Kaiser on AVL on KereportSource:
https://www.kereport.com/dailyshow/daily-jun3010-seg1.html
Here is the June 30th segment of Al Korelin of the Kereport talking to John Kaiser about Avalon Rare Metals and Rare Element Resources.
John talks about Avalon's latest news release about the Nechalacho Project and the key things that he is worried / pondering about for the company.
1.) A very high $900 Million Capital Cost
2.) The low 12% Internal Rate of Return
3.) With an overall Net Present Value of $500 - $600 Million dollars
4.) The market did not favour such a result since they wanted a higher NPV for their investments
John confirms what we are all thinking about the current status of Avalon and the Rare Earth Market in general, but if you think about it, how many other projects around the world are at the stage where Avalon is? There are still hundreds if not thousands of wanna-be REE producers, but they don't have the skill, knowledge, and expertise that Avalon has on their team.
Yes we know that this market is a relatively risky market since it's still quite small, but with the risk comes the possibility of greater rewards. If RE producers like Avalon ever got into the $30 - $50 dollar range from where it is currently, like Gold Producers, then you will know that it is possible to eventually have a much bigger bagger on the stick that's dangling down in-front of us as an incentive.
Just my thoughts, but I'm quite confident about Avalon and am a long on them.
Cheers!
WahJai604