RE: Next RNS7 Oct 2021 15:39
Interesting discussion! I was less than polite previously to you Mogwhy, for which apologies-having a bad day I guess.
It is right to be wondering what is the position . It is equally right there are lots of projects around the world which will increase demand for V . Logically therefore it must be right to believe Terry Perles's prediction of , long term , a strong V price. That will deliver profit simpliciter, and the increase in production which is on track, we are told ( and it is one of the few bits of straightforward information we have been given-not unusual for us to have to read between the lines!), will decrease the proportion of fixed costs per ton thus reducing overall production cost , delivering secondary profit .
So , should we worry if the company has debt as much as you say and is running at a loss ? Given such situation is short term , given the very valuable asset base hugely outweighs the debt, given there appears to be a pile of valuable iron ore ( is this corrct?) which could be sold for a substantial sum , given in all the above one is ignoring the potential of BE, given the surge in gas prices has made even our dozy government say today that renewable energy is the way forward-with all these givens one can afford the long view even from my sub-aqua position and be confident that sooner or later the market will awaken to the fact that the low share price simply represents a belting opportunity for those with spare cash to multiply same many times over and those of us under water will breathe easy again. Patience is all that is needed and belief in our BoD who have kept pretty much on course through fairly stormy waters.
It would also help if the SA government could stop fannying about with their absence of electricity situation and award a few blindingly obviously needed contracts to get their power from the sun even at night.
You may gather that while I see the risks , long term my view is this share is a gem.
KN