GREY:BLITF - Post by User
Post by
NumbahOneStunnaon Aug 20, 2014 6:59pm
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Post# 22862595
Some concerns I have here...
Some concerns I have here...Looks like this stock is starting to get noticed based on the recent price appreciation. I have started doing some due diligence on this and I am hoping some of those more knowledgable of this company can help me out - please see below:
1) I believe Rio's Sorelflux product has approx. 31% titanium dioxide composition. In contrast, Fairmont's DSO lump titano-magnetite has only approx. 19% titanium dioxide composition. Does this make Fairmont's product less appealing/effective to potential customers?
2) It is my understanding that Fairmont has only sent samples to one potential customer to date - LonyerGreenCopper. Thus, it seems that even if Fairmont achieves all required permits to start producing at Buttercup, there may not be any immediate orders/customers to fill. Given how close Fairmont appears to be to being fully permitted to start shipping the DSO lump titano-magnetite, I would have expected there to be more interested/potential customers lined up. Any insights here?
3) The news release regarding LonyerGreenCopper testing Fairmont's product was back in May 2014. Since then, I do not believe that Fairmont has provided any insights on the test results. I would think the testing would be completed by now, unless I am missing something? Is it possible the testing has been completed and LonyerGreenCopper decided not to pursue Fairmont's product any further based on preliminary test results?
4) I have read some posts on this board indicating that price per ton of Fairmont's DSO lump titano-magnetite could range from $80-100 per ton and net $30-$40 per ton to Fairmont. It would be much appreciated if one could provide the sources used to obtain these figures. I am having difficulty finding reliable figures to make a projection of potential cash flows to Fairmont in the future.