RE: FOMO Friday27 Oct 2023 12:04
Dukey old boy,
The World is multi-variate. There are lots of things going on at the same time. Just because you think that there is only one thing that matters, doesn't mean that is the case.
If the current situation opens an extra opportunity for ALR it doesn't mean that other opportunities are lost. Extra means, as well as, in addition to or plus, it doesn't mean instead.
Why was he so insistent on being judged on exports and not production? Two possible reasons: 1. Others could produce but not export and 2. What ALR might export might be well in excess of any ALR production.
Lets look at a hypothetical: Premier. This is not a downer on Prem, it is just there situation as understand it.
1. Does the plant work? Yes or no?
2. If it works and it can produce SC4.5 but not SC6 what does Prem Canmax do?
3. If 2 is correct then either Prem needs to come up with some cash to pay Canmax off or it gets diluted out of its project.
4. The SC4.5 product is saleable if you are allowed to export.
5. What should Prem do? The SC4.5 product is no good to Canmax, it needs to find a way of monetising it.
6. Now Prem's situation might be a more urgent than others because of its funding deal with Canmax but others will be in a similar squeeze. How long do you produce for stockpile before you say we can't carry on like this, we need to monetise the stockpile?
No idea on the answers and there may be solutions other than doing a deal with ALR but at least ALR is likely to be invited to talk.
DYOR