Katanga Mining Ltd Ord KATFF

Don't look at the price

[Troublerum]

Watch only the reason you bought this stock. If you bought because this is cheap. Hold because this is even cheaper now. If you bought because this is expensive, sell and leave stock market, because you're moron. But if you bought because this is the biggest Cobalt mine in the world and there is EV boom which is the rising factor for Cobalt, you hold it until those simple reasons are shaking. Risk 1) New technology of Battery which consume less cobalt: real threat. But the current correction of Cobalt price will reduce the pressure of battery companies. And even with less use per battery, EV boom is not even started yet. So Cobalt will still be in huge deficit in next 2~3 years. Risk2)Trade war: just a noise. China is no match to America. They will surrender before November, because if Trump win without China's surrender, they will never be forgiven. So the only chance for China to stop the Trade War before being beaten to death is to surrender and help Trump for his next Campaign which is on Nov. Risk3)Congo - Forget it. If they mess up Katanga even after all those generous deal from Glencore, they will never get a single penny of investment again. I would reasonably expect that the Congo risk is gone now. Risk4)Bribery Investigation - I don't know. But Glencore is big enough to cover that. And it's not gonna jeopardize the whole business in Congo. But this looks like a bit of uncertainty comparing to other factors. So, IMO, this price and current situation, no reason to be a new comer, but there is also no reason to dump yet because 2 biggest factor is still solid like a rock. Katanga still has the biggest OPERATING cobalt mine in the world & EV boom is coming.