Zinc hasn't been the right business to be in past couple of years... and the tide may turn. The worst part of it is that the KZL mines are at the high end of the cost curve, which means they should have been the first ones to be shut down.
The advice I have is that there are many zinc mines that can be opened up if the price starts rising. And I do expect the price to recover to average between $US 1.10-20 for the year with occasional spikes to $1.50 and 85c. KZL probably needs at least $1.40 to return at a reasonable rate, otherwise the only way they'll survive is through handouts or perhaps salary sacrifices or perhaps they can improve the metal recoveries from their concentrates.
KZL Price at posting:
17.5¢ Sentiment: Sell Disclosure: Not Held
