RE:Any discussion about the FeV project?Just listened to the CC,the analysts involved did not seem overly “impressed”,and Cooperman and the last analyst were not impressed at all in regard to the thought of a share buyback especially as to borrowing funds in the current climate and beyond.A few points that I noted
FeV plant,total costs....8-10M
FeV plant ready Jan 2021
Contracts being signed for 2020 and beyond,..no details
High purity will be ready for sale immediately after Glencore expiry to new customers
Expect consumption rate to grow in China 2020 and beyond
I thought I heard $5-5.50 breakeven costs at Glencore expiry/changeover
Be prepared for 100 plus days for acc rec to be paid after May 2020,..this should balance out over time but may disrupt cash flow/working capital initially
No negative effect of remeasurement after Q2 2020 forecasted,..as long as V2O5 does not sink lower in price in that last Q before G Core exit
Proceeds net to Largo in last Q were $4.06 lb (assume USD)
My thoughts have not changed, this stock is on hold till next year at least, price of V2O5 is critical in the forthcoming quarters especially in regard to paying back G core, may leave the company with a slim bank account to say the least, however should the price of V2O5 increase maybe the picture improves greatly,think the co is doing what they can in a bad situation,..just be careful with the spending,...my 2 cents..Island,...(you should listen to the CC,..you may get a different perception of what transpired)