believe NCZ is the greatest show on earth. But I do...

I don’t believe NCZ is the greatest show on earth. But I do believe it’s avoided going to zero which means it’s likely bottomed here. If you think it’s going lower, then it doesn’t makes sense for you to cover. But if she keeps heading up, your margins are being eroded. Reverse baggie situation. You’ll keep convincing yourself that the process to float tailings doesn’t work and you’ll keep getting proved wrong as the company reports increased metal production. No matter what comes out from the company, you’ll keep ignoring the facts and sticking to an already debunked theory, all the while claiming “I’ll never cover”. How absurd. Baggie quotes at their finest. You’d rather pay the borrow costs and watch margins erode than concede that the company is making it work in what are awful macro conditions. And before you argue “they’re not making it work, they just raised more capital”, show me a zinc producer that is making it work. Several across the globe are raising cash right now. None are doing very well. And if your thesis is simply short zinc, then why not short the metal. Better borrow costs, lower margins.

Your short positions will earn you 100% if it goes to zero (unless you’re leveraged... but I don’t think you’re that stupid) whereas my longs will earn me multiples of that when it gets back to 40-50c in the near term. Long term, the upside is far greater, especially if you read between the lines in the IGO release.

Best of luck and I hope you have the guts to stick to your “never cover” statement. I’ll be so sweet if you do.