Stone, to add to your comments, there aren't many ASX mining services companies that can compete with ASX listed miners in this capacity, and in most cases at a third the cost of what mining companies can do in-house. I'd say this is another value add/competitive advantage to add to your list.
RQL is capitilising on a niche market, and doing very well at it, however, more contract wins will lead to a higher share price and larger market cap. Ultimately I'd like to see their equipment utilization back to at least +80% by year end. Un-utilized equipment = loss of revenue. Back to 80% and ordering new equipment to cater for demand (although capital intensive) means rapid growth.
It will be interesting to see how many contract wins RQL receives of these +$40Mil tenders.
Thanks!
RQL Price at posting:
48.5¢ Sentiment: None Disclosure: Held
