This is still a penny dreadful and IMO will not attract the large accumulators until further de-risking occurs through:
- Plant in production (and probably the doubling of the plant size to handle 700,000 tonnes PA) - increase of high grade reserves to improve the profitability of the plant with higher grams per tonne going through - Completion of the purchase with Mwana - Aquisition of the remaining 20% from Mwana - A better understanding than rock chips of the Manganese and a plan to turn it into a dollar.
They have seemed to have kept their end of the bargain so far, so lets hope by these (probably forgotten a few) de risking activities SBL can get out of the penny dreadful and into self funding producer/explorer status.
Just to reflect SBL has come a long way since the initial purchase in May 2009. For me a big thumbs up to Bill oliver and the crew.
SBL Price at posting:
2.9¢ Sentiment: ST Buy Disclosure: Held
