Why does the management seem dopey - projects are progressing and the fact that they have the Vietnam project being built I think says a lot for their abilities.
From the companies 20 December announcement:
'Initially the operation will be fed with feedstock procured from the market until Hazelwood?fs own mine sources can be brought on?]line.
The ferrotungsten price is nearing record highs, with Metal Pages reporting Chinese free on board prices of $US45?]46 per kilogram of contained tungsten.'
So ultimately this is not ideal, however should iron out any bugs and see some cashflow. Hopefully the Wolfram Camp Tungsten-Moly Mine can provide an early feedstock until their WA mine can come online.
'>$100 million to get big hill up and running? Why so much? and where's the money going to come from?'
In regards to the cost - no idea. In regards to where is the money going to come from is a question I have also pondered. Who has the 40% interest in the Vietnam project I am guessing the Chinese, however who?
Gindalbie have a 30% interest in the Mt Mulgine project and we know that Ansteel is in bed with GBG so there is also another potential Chinese interest.
If they attempt a capital raising and if Vietnam is up and running and the feasability studies are positive then can not see why it would be disasterous.
HAZ Price at posting:
15.4¢ Sentiment: LT Buy Disclosure: Held
