Storing stock doesn't really work. Purchasers know that there is a Backlog of stock and could demand lower prices , take a look at KMR and Iluka, they deal in Ilmenite, Rutile etc. We need to be producing and selling, NOW and for next 100 years ! It is of no comfort to think that if it takes two years more to get to Production that this is OK or better as the prices might be higher. IF we start selling now and make profit then in two years time we will be making more profit if the prices are higher.
All companies do this to varying degrees, it's just timing the market e.g. farmers storing grain in silos to get better prices later in the year. This is all assuming that we will actually process ourselves rather than JV or sell up.
Guys , I just do not get this angle of waiting for metal prices to rise ? If you can make money you just get the Product off the shelf. Over the course of the business prices and profit will of course vary. If we are to believe that the Pilot testing was so succesful I would hope that MA can get things up and running fairly fast now on the Copper front. We really could now use a cohesive update. If we are suggesting that we cannot make profits at the current Copper price, we might as well sell up now !
If the Chinese want to buy the mine they can rely on the figures produced in 1994 when it closed. They were to British standards. 2m tons of lead and zinc that's a gross value of around $ 4.5 billion plus of couse the unexplored areas.
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