RE: SST operating costsYou wrote:
"First off, that math is not only wrong, it is on another planet. Ifthe poster actually believes that, they are either extremely badfinancial modelers or shorts intending to scare people out."
I respond. I don't actually believe that, but I actually think that. Maybe I'm a bad financial modeler, but it was just a back of the envelope calculation for a stock I don't hold.
If I was holding I'd want to really keep a clean spreadsheet.
The calculation went like this:
(a) Start with the most recent Neves Corvo and Cozamin quarterly results. That was Q2 at the time, I believe.
(b) Look at the number of lbs of each metal produced and the resulting revenues. Adjust revenues down for revised metal prices.
(c) Look at the operating cost numbers.
(d) See where the breakeven is for $.40 zinc and lead and for adjustable copper.
The results for both Cozamin and Neves Corvo were well above $1.50.
So, maybe falling diesel costs will change the equation or maybe I butchered the spreadsheet, but anyone holding this stock might want to redo my method and then, if its different from what IR tells you ask for an explanation.
Hope this helps,
If you want me to stay away from this board all you have to do is emit some really lurid insults and I'll get lost.
I really like both CS and SST's management and wish them and the stock holders well.
MontyHigh