Let's, just for the moment, take the GIG EOI off the table. It is merely a Regional NSW deployment, which will not give any substantial revenue streams until next year at best. I believe DXN will indeed benefit directly or at least indirectly, however so much more is currently in play for DXN.
Let's look at the Here and Now.
DXN is concentrating on Cable Landing stations with Southern Cross Cabling, extending across the Tasman to NZ (which will soon announce NZ Govt commitment) and then via the Pacific Islands to West Coast USA, where it already has FCC approval to land and expand. I again point out DXN's established presence in Asia for similar potential connectivity, sooner rather than later.
Mining resources, Oil, Gas and now Agriculture are Australia and indeed Worldwide. Newcrest is just the start, the trial run for DXN. As I have mentioned previously, not only Newcrest but others, many others in the Mining, Oil and Gas (Energy) and now potentially Agriculture, will be carefully monitoring DXN's performance with Newcrest.
It is far more prudent now for Matthew and the DXN Management team to get Newcrest 100% right, in Every way! You might like to research Newcrest's Australian holdings (other than just Orange) and then consider its international presence as potential, should this 'trial' succeed.
Once deployment starts in these Sectors and they are extensive, it would be very reasonable to suggest that demand will run very quickly. DXN in the short to medium term could be stretched and the Management Team will face challenges but what great challenges.
So put the whole Govt Tender thing on the 'back burner', don't expect an announcement every day or week but be prepared, for when they start it could be very interesting indeed.....just saying.
DXN Price at posting:
2.3¢ Sentiment: Buy Disclosure: Held
