Let me be serious for a momentThis is the link to the entire first quarter conference call transcript
https://www.nasdaq.com/aspx/call-transcript.aspx?StoryId=4066869&Title=nevsun-resources-nsu-ceo-cliff-davis-on-q1-2017-results-earnings-call-transcript
And from it, the following:
"During the quarter, we announced a significant increase in resources at the Bisha VMS District of more than 1.1 billion pounds of copper equivalent resources and increase of over a 120%. Conclusion, our strategy of allocating capital to exploration is leading to serious measurable growth in resources. Bisha continues to provide good operating cash flow to Nevsun. We have made reasonable progress on all copper-related issues and these complex issues continue to be addressed in the diligent and methodical manner. We will start shipping copper concentrate in May, several months ahead of our internal targets. It’s a good start and we are driven to improve. If you project our Q1 production to an annualized rate, we will achieve our 2017 production guidance for both zinc and copper.
At March 31, our balance sheet was very strong with about $190 million of working capital, including almost $170 million in cash and no debt. I would like to highlight a few accomplishments at the Bisha Mine during Q1. First, Bisha’s exploration team arranged and completed an airborne geophysical survey to identify targets in the new exploration licenses acquired last year drilling of the selected targets commenced in April. Second, as noted earlier, we released the new resource estimate that saw an increase of over $1.1 billion copper equivalent pounds in resources. Our bullish expectations on resources has been proven out exploration has been very successful. Third, Bisha produced 52 million pounds of zinc, which is within our guidance at C1 cash cost of $0.89 a pound providing a healthy margin of about $0.39 a pound or 44% over cost. Fourth, Bisha produced 3 million pounds of copper mainly in the last 2 months of the quarter and the mine will start shipping copper con in May. Copper production is also in line with guidance.
We remain confident that further operations to mining and processing will progress towards achieving our objective of over 40 million pounds of annual copper production and 240 million pounds of annual zinc production during 2018 and beyond. We are early in the primary phase of Bisha with strong zinc production and growing copper production, more importantly, with the infrastructure in place and the existing copper and zinc circuits and the exploration potential of what can be a world-class VMS camp, we believe Bisha can be an important contributor to Nevsun’s cash flow for many years to come."
How did we go from this viewpoint to the one just given in just three months? Did the new CEO manage to convince everyone suddenly Bisha wasn't what it was as stated in this 1st quarter report? And if indeed its not something much worse, do they not realize what a horrible job they did in explaining this dramatic change in just one quarter?
Given the dividend fiasco and this 180 on Bisha, what would they think the market would think?
Something may not just be rotten in Denmark. We need Lundin now more than ever.