Think the analysts have it sorted. The move to owner operator is a sign that they are at least trying to stem the losses at Smokey Hills before the operating costs send PLA broke, and the broker recognises that. It is certainly a hold, with the big buy signal coming when/if they report a net operating profit at the end of the second quarter. Still, that is the end of July by the time we get that qtr report so a long wait. Possibly the only good news we can ecpect between now and then is a positive response to the review of the Panton project. For me, an open pit project in Australia, away from the multiple issues in South Africa (soverign risk, untrained staff, strikes, killings), could well bring some more enthusiasm, especially if PLA decided to try to fast track the project over their other South African projects that appear to run the same risk as Smokey Hills as being loss making duds.
PLA Price at posting:
7.8¢ Sentiment: Hold Disclosure: Held
