Your analysis sound and certainly aligns with how I was approaching this one (appreciate the figures). Sulphides seem to be what the market prefers however they are in the minority so there's no choice but to develop the laterites with the growing demand dictating this with pros and cons for both.
And yes the 2+ billion is not ideal but I have surmised that the bigger picture is such that it goes a way to cancelling this negative. I am involved in several of these types of stock, AUZ, CTM, DHR with large soi bases and some have had multiple incarnations (name changes).
The mental image I have of them is picture an antonov transport plane or an A380 airliner, they are huge, heavy and take enormous runways and great effort to get off the ground but the market conditions coming soon (i.e., huge demand from the e.v revolution and energy use shift in society) will be such that they'll fly high. HCO are in this bracket having had a few turns at bat and struck out hence the eye watering share number and low market cap.
Hopefully the grades shine and justifies my decision to punt on this one....the spectrometers in the lab would be close to finishing their work one would think.
Geez it's hard to write with kids yapping at your heels, phew!
HCO Price at posting:
0.8¢ Sentiment: None Disclosure: Not Held
