Future DirectionI really want to like Trevali, but I parted way with my shares with the nice increase in share price. The big thing that kept me from holding on to my shares was the general uncertainty with their mine planning and how C-19 continues to bring uncertainty.
1. How does Santander just get written down out of the blue? This was very concerning. Where is their mine planning and exploration planning. It was obviously no surprise to management that they had only one year of ore supply left, but they failed to communicate a life of mine plane to investors and/or complete exploration to extend the ore reserves. Are more write-downs possible to RP and Percoa? Sure C-19 but why not idle Santander for a couple of years instead of producing for a loss.
2. What impact will C-19 have on their workers/government, given that they will probably be at the bottom for vaccine availability.
3. How many more shares are they going to give to management. Like seriously shares should only vest when there is a substantial increase to share price. Just the millions of shares alone they gift to investors is diluting shareholders.
4. If there is a breathrough C-19 variant that evades the vaccines, zinc is going to absolutely dump. Yes they have some hedging in place, but I'm guessing they would still be operating break-even at best.
Earnings will be interesting and should provide some direction, but I think I will hold back until earnings have been released.