Fair question. I am invested. Half empty/half full - well that depends. Currently, I don't rate WTI for the reasons I have previously expounded, but the market has these factored into the SP. There is some upside but there are a number of challenges before we start to realise the benefits of Tschudi. Market confidence is fragile and short term. Easily lost and difficult to win back. Rod needs to prove to the market that the Central Ops can achieve its target tonnages and unit costs quarter on quarter, and that the business has the wherewithal to carry itself and the Old Matchless investment project through to Tschudi production.
But is the current SP silly? WTI needs cash, copper at the current market price of $7,600/T leaves the current set up at or near break even yet there is a load of investment to fund Old Matchless, pre production Tschudi etc. Sure Tschudi has value but the market also factors in the risk/uncertainty around the next 18 months. Perhaps a market cap of £25M is not that unrealistic.
Slowly climbing back up. Not sure who's buying though, all sells showing on trades but someone must be taking advantage of this sp in anticipation of the next RNS's. Double digits on positive news would be lovely but a tad optimistic in the short term I'm afraid....would love to be proven wrong.
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