RE: RE: Where is everyone??? Past the financials, I can only see 2 events that could propel the SP higher in the short term. Production is what it is. We know we have 6 CMs and 2 to be added per month with a total of 10 in June. The 2 events that can move this is the longwall study and contract sales. The earliest that we could get an announcement on contract sale in my opinion is around mid May, just before the AGM and presumably enough inventory to sell. The dilemna that management must be facing is do they sign in May, if they could, or wait till early fall when most indicators are pointing to a higher if not firmer met coal prices.
What are the odds here? I'd say 50/50 that we may see a contract by mid May. Bates and crew may be over their heads in developing/starting up a mine, miscalculated on going after 3 mty instead of 500k initial production like others have done, but, I'm betting that he's no fool and understands the game. He may want to or need to deliver something materially positive for the AGM. So, it may be the longwall study or contract sales, even at a modest or breakeven for the AGM. The price obtained would explained as 'market conditions', discounted intinial production/customer precurement etc. At least some cash flow would go a long way to alleviate cash position worries.
If this was to come to pass, I would venture to guess that the SP may pop to $1.60 level.