OTCPK:KATFF - Post by User
Comment by
Lech1988on Nov 19, 2018 4:52am
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Post# 28992780
RE:RE:Front Page of BBG Today
RE:RE:Front Page of BBG Today
KAT ultimately is an extremely risky stock - probably among the riskiest you could invest in. There is no doubt massive potential but there is a very very real risk that the DRC will never let this mine thrive and will try to extract every dime out of it.
Ultimately they halted all KAT exports because of a petty argument over not being consulted about stopping the sale of eradiated cobalt (likely because they wanted the royalty income for the elections), yet they used some excuse about not getting paid royalties for non-existent production 4 years ago…
This is the kind of environment KAT will continue to operate in and this is even before the mine is close to being fully ramped up. We can see a strong few quarters and decent stock performance and then the DRC will come in for another pound of flesh and the stock will drop 50% in a day. You need a cast iron stomach to own this thing long term.