The last quarterly put out in April looks good. Putting thru 2.5%Cu and blending with low grade for an average of 1.6%Cu . That grade is 3 times that of Altona AOH and HGO. I just think that their costs are way over the top. I was told the Reserve was reduced because the mines dept closed the native copper circuit because the scrubber was unsafe, so all the native copper remains out of the reserve. What a mess. Putting out 1.6% Cu and can’t manage the costs. I suspect Sinosteel will keep it going until they get their money back and Jiang on a plane and to hell with shareholders. I suspect the cooking of the books is the main problem. If they could get the plant to run more that 40% availability @ 1.6% Cu would be a real winner. [email protected]% is 48,000 tonnes Copper in a year. Today’s price of $A8800 is $A422m a year. Why won’t the plant do what is was designed for. So far only run at design for 6 days so far. Go figure. As for ever regaining ASX very unlikely. My guess takeover within 3 months by Chinese. You can bet on that statement.
CDU Price at posting:
23.5¢ Sentiment: None Disclosure: Not Held
