They're obviously cutting back on the operation because of adverse conditions. If Selwyn Resources think zinc is a bad idea, then reason would dictate that it is also a bad idea for Kagara.
But good on Selwyn managers for understanding the economic climate and not risking shareholder capital on a dubious mine.
Too bad the Kagara managers were asleep on the job till the banks came a knocking.
KZL Price at posting:
12.0¢ Sentiment: Sell Disclosure: Not Held