NAE Chart, page-523

Yea prices are good, but how does that transfer to the value of our projects in the context of the political landscape here in the UK? My thought atm: Some possible sources that have driven the SP recently:

8th Dec: https://www.theguardian.com/business/2016/dec/07/tata-steel-commits-to-keeping-port-talbot-open

13th Dec: http://www.thehindu.com/business/U....-Tata-Steel-other-players/article16801310.ece

9th Jan: http://www.southwales-eveningpost.c...ion-proposal/story-30042198-detail/story.html



To me, future of steel in UK = future of coking coal = future of Lochinvar. I hope the idiot union doesn't mess up the Tata pension deal that's supposed to ensure the next 10 years of Port Talbot. I don't think there will be much touting of the coal project until the pension vote has happened - after all, it's only because of the recent coking price surge that they are even re-visiting the scoping. Things will be much clearer when the vote results are released - whether we get into the coal business in the near or medium term. The UK government should be pushing for steel manufacture in UK AND places like Lochinvar and Redmoor to open & re-open, especially since the EU referendum when they were told so by people from areas of manufacturing that have been routed over the past 30 years.

I'm currently just in this for the tin mine, which is much more likely to open in comparison to South Crofty - it needs a longer and more believable mine life to get funding.

Best case with Lochinvar is that the pension thing and/or the future of steel in the UK is resolved (which I personally think they have to), the market coking coal price holds, and this company becomes worth many, many times more than with just Redmoor, not to mention if there is a sniff of gold in NZ. A few holders on here might get a chance to retire early

I'm assuming the potential upside compared to risk is why instos have been fishing with this one - something the retail sellers this week maybe haven't weighed up appropriately.

Anyway, another chance to buy more as price drifts and people lose faith in the UK government's ability to sort the steel debacle out