Katanga Mining Ltd Ord KATFF

RE:RE:RE:Analyst says tighter cobalt market swings sentiment

[bobsacramento]

bobsacramento wrote:

Sogosohubidu201 wrote: I do not agree with Rawles comments on Katanga mining. While it is true that Ion Exchnage will not come online until the middle of 2020,  Katanga mining is going to produce 1,500 - 2,500 tonnes of cobalt per month in H1 2020 and 90-94% or higher of the produced cobalt will be salable meeting the uranium specs with the phosphoric acid method per Q2 Glencore conference call. Yes, there will be Katanga cobalt production coming in H1 2020. Obviously Rawles did not listern to the Glencore Q2 conference call.

Everyone has an agenda. I wonder if this “oversupply” news is just a means for the Chinese to take over the industry at discounted prices. They have a history of not honouring their contracts, and have on multiple occasions manipulated the markets (that’s not a surprise, given the trade war)

Glencore finally has the leverage it needs to dictate prices with Mutanda and Katanga to even the playing field so to speak, remember it was not long ago that the Chinese companies backed out of their contracts with Glencore for cobalt .

Congo will need to change, if they have any hope to benefit from the metals sector, but Kabila still has too much of a stronghold and he knows it. Hence, why he negotiated with Tshikesedi: control of parliament for the presidency. 

Then again maybe the Chinese like the quarrel between Glencore and the DRC, because if the mines get nationalised or become unprofitable it will force them to sell to the Chinese at a discounted price. Maybe the Chinese have to wait this out, take over and before prices start to rise. The west needs to step up.