OTCPK:IVWFF - Post by User
Post by
SergeGodinon Mar 31, 2011 4:05pm
263 Views
Post# 18369343
The Real Picture
The Real PictureMarket seems to like the news from yesterday, but let's not get too carried away here...
Keep in mind:
1) Two thirds of the income come from tax recovery. The
.08 is really
.02 or
.03 when you factor this in.
2) Little or no mention of the impact of the two month freeze on shipments for the current quarter. Next Q is going to be ugly.
3) Processing and transportion costs are high. As noted in an earlier posting, this is going to make it tough to make money at a lower concentrate %age.
We're still in for a bumpy ride here, but there's great upside if:
- IVW can avoid any further stop orders, bad press, interruption in operations, or anything else that gets in the way of mining, processing and transporation
- PB price stays about $1.20 (and preferably goes higher)
- Yield rates improve
- Gain some efficiencies in processing and reduce costs
- Develop some more commerical viable mines
- Diversify out of PB into ZN, AU, AG or something else
Still a good bet, but a risky one.
One more hiccup and it could be De'ath to all of us.
- Serge.