Positive News - Strong BuyThe brownfield expansion is great news given Sherritt's track record of capital allocation, examples:
- Cuba Expansion attempt #1 - Complete right off
- Ambatovy - Billions in write downs + destroyed the company
- Block 10 +100 million = complete write off.
Also, it's stock price hasn't moved, but Nickel and Cobalt have increased during the same time. So that also shows this company is a really good investment.
The company's stock performance is also worse than the XBM index, which demonstrates the company is performing worse than it's peers. Again, another good sign.
All in all, I think the loss coupled with the decrease in cash and increase in debt make this a solid quarter. At a time of histlrically high nickel and cobalt you shouldn't be making profits or increasing your cash position.
I'm in the same boat as Contrarion and JoJo Rabbit. This is a really good investment opportunity.