OTCPK:KATFF - Post by User
Comment by
MalayalamFTWon Apr 18, 2019 6:20pm
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Post# 29647293
RE:No, I don't believe its "Strategic"...
RE:No, I don't believe its "Strategic"...Nice conspiracy theory, but that would be the most stupid thing to do for Glencore.
KAT is big but not the only asset for Glencore to produce revenues. After all these legal issues it is VERY UNLIKELY they would take risk to lose the complete multi-billion asset to Congo.
According to the production numbers they are on target to produce 15kt of cobalt this year, which is not that much at this price level. Why would they sell 20% and leave the rest intentionally? They could just stop selling cobalt completely to get even higher margins when the price rises again.
Do you really think Glencore cares about the minority SH that much? They could just buy out KAT completely.