Katanga Mining Ltd Ord KATFF

RE:Why price didnot skyrocketed?

[Lech1988]

Because it doesn't really mean anything.  They have (purposefully) given zero guidance as to how much Cobalt will be exported this year and therefore it’s impossible for people to know what impact this will have on the bottom line.

Imagine this going forward - Glencore will offtake only what they deem is necessary to meet their end customer demand.  KAT has to wear all the inventory price risk and Glencore doesn’t have to finance the offtake of all of KAT’s production (again hiding behind the radiation excuse).   It’s very clever but it does mean we are at the mercy of how much Cobalt Glencore offtakes which is something we have zero visibility on.